Hawai‘i faces a severe housing shortage, driven by high costs and regulatory barriers that hinder new development. One emerging factor is the rise of construction liability litigation. While issues like land use constraints, infrastructure availability, and permitting delays have long been recognized as major challenges to housing affordability, litigation is becoming an increasingly significant source of uncertainty and risk in Hawai‘i’s housing market. This report examines how the resulting costs and risks borne by homeowners, builders, and insurers may contribute to higher housing expenses, project delays, and reduced future development. It does not evaluate the legal merits or demerits of these cases, only their economic implications.
UHERO’s Trey Gordner provides an overview of the Construction Defect Litigation study in this episode of UHERO Focus