Thinking about a vacation‑rentable condo near Kamaole or central Kihei, but unsure what “hotel zoning” actually lets you do? You are not alone. Zoning, county permits, and condo rules all play a part, and missing one detail can derail your rental plan. This guide breaks down how hotel zoning works in Kihei, how it interacts with HOA documents and county registrations, and the due‑diligence steps you should take before showings. Let’s dive in.
What hotel zoning means in Kihei
Hotel or resort zoning is a land‑use designation that allows transient accommodations on a parcel. In plain terms, the zoning says visitor lodging can be an approved use at that location. Many Kihei resort condos and condo‑hotels sit in these zones.
Zoning alone does not guarantee every unit can be rented nightly. Your ability to run a short‑term rental (STR) also depends on Maui County permits or registrations and the building’s condominium documents. You need all three to align.
The three layers you must clear
Zoning and land use
Zoning shows whether transient lodging is permitted on the parcel. You can confirm the property’s land‑use designation by checking the Maui County Planning Department maps for the TMK and the community plan designation. If the parcel is not in a district that allows transient lodging, STR use may be prohibited or require special approvals.
County permits and registrations
Maui County regulates STRs and transient vacation rentals (TVRs). Where short‑term use is allowed by zoning, the county can require permits or registrations, inspections, and fees. Noncompliant rentals face enforcement actions, including fines and removal from platforms. Always confirm a unit or building’s current county standing.
Condo documents and house rules
Condominium declarations (CC&Rs), bylaws, and house rules can allow, limit, or prohibit STRs. Many associations set minimum night stays, require registration with the HOA, or restrict platforms. Some buildings created as condo‑hotels have formal rental programs with management and owner‑use calendars. Others are residential condos that limit or ban STRs entirely.
Bottom line: all three layers must permit STRs. If zoning, county permits, or condo documents block it, the unit cannot legally operate as an STR.
Common scenarios in Kihei buildings
Condo‑hotel programs
Some Kihei properties were built to operate like a hotel. Owners can enroll units with an on‑site manager or front desk, follow an owner‑use calendar, and split revenue per a management agreement. This model can streamline compliance since the operator often coordinates registrations and standards.
Whole‑unit rentals in hotel zones
Other condos in hotel or resort zones allow owners to independently rent their units. The HOA may regulate minimum stays, guest registration, parking, and advertising rules. You handle bookings, taxes, and management, subject to county and HOA requirements.
HOA bans or moratoria
Some associations have chosen to prohibit or pause STR activity. Even if the parcel is hotel‑zoned, an HOA ban overrides your ability to rent short term. Check recorded amendments and current house rules.
Mixed or grandfathered uses
Older resort condos may have grandfathered rights under prior permits. Rights can be limited, may not transfer, or can change after ownership or document updates. Mixed‑use buildings may also have units with different legal statuses, so never assume all stacks are the same.
Owner‑use calendars and revenue impact
An owner‑use calendar records when owners can occupy their unit and when it enters the rental pool. You will see this most in condo‑hotel environments and some buildings with on‑site management.
The calendar shows how many weeks owners can reserve, seasonal blocks, and priority rules. Fewer owner weeks typically mean more nights available for visitors, which can stabilize rental income. More owner‑use time reduces rental inventory and can lower net revenue.
Ask to review the past 12 months and the current year to see true availability patterns, not just projections.
A simple legal pathway to STR use
To operate a Kihei condo as a legal STR, you typically need one of these pathways:
- The parcel’s zoning permits transient lodging, the unit or building holds any required county permits or registrations, and the condo documents allow STRs.
- The unit participates in a condo‑hotel or rental pool where the operator handles necessary county registrations and compliance, and owners follow the program rules.
- If zoning allows but condo documents prohibit, your near‑term options are limited. An HOA amendment or building‑level change is uncommon and slow, so do not count on it for immediate rental plans.
Due‑diligence steps before you tour
Pre‑showing research
- Identify the TMK and verify the parcel’s zoning and community plan designation with Maui County Planning.
- Check county STR/TVR registrations or contact the Planning Department to confirm status.
- If you see active listings online, note whether they display required registration numbers and match the unit’s claimed status.
Documents to request from the seller or listing broker
- Condominium Declaration (CC&Rs), bylaws, house rules, and all STR‑related amendments.
- Maui County permits or registration certificates and any recent county correspondence.
- Owner‑use calendars for the prior year and current year.
- Management agreements and sample owner statements if income is advertised.
- Proof of TAT and GET registrations and recent remittance records.
- HOA meeting minutes for the last 12–24 months and the current budget.
- Insurance disclosures that reflect commercial lodging vs. residential coverage.
Smart questions to ask
- Is this specific unit authorized to operate as an STR under county and condo rules, and what is the permit or registration number?
- Are there recent enforcement actions or fines related to STRs for the unit or building?
- How is the owner‑use calendar administered, and can the policy change by vote?
- What are minimum night requirements, rental caps, or platform restrictions?
- What are current HOA fees, and are special assessments planned?
- How are taxes collected and remitted, and can I see sample owner statements?
Financing and insurance
Some lenders limit or price differently for STR‑heavy properties. Insurance needs are often higher for STR operations than long‑term use. Confirm both early so you can underwrite the deal accurately.
Red flags that should pause your offer
- No county registration or permit for a unit that is being rented nightly.
- CC&Rs that explicitly prohibit STRs.
- Pending litigation or sizeable fines related to STR enforcement.
- Missing or unverifiable rental income records from management.
- Recent or pending HOA action to ban or restrict STRs.
Local resources and next steps
Your best sources are Maui County Planning for zoning and permit guidance, the Maui County Code and STR/TVR registration pages for current rules, and the Hawaii Department of Taxation for TAT and GET requirements. Building management and HOA records round out the picture, and a local real estate attorney can review how documents and permits fit together for your target unit.
If you want a curated shortlist of buildings near Kamaole and central Kihei that align with your owner‑use goals and rental plan, reach out. With architectural insight and local condo expertise, we can help you match design, lifestyle, and compliance in one smart move.
Ready to evaluate hotel‑zoned options with confidence? Connect with Brian P. Connor for a tailored building‑by‑building review and a clear, document‑driven path to your purchase.
FAQs
What does “hotel zoning” allow in Kihei?
- Hotel or resort zoning allows transient accommodations on the parcel, but it does not guarantee your unit can be rented nightly. County permits and condo documents must also allow STR use.
Do I need county permits if the building is hotel‑zoned?
- Yes. Where permitted, Maui County can require registrations or permits for STRs. You should confirm the unit or building holds current approvals and is in good standing.
How do owner‑use calendars affect condo‑hotel revenue?
- Calendars set when owners can occupy units and when they enter the rental pool. Fewer owner weeks generally mean more rentable nights and steadier STR revenue.
Can a Kihei condo be grandfathered for STRs?
- Some older resort condos may carry grandfathered rights. Transfer and scope can be limited, and changes in ownership or declarations may affect status. Always verify for the specific unit.
What should I ask an HOA before buying for STR use?
- Ask if the unit is individually authorized for STRs, confirm any permit numbers, review minimum stay rules, owner‑use calendar policies, fees, special assessments, and recent enforcement history.
How do STR rules impact financing and insurance?
- Some lenders treat STR‑heavy properties differently, and STR operations often require higher or specialized insurance coverage. Confirm terms early in your process.
