Maui’s Bill 9: What the Phase-Out of Apartment-District Vacation Rentals Could Mean for Long-Term Housing
Maui County is moving ahead with a major policy shift that could reshape how many apartment-zoned condos are used. Bill 9 (2025), now in CD1 form, would phase out transient vacation rentals (TVRs) in Apartment Districts by July 1, 2030, including units that have been operating for decades under older “grandfathering” rules.
For the Hawaii Rental Housing Providers Alliance (HRHPA), this bill matters—not because we take a position for or against short-term rentals, but because it could influence how much housing is actually available for long-term renters and how small “mom-and-pop” owners are treated in the process.
What Bill 9 Would Do in Plain Language
If Bill 9, CD1 is adopted:
TVRs in Apartment Districts must shut down by July 1, 2030. Units that were legally operating as TVRs before July 1, 2025, can continue only until June 30, 2030. After that, TVR use in Apartment zoning is no longer allowed or recognized as a legal nonconforming use.
The special TVR exception in the Apartment chapter is repealed. The long-standing language in 19.12.020(G), which allowed certain pre-1989 apartment buildings to operate TVRs, is removed.
Timeshare projects are treated differently. Validly existing timeshare units and time-share plans remain exempt from the phase-out.
The County must notify affected owners. By January 1, 2026, the Director of Finance (with the Planning Director) must mail notices to owners and publish notice in the newspaper, explaining the phase-out timeline and when TVR use must stop.
Maui’s Council ties this move to the severe housing shortage and the devastating loss of more than 5,400 households in the August 2023 wildfires, which displaced about 12,000 people.
Key Dates for Owners
Date / PeriodWhat It MeansBefore July 1, 2025TVR must be a lawful use in Apartment Districts to qualify for the amortization period. By Jan. 1, 2026County mails and publishes notice to affected owners.Through June 30, 2030TVRs in Apartment Districts may continue operating under existing lawful status. July 1, 2030TVR use in Apartment Districts must cease; units will no longer be recognized as nonconforming TVRs.
How Could This Affect Long-Term Housing?
In theory, shifting Apartment-zoned TVR units out of the visitor market could free up more homes for residents. This aligns with the original purpose of Apartment zoning: higher-density, long-term housing.
But what actually happens on the ground will depend on owner choices and building dynamics:
Some owners may convert to long-term rentals, adding badly needed supply for Maui households.
Others may sell, with buyers using the units as second homes or leaving them vacant.
Some associations may have CC&Rs, parking limits, or cultural norms that make them more or less welcoming to long-term tenants.
For HRHPA, the critical question is: How many of these units will truly become long-term rentals, and under what conditions?
What This Means for Different Owners
Current TVR owners in Apartment Districts (Maui):
You’re facing a significant shift in rights and income planning. The 2030 date gives some runway, but it is effectively a countdown. Owners will need to reevaluate financing, HOA budgets, and exit strategies—and consider whether long-term rental is a viable new use.Long-term housing providers\ in or near affected buildings:
You may experience changes in your AOAO’s mix of owners and in building culture as TVR units transition. You could also see more competition for long-term tenants—or more stability, depending on how many units convert.Prospective long-term housing providers:
Some formerly TVR-heavy complexes may present new opportunities to buy and rent long-term, but you’ll want to look closely at house rules, parking, and owner expectations before jumping in.
HRHPA’s Perspective
HRHPA’s mission is to support sensible, stable policies that protect both housing providers and the residents who rely on private rental housing. On Bill 9, we are watching for:
Clear, timely information for small owners so no one is “surprised” in 2029.
Data transparency on how many units actually transition into long-term rentals.
Support for owners who want to pivot—education on leases, fair housing, maintenance, and best practices for being a long-term housing provider.
Regulatory stability going forward, so that long-term rental providers aren’t subjected to sudden, retroactive changes after they’ve retooled their use to meet community needs.
We are not providing legal advice, and every owner’s situation is different. If you’re personally affected by Bill 9, you should consult with your own attorney, tax professional, and AOAO to understand your options.
Stay Informed & Share Your Voice
If you own rental housing on Maui or elsewhere in Hawaiʻi—whether you’re a current long-term housing provider or considering converting from a TVR—we want to hear from you.
Join the Hawaii Rental Housing Providers Alliance (HRHPA) to:
Receive updates when bills like this move through county and state councils.
Access educational resources designed for DIY, mom-and-pop housing providers.
Help shape a balanced, practical advocacy voice that recognizes both community housing needs and the realities of owning and operating rental property.
Disclaimer: This blog post is for informational and educational purposes only and does not constitute legal, tax, or financial advice. If you need advice about your specific property or situation, please consult your own attorney, CPA, or other qualified professional.
