Hawaii’s Big Island offers the perfect market conditions for Equity Residences to create both the vacation and the financial value for our investors. The Mauna Lani Residence Fund offers investors a differentiated real estate investment opportunity that is primed to generate annual returns in an under-supplied short-term vacation rental market.
The Laule’a community in the Mauna Lani Resort is home to our new residence. By working directly with the community’s developer, we have secured reduced pricing for an ocean-view home along the Francis I’i Brown Golf Course. Our exclusive discounted entry price on this new home will enhance the appreciation potential that is already expected as the Mauna Lani Resort approaches new construction capacity. As owners of the home, our investors will be entitled to their share of this appreciation at the end of the Fund’s 12-year life.
Thanks to its welcoming climate, the Big Island has high demand year-round for short-term vacation rental homes. The supply of short-term rentals, however, is constrained by regulations that restrict the number of vacation rental licenses that can be issued on the island.
The homes in the Laule’a community have been granted rare, deeded vacation rental licenses. As a rare rental commodity, this puts the Mauna Lani Residence Fund in a position to generate high rental income that can be used to cover investors’ operating expenses and even generate annual rental dividends. The home’s deeded vacation rental license will also be an important point of differentiation when the time comes to sell.
While the Mauna Lani Residence Fund shows the potential to generate healthy financial returns, we recognize that this opportunity is also a lifestyle-driven investment. Luxury homes in exclusive resort communities are expensive to purchase and own, as is the cost to rent a luxury home for your vacations. At 10% of the cost to buy your own home, the Mauna Lani Residence Fund gives investors the benefits of homeownership without the hassles and costs that go along with it.
Each investor has the right to five weeks of usage per year, representing up to $60,000 in tax-deferred vacations. Feel free to spend all five weeks enjoying the home, or deposit as many weeks as you like for us to rent on your behalf. Use rental proceeds to offset your annual operating fee or even pay yourself a rental dividend. As an owner, the choice is yours!
Owning a luxury vacation home through the Mauna Lani Residence Fund means sharing in your investment’s appreciation and annual rental potential. Timeshares, destination clubs, and fractionals can’t offer those advantages, but Equity Residences can. Ask us for more information on how you can invest in a luxury vacation home on the Big Island that pays financial and lifestyle dividends.
Ask us how performing a 1031 exchange into the Mauna Lani Residence Fund can provide an added boost to your investment’s returns.