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Hawaii island passes Bill 9 to phase out thousands of rentals
Napili Bay, west Maui [Credit: Andrew Bain on Unsplash]

Hawaii island passes Bill 9 to phase out thousands of rentals

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US: Maui County Council has passed legislation that aims to phase out more than 6,000 transient vacation rentals (TRVs) in West and South Maui.

Bill 9, first introduced in May 2024 by Mayor Richard Bissen, was advanced earlier this month when councillors voted 5-3 for approval

Units in West Maui will now need to be phased out by 1 January 2029, while those located in South Maui have one year longer (1 January 2030). 

The units form part of the Minatoya List – a list of properties that have been considered legally eligible to operate as TRVs, even though they are located in apartment-zoned areas rather than resort or hotel-zoned areas. 

Generally, TRVs are only permitted to operate in hotel-zoned areas.

Bissen said: “Rebalancing our housing market means we must return apartment-zoned housing to local families and residents – and that principle has guided our approach to Bill 9 from the very beginning.”

Approximately 6,500 TVRs along with thousands of units in hotels, and more than 2,400 timeshares and bed-and-breakfast operations, will continue to operate.

The geographic distribution of units include:

  • Approximately 60 per cent of Minatoya units are located in South Maui, where more than 2,700 vacation rentals will remain unaffected
  • About 36 per cent of Minatoya units are located in West Maui, where over 3,300 vacation rentals will remain unaffected
  • Roughly four per cent of Minatoya units are located in Hāna, Pāʻia, and Molokaʻi
Highlights:
  • Maui County Council has passed Bill 9, approving a phased removal of more than 6,000 transient vacation rentals (TVRs) in West and South Maui to address housing supply pressures.
  • Vacation rentals on the Minatoya List in West Maui must cease operations by 1 January 2029, while those in South Maui have until 1 January 2030.
  • The legislation targets apartment-zoned properties that have historically been allowed to operate as TVRs, despite short term rentals typically being restricted to hotel-zoned areas.
  • Approximately 6,500 TVRs will be phased out, while thousands of units in hotels, timeshares, and bed-and-breakfasts will continue operating across the county.

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