E. Construction

1st Quarter 2023 Report

Download Construction Data Tables (spreadsheet)

The indicators of Hawaii’s construction industry were mixed in the fourth quarter of 2022. Construction jobs and private building authorizations increased in the quarter, but Government contracts awarded and State government CIP expenditures decreased.

In the fourth quarter of 2022, the number of jobs in the construction sector increased 4.4 percent or 1,600 jobs compared with the same quarter of 2021. In 2022, the construction sector lost 700 jobs or 1.9 percent (Table A-7) from the previous year.

In the fourth quarter of 2022, private building authorizations in the state increased $620.0 million or 93.8 percent, compared with the fourth quarter of 2021 (Table E-8). In 2022, private building authorizations in the state decreased $180.1 million or 4.8 percent compared with the previous year.

In the fourth quarter of 2022, private building authorizations in Honolulu increased $565.9 million or 201.7 percent, compared with the fourth quarter of 2021 (Table E-8). In 2022, private building authorizations in Honolulu decreased $243.9 million or 10.8 percent, compared with the previous year.

In the fourth quarter of 2022, private building authorizations in Hawaii County increased $17.8 million or 9.3 percent, compared with the fourth quarter of 2021 (Table E-8). In 2022, private building authorizations in Hawaii County increased $128.1 million or 17.6 percent, compared with the previous year.

In the fourth quarter of 2022, private building authorizations in Maui increased $127.3 million or 16.8 percent, compared with the fourth quarter of 2021 (Table E-8). In 2022, private building authorizations in Maui decreased $63.6 million or 10.0 percent compared with the previous year.

In the fourth quarter of 2022, private building authorizations (residential only) in Kauai increased $9.0 million or 33.4 percent, compared with the fourth quarter of 2021 (Table E-8). In 2022, private building authorizations in Kauai County decreased $0.7 million or 0.5 percent compared with the previous year.
In the fourth quarter of 2022, government contracts awarded decreased $3,368.0 million or 86.6 percent, compared with the fourth quarter of 2021 (Table E-1).

In 2022, government contracts awarded increased $818.9 million or 15.9 percent compared with the previous year. A Navy contract was awarded in June 2022 that designated Hawaii as ‘place of performance’ for 95 percent or $945.3 million of the contract. The Navy awarded a $32.4 million contract in August; however, Hawaii was not designated as place of performance.

State government CIP expenditures decreased $4.4 million or 1.4 percent in the fourth quarter of 2022 compared with the same quarter of 2021. In 2022, state government CIP expenditures declined $21.4 million or 1.6 percent from the previous year (Table E-2).

The Honolulu Construction Cost Index for Single Family Residence (Table E-6) increased 6.3 percent in the fourth quarter of 2022 compared to the same quarter of 2021 and similarly increased 6.6 percent for High-Rise Building (Table E-7). In 2022, the index for Single Family Residence increased 6.2 percent and 6.1 percent for High-Rise Building as compared to the previous year.

Average home prices decreased 1.9 percent in the fourth quarter of 2022, with single family home prices down 10.4 percent and condo prices up 5.1 percent over the same quarter of the previous year (Table E-9). The purchase of homes decreased 43.1 percent for local buyers, declined 39.6 percent for mainland buyers, and decreased 31.0 percent for foreign buyers over the same quarter of the previous year (Table E-10).

In the fourth quarter of 2022, Honolulu’s median price for single family resales was $1,083,500, up $33,500 or 3.2 percent over the same quarter of 2021 (Table E-11). The median price for condominium units was $500,000, up $5,000 or 1.0 percent over the same quarter of 2021 (Table E-12). In the fourth quarter of 2022, the number of single-family unit resales decreased 45.5 percent, and the number of condominium unit resales decreased 37.1 percent, compared with the fourth quarter of 2021 (Tables E-13 and E-14). In 2022, the number of single-family unit resales decreased 23.2 percent, and condominium unit resales decreased 11.8 percent compared with the previous year.