California City Scoop: Construction Starts in Honolulu

Total construction spending on track to grow to $3.8 billion this year after drop in 2017.

Residential construction expected to hit a five-year high, while public works and utilities projects also spike.

*Construction starts in City Scoop provided by Dodge Data & Analytics, the premier project information source in the construction industry. For more construction starts or general information on Dodge products and services, call 1-800-393-6343 or visit the website at www.construction.com

City Grill

Erin Kirihara
Vice President
Rider Levett Bucknall

Residential and mixed-use projects continue to dominate the construction industry in Honolulu, Kirihara says. However, she notes that the region continues to show signs of weakening in comparison to construction activity in 2016-2017.

“Hotel owners and developers are starting to realize favorable competitive bidding conditions and have been accelerating project start dates to capitalize on this opportunity,” Kirihara says. Nevertheless, independent local economic studies are forecasting annual growth in visitor arrivals through 2019, and this is consequently driving hotel renovations to keep pace with visitor demands.

Kirihara says that Rider Levett Bucknall continues to see numerous hotel renovations in the preplanning phases, especially hotels in Waikiki, with a steady pace on the neighbor islands as well.

The firm also expects more rental housing developments in the pipeline that could potentially push forward in the next couple of years in the Kaka’ako area and along Kapiolani corridor, Kirihara says.