HI SR38

Requests the Department of Business, Economic Development, and Tourism (DBEDT) to study the feasibility of using mezzanine loans to increase housing production in Hawaii.

Mezzanine loans are debt-equity instruments that could help housing developers reduce the equity they need to provide lenders, potentially lowering financing costs and accelerating construction.

The resolution cites Hawaii's severe housing shortage, the nation's highest housing costs, and declining availability of traditional construction mortgages as reasons for exploring alternative financing mechanisms.

DBEDT must submit findings, recommendations, and any proposed legislation to the Legislature no later than twenty days before the 2027 Regular Session.