What is social washing?
Social washing, or greenwashing, is when companies try to cover up their negative environmental impacts by promoting themselves as eco-friendly with misleading advertising campaigns and branding.
On Maui, the Affordable Workforce Housing system is being used by developers as a form of “social washing” to make their business more socially palatable. These are still for-profit condo developments. Unfortunately, more of these units will be sold to newcomers than locals. An estimated 28 percent will be sold to locals, and the rest to newcomers.
Affordable and Workforce Housing is Being Fast-Tracked
We have seen rapid growth in affordable housing projects, with 36 affordable housing projects being identified and fast-tracked by the County. These developments are getting priority by cutting through red tape, having restrictions removed, and getting fees waived. Developers of affordable and workforce units are receiving special concessions and preferential treatment.
Unfortunately, they are allowed to drop many of the usual requirements that are intended to help improve a neighborhood and offset the impacts of the projects.
Qualification is Too Easy for Newcomers
Unfortunately for local families that have been waiting decades for an affordable home, anyone who “lives” here can qualify, no matter how long they have been here. These homes are up for grabs and are getting snapped up by better-qualified newcomers.
For example, any mainland family can nominate a family member to qualify for an affordable home on Maui. The only qualification is to be a resident with no time restriction. They can nominate a person with no prior or no recent real estate holdings, while the family helps them qualify for the mortgage, down payments, and financing.
This creates a disadvantage for local families, who often have lower incomes and more difficulty competing with mainland buyers who have stronger financial backing and higher credit scores.
What Is Happening to Affordable and Workforce Housing Projects
Hale Kaiola Project: According to testimony given to the AHC, only 19 out of 40 units were sold to local families, with the majority going to non-local families. The majority of local families do not qualify for a mortgage, and most families waiting for affordable housing are earning under the minimum 80% AMI, with many making under 60% AMI.
Waipuilani Hale: Only 30 percent of units are to be sold at or below 95% AMI, while 70 percent are to be sold above AMI up to 140% AMI. This drives home ownership upward into the hands of the upper middle-income bracket. This takes homeownership away from lower-income earners and working-class residents.
Expansion of Workforce and Affordable Housing in Kihei
Since this article was first written, the number of workforce and affordable housing projects in Kihei and across Maui has expanded significantly.
Across Maui County, thousands of housing units are now either recently built or in the development pipeline. Between 2023 and 2025 alone, more than 2,000 housing units were completed, with thousands more planned through 2030.
In South Maui and Kihei specifically, multiple workforce and affordable housing projects are either under construction, recently completed, or moving through approvals.
Major Workforce and Affordable Housing Projects in Kihei
Hale O Piʻikea (Phases I, II, III):
A multi-phase affordable housing project in Kihei is delivering a total of 223 rental units across its phases. Phase I alone includes 89 units serving households earning 30%–60% of Area Median Income (AMI), with additional phases expanding capacity.
Līpoa Apartments (Workforce Housing):
A 175-unit workforce housing project in Kihei is under construction, targeting households earning roughly 81%–120% of AMI—primarily working professionals who do not qualify for traditional affordable housing.
County Affordable Housing Fund Projects (FY2026):
Maui County has proposed funding for at least 843 affordable housing units across multiple projects, including developments in Kihei. These projects serve households earning up to 140% of AMI and include both rental and ownership units.
Rapid Pipeline of Additional Projects
Beyond individual developments, the scale of planned housing is substantial.
South Maui alone has more than 2,000 affordable housing units identified across multiple projects, including developments such as Līpoa Phase I (175 units), Hale Pilina (179 units), and Hale ʻO Lāʻie (175 units).
Additional projects across Maui include hundreds more units in planning or funding stages, with at least nine major developments totaling over 800 units being considered for funding in a single fiscal cycle.
This represents a rapid acceleration in construction activity concentrated in a relatively small geographic area.
What This Means for Workforce Housing
These projects are often presented as solutions to the housing crisis, but the structure of workforce housing reveals a different pattern.
Many of these units are designed for households earning between 80% and 140% of AMI. That places them out of reach for a large portion of local residents who fall below those income thresholds.
At the same time, qualification requirements still allow relatively new residents or incoming buyers to compete for these units. This creates continued competition between long-term local families and better-financed newcomers.
Continued Pressure on Infrastructure and Resources
The expansion of workforce and affordable housing projects is occurring alongside existing infrastructure limitations.
Thousands of new housing units—whether market-rate, workforce, or affordable—still rely on the same road systems, drainage systems, water supply, and public services.
In Kihei, where flooding, drainage limitations, and infrastructure constraints are already well documented, this level of growth adds additional pressure to systems that are already under strain.
A Growing Pattern
The increase in workforce housing projects does not exist in isolation.
It is part of a broader pattern of development across Maui, where large-scale housing expansion continues alongside:
- rising land values
- increasing off-island ownership
- infrastructure limitations
- and ongoing displacement of local residents
The framing may change—from luxury housing to workforce housing—but the underlying pressures on land, water, infrastructure, and community remain.
References and Sources
Social washing refers to statements or policies that make a company appear more socially responsible than it actually is.
https://www.callan.com/blog-archive/social-washing-esg/
Social washing is similar to greenwashing, where corporations market themselves as socially conscious while providing little more than lip service to the causes they promote.
https://www.abtmarkets.com/abt-blog/green-blue-pink-and-social-corporate-washing
Social washing and greenwashing involve companies promoting environmentally or socially responsible branding while masking negative impacts through misleading messaging and campaigns.
https://www.esgthereport.com/what-is-social-washing/
Related Reading: Development, Messaging, and Housing Pressure in Kihei
https://savekihei.org/developers-are-leveraging-anti-tourism-sentiment-to-fuel-runaway-building-boom/
Developer-driven narratives, housing pressure, and infrastructure strain across Maui.
https://savekihei.org/high-density-development-threatens-kihei-neighborhood/
High-density construction in flood-prone areas and its impact on infrastructure and communities.
https://savekihei.org/why-you-should-never-sell-your-home-on-maui/
Long-term housing pressure, off-island ownership, and loss of local housing.
https://savekihei.org/water/
Water use, watershed pressure, and how development affects Maui’s natural systems.
https://savekihei.org/drainage/
Stormwater movement, culvert failures, and flooding patterns across Kihei.