January 2012 E-Mail Update

This is my 1/11/12 E-Mail Update. I send an Update out each month after the statistics for the preceding month have been posted on the Honolulu Board of Realtor’s website and for newsletter mailing months like January, after our quarterly newsletter has been posted on our website at http://stott.com/oahu-information/quarterly-newsletters/ where if can be down loaded. If you want to be taken off the distribution list, hit reply and send me an e-mail stating that. Please include your first and last name to make it easier to identify you.

On Oahu, there were 2,974 sales of houses in 2011 compared to 3,057 a year ago (­–83) and 4,029 sales of condos in 2011 compared to 3,977 a year ago (+52). The median (midway) sales price for Dec. for houses improved from $585,000 in 2010 to $605,000 in 2011 (+3.4%). The median sales price for condos for Dec. was $285,000 compared to $300,000 a year ago (–5.0%). The year-to-date sales prices continue to reflect a somewhat slumping housing market. The median sales price data for calendar year 2011 compared to 2010 follows: houses $575,000 compared to $593,000 (–3.0%) and for condos, $300,000 compared to $305,000 (–1.6%).

Considering the impact of the natural disasters in Japan and the sluggish economic growth in many of Hawaii’s visitor markets, the state’s tourism industry fared reasonable well in 2011. Visitor spending through the first 10 months of the year put the state is a position to possibly surpass the annual record for tourist spending even though the number of visitor arrivals were down. Hoteliers and other industry players were finally able to begin increasing prices this past year after dropping rates the better part of 2009 and 2010 to generate increased demand.

Hawaii requires mandatory health care for employees. Therefore, the state tends to rank high on many health issues compared to other states. This past year Hawaii’s health standing improved over the past year with the islands moving up a notch to No. 4 in a national ranking by United Health Foundation, a not-for-profit, private foundation. Hawaii had the highest pubic health funding per person. They also had a very low rate of uninsured people, preventable hospitalizations, low levels of air pollution and a lower prevalence of obesity and diabetes compared to other states. VT held the top spot on the list for the 5th consecutive year followed by NH, CT, HI, and MA. The bottom five states were MS, LA, OK, AR, and AL.

Known affectionately as the “beloved mother of the outcasts,” Blessed Marianne Cope, who ministered to Hansen’s disease patients in Kalaupapa, is one step away from being canonized as a saint, Hawaii’s second after St. Damien who was canonized in 2009. Soon, little Kalaupapa on Molokai will have been the home for two saints, as the required two miracles have been attributed to Cope who is scheduled to be canonized in October 2012. In 1883, Cope, a 45-year-old hospital administrator left her order in Syracuse to answer the Hawaiian Kingdom’s call for religious health care workers to care for leprosy patients. When she arrived, Damien was dying, and she succeeded him as the spiritual and moral leader of the settlement for the final 39 years of her life.

Leaders of 21 nations including President Barack Obama gathered in Honolulu Nov. 8-13 for the Asia-Pacific Economic Cooperation (APEC) trade summit, the largest international event ever held in Hawaii. APEC brought an estimated 20,000 delegates, staff members and others to Hawaii. Oahu residents experienced road closures, off limits zones on land and in near-shore waters, and the sight of National Guard soldiers in Humvees on Honolulu streets. There were some major traffic snarls; however, on a positive note, the world’s attention did not get riveted on our 50th state for any problems or bad news such as a tsunami or a terrorist attack. All things considered, Hawaii handled itself quite well. Of the 21 leaders, only one was a woman, Prime Minister Julia Gillard from Australia. For the group photograph, the men all wore dark suits rather than the special aloha shirts made for the occasion by Tori Richard, Ltd. Apparently there was concern that aloha attire might not be appropriate during a time of economic austerity.

In February 2011, Hawaii passed a civil union law and became the seventh state to grant civil unions to same-sex couples without authorizing a gay marriage itself. Five other states permit same sex marriages. The Hawaii civil union law became effective January 1st 2012. The civil union allows couples to have all the rights, benefits, protections and responsibilities of traditional marriages. A number of weddings were scheduled right after midnight on January 1st to enable same-sex couples to have their wedding as soon as the law permitted. In one case, four couples had their civil union enacted by the same officiant at the same time with each of the couples going online at separate computers to receive their licenses from the Health Department’s website. A federal judge turned down a last minute request by two churches (Emmanuel Temple and Lighthouse Outreach Center Assembly of God) for a restraining order blocking the new law.

Throngs of deal-hungry shoppers flocked to Hawaii stores on Monday, December 26th to take advantage of after-Christmas markdowns to snap up everything from discounted TV’s and electronics to clothes on what was a day off work for many. December 26th has become one of the busiest shopping days of the year on Oahu as people redeem gift cards, make merchandise exchanges and seek out post-Christmas bargains. By mid-day, the 10,000 parking spaces at Ala Moana Center were full with lines forming outside some of the higher-end shops, as stores limited the number of people inside at any one time. Some patrons anticipated the crowds and arrived 1-2 hours before stores opened to take advantage of discounts of up to 60-70% available at stores like Neiman Marcus, Old Navy and Victoria’s Secret.

The International Market Place, Waikiki Town Center and the Miramar at Waikiki Hotel will be demolished and redeveloped into a new three-level retail, dining and entertainment center beginning in 2013, a long-awaited project, expected to cost up to $300 million that will revitalize an aging but iconic six-acre block in Hawaii’s main tourist hub. Queen Emma Land Co. detailed the project’s expansive scope in an environmental impact statement filed in late-December.

A Christmas vacation in Hawaii or coming home for the Holidays can be a merry occasion unless you have to rent a car. A survey by an online car rental search firm found the average daily car rental rate at Honolulu Airport is about three times higher at Christmastime. The increase in car rates was the highest among 30 cities surveyed by CheapCarRental.net. The American Car Rental Association said industry pricing is generally based upon supply and demand. So, prices go up as reservations rise and car inventory falls. Spikes can occur near big events or major travel holidays. Prices tend to be more volatile in Hawaii, as rental companies can’t routinely shift inventory between markets. If you have to rent a car at Christmastime, book months in advance of a holiday trip and/or use a small, economic company.

Despite the addition of a number of new shopping centers and stores, Hawaii lost 3,200 retail jobs over the past five years according to an analysis of data from the U.S. Bureau of Labor Statistics. Hawaii was one of 44 states to lose retail jobs since the end of 2006, according to an analysis by On Numbers, an affiliate of Pacific Business News. Hawaii had 70,300 retail jobs in November 2006, however, that number fell to 67,100 by November 2011, which reflects the impact of the recession that started in December 2007. The state was ranked 14th in the nation for number of jobs lost and 26th in terms of the percentage of jobs lost (– 4.55%)

Hawaii will become the first state to have official high school surfing championships in 2013 when competition begins. There’s even talk now about adding body surfing and body boarding down the line. There has long been talk about a homegrown sport that would help keep students in high school until they graduate.