New Hotel Zoning for Vacation Rentals Passes Maui Council

6/23/2026

The Maui County Council has approved Bill 88, a measure that creates two new hotel zoning districts, H-3 and H-4, designed to provide a legal pathway for thousands of vacation rental units currently located in apartment-zoned areas to potentially reclassify as hotels. The legislation is closely tied to earlier action under Bill 9, which began phasing out certain vacation rentals in apartment districts. Bill 88 does not rezone any properties directly but establishes the framework for future rezoning applications, particularly affecting roughly 4,500 grandfathered units on 104 properties known as the Minatoya List. Supporters argue the measure modernizes outdated zoning rules and offers a structured transition for long-standing vacation rental operations. Critics warn it could undermine housing goals and benefit out-of-state investors more than local residents. The bill now goes to Mayor Richard Bissen for final approval after already receiving earlier support from his administration.

Maui Now (06/22/26) Brian Perry