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Exploiting the Lahaina Disaster: How Landlords Are Displacing Maui Tenants for Higher-Paying Fire Victims Amid Housing Crisis



image from Politico 8/24 article
THE INSANE PRICE OF ISLAND LIVING

In the aftermath of one of the USA's most mismanaged and underserved natural disasters, one would think that the government of Hawaii and more particularly the local governments in Maui would be doing something to make the Lahaina disaster right by the victims.


Instead, we see yet another facet of the collision between the affluent community and the almost permanent serfdom that surrounds those that wish to resdie in their own homes in an area now known as one of the elite havens in the world.


LAHAINA. MAUI. HAWAII


In the wake of the devastating wildfires that tore through Lahaina, Maui, in August 2023, the community is facing a new and troubling phase of the disaster: a disturbing trend of landlords displacing current tenants to profit from higher rental rates provided to wildfire survivors through government aid programs. This emerging issue highlights a troubling intersection of disaster relief and housing exploitation, adding a new layer of complexity to the ongoing recovery efforts.



The Situation on the Ground


With the recent completion of residential debris removal in many of the affected areas, including the Wahikuli and Māla neighborhoods, local officials are beginning to reopen these zones, allowing displaced residents to return to their homes. The County of Maui is working to facilitate this transition, including increasing police patrols and setting up neighborhood watch programs to maintain security and prevent unauthorized access to the area.

However, as residents start returning to these zones, a disturbing pattern has emerged: some landlords are evicting long-term tenants in favor of housing wildfire survivors at inflated rates through government programs, including those offered by FEMA and state initiatives. This new phase of the crisis underscores a troubling trend where individuals and families who were already struggling to find stable housing are being further victimized by unscrupulous property owners.




The Crisis of Displacement


The immediate aftermath of the Lahaina wildfires saw nearly 8,000 residents temporarily housed in hotels. Despite efforts from the state and federal governments to secure long-term rental units and modular transitional housing, a significant number of survivors remain in temporary accommodations. Governor Josh Green has indicated that about 3,000 people are still living in hotels, with the state making strides to transition these individuals into more permanent housing.

Yet, a troubling trend has surfaced: some landlords, driven by the high rental rates offered through emergency housing programs, have chosen to evict existing tenants to make way for higher-paying disaster survivors. These rates, which can exceed typical rental costs by several thousand dollars, have created an incentive for landlords to push out current tenants in favor of lucrative government contracts.


from the Politico 8/24 article
THOSE PESKY POOR PEOPLE!

The Landlord-Government Dynamic

Property owners have been capitalizing on the government’s willingness to offer above-market rates for rental properties to house survivors. For instance, FEMA and state programs have offered substantial payments—ranging from $5,000 to $11,000 per month depending on the size of the property. This has led to a situation where some landlords, motivated by financial gain, have chosen to evict long-term renters to lease their properties to FEMA or similar aid programs.

In one notable case, a family was evicted so their landlord’s son could move in, while the landlord rented out the property to FEMA for $8,000 a month. Such scenarios are not isolated; complaints about similar practices have become increasingly common, with tenants and housing advocates expressing concern over the exploitation of the disaster relief system.

Official Responses and Gaps in Oversight

Hawaii’s governor and other officials have acknowledged the problem, with Governor Green noting that while most landlords have acted ethically, a minority have exploited the crisis for financial gain. The state’s emergency order aimed to prevent price gouging and unlawful evictions, but enforcement has been challenging. The Hawaii Attorney General’s office has been criticized for not taking stronger action against landlords who violate the order, and many tenants have struggled to fight evictions in court.

Despite the state’s efforts to curb exploitation, the legal framework provides some leeway for landlords. For instance, landlords can legally evict tenants for various reasons, such as needing the property for personal use, provided they do not do so specifically to rent to higher-paying disaster survivors.

The Impact on Displaced Families

The displacement of long-term tenants has had a severe impact on affected families. Many of those who have been pushed out are struggling to find affordable housing in an already tight market. With median rents on Maui having surged significantly since the fires, the added pressure of finding new homes has compounded the difficulties faced by displaced individuals and families.

Peter Sunday, whose family was forced out of their home, highlighted the emotional and financial toll of such evictions. His family has faced constant relocation, often at higher costs than before, leaving them in a precarious and stressful situation.

Moving Forward

Addressing this issue requires a multifaceted approach. Stronger oversight and enforcement of existing regulations are essential to ensure that disaster relief programs are not exploited for profit. Additionally, increasing transparency in rental agreements and expanding support for affected families can help mitigate the negative effects of this crisis.

As Lahaina continues its recovery and rebuilds, it is crucial for all stakeholders—including government officials, property owners, and community organizations—to work together to ensure that the aid intended for survivors does not inadvertently lead to further harm for those who were already vulnerable. The ongoing struggle against housing exploitation serves as a reminder of the complexities and challenges inherent in disaster recovery, underscoring the need for vigilance and compassion in the face of adversity.

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