Unexpected Hurdles in Maui’s Vacation Rental Phase-Out Plan
Maui County’s ambitious plan to phase out thousands of vacation rentals has hit a significant snag just days after Mayor Richard Bissen signed the controversial Bill 9 into law on December 15, 2025.
The original legislation aimed to convert approximately 6,100 transient vacation rentals in apartment-zoned districts into long-term housing for residents. This was particularly targeted towards those displaced by the devastating August 2023 Lahaina wildfires. The plan would have increased the island’s housing stock by roughly 13 percent. However, the Maui County Council convened again on December 19 to discuss Resolution 25-230, which could dramatically alter the plan’s scope.
The new resolution proposes creating two additional hotel zoning districts (H-3 and H-4) where short-term rentals would be allowed to continue operating. A temporary investigative group has recommended that approximately 4,500 units transition into these proposed new hotel districts. If approved, this would mean only about 1,500 vacation rentals would be phased out instead of the originally planned 6,100 units—a reduction of over 75 percent from the initial goal. This development underscores the ongoing tension between addressing Maui’s severe housing crisis and maintaining the island’s crucial tourism economy.
Source: TravelPulse