Kauai Shoreline Setback Changes 2026

Hot Topics Reba Roy February 16, 2026

Kauai Shoreline Setback Proposals:

What Property Owners, Buyers, and the Market Should Understand

By Reba Roy, Realtor — Corcoran Pacific Properties

Does This Affect Me?

That is the first question many are asking about Kauai’s proposed shoreline setback changes under Bills 2969 and 2984.

Some properties will be directly affected. Others may not be.

But anytime government considers changes that alter property rights, rebuilding standards, development timelines, or long-term land use expectations, the impact extends beyond a single parcel.

This is about market clarity, regulatory direction, and informed civic participation.

If you own property on Kauai, are considering purchasing near the coastline, or simply want to understand how policy decisions influence long-term property value, this is worth your attention.


Why This Matters to the Broader Market

Kauai’s coastline is one of the island’s defining assets. Many of our most desirable neighborhoods and Visitor Destination Areas (VDAs) were intentionally developed along the shoreline.

When regulatory changes affect oceanfront or near-ocean properties, the effects can extend into:

  • Buyer sentiment
  • Financing considerations
  • Insurance underwriting
  • Future development planning
  • Disclosure obligations
  • Market valuation trends

Even properties that are not directly subject to new setback rules may experience indirect market influence if regulatory uncertainty increases.

This is why awareness matters — even for those not directly abutting the shoreline.


Visitor Destination Areas (VDAs) and Condominium Complexes

Because Visitor Destination Areas are typically located along the coastline, many condominium complexes and resort properties are near — and sometimes directly abut — the shoreline.

Not every unit in every complex would be directly subject to shoreline setback changes. However, when oceanfront buildings within a development are affected, questions can arise about:

  • Association planning and reserves
  • Long-term rebuilding standards
  • Mandatory removal agreements (if required)
  • Insurance and financing implications
  • Future market perception

In mixed complexes, some buildings may front the ocean while others do not. If front structures face increased regulatory obligations, that reality can influence the overall community discussion.

This is not automatic or universal — but it is part of responsible market awareness.


Who Is Directly Affected?

Now we move from broad market context to property-specific impact.

Most Likely to Be Directly Affected:

  • Properties that directly front or abut the shoreline (certified shoreline on property boundary)
  • Beachfront or oceanfront homes
  • Properties within approximately 500 feet of the shoreline where Planning may impose additional conditions
  • Small coastal lots with limited depth
  • Properties with pending permits or planned improvements

Less Likely to Be Directly Affected:

  • Properties more than ~500 feet inland
  • Properties within the SMA but not subject to shoreline setback measurement
  • Inland subdivisions separated from shoreline by other parcels

Key Distinction: The Special Management Area (SMA) is a broad coastal zone. Shoreline setback rules apply specifically to properties measured from the certified shoreline.

Being in the SMA does not automatically mean the new shoreline setback rules apply — but understanding your classification is important.


What the Bills Propose (5-Minute Summary)

Bills 2969 and 2984 are competing proposals. The Council will ultimately choose one version. Both introduce substantial changes.

1. Increased Setback Requirements

  • Base setback: 40 ft → 60 ft
  • Maximum setback: 100 ft → 120 ft
  • Total potential restriction including buffer: approximately 80 feet

Implication: Reduced buildable area on certain coastal lots.

2. Removal of Small Lot Hardship Relief

Small lot size would no longer qualify as hardship.

Implication: Some legally created lots may become significantly constrained or potentially unbuildable.

3. Mandatory Removal Agreements

In certain circumstances, property owners may be required to agree to remove structures if erosion reaches them.

Implication: Long-term planning, financing, insurance, and resale considerations may shift.

4. Elimination of Emergency Protection Provision

Temporary emergency protective measures during declared disasters would be removed.

5. Shortened Construction Timelines and Expanded Documentation

6. Possible Retroactive Application to Pending Permits

These elements are why market participants are paying attention.


Property Rights, Precedent, and Civic Responsibility

I support protecting Kauai’s coastline. Our shoreline is environmentally and culturally vital.

At the same time, regulatory expansion always raises broader questions:

  • How are rules differentiated by actual shoreline type?
  • How are investment-backed expectations respected?
  • How are property tax assessments aligned with restricted use rights?
  • How are enforcement and administrative costs funded?
  • What precedent does this set for future land-use decisions?

These are governance questions.

When property rights are adjusted — even for legitimate policy goals — stakeholder participation matters.


How to Determine If Your Property Is Affected

To determine whether these proposed changes apply directly to your parcel, contact the Kauai Planning Department:

Phone: (808) 241-4050
Email: [email protected]

Ask:

  1. Does my property directly front the certified shoreline?
  2. What is the distance from the certified shoreline to my property line?
  3. Would Bills 2969 or 2984 alter my setback requirements?

Need a Simple Step-By-Step Guide?

I created a detailed decision guide that walks you through determining whether these bills affect your specific property, including a copy-and-paste email template to send to Planning.

Determine If These Bills Affect My Property →


Upcoming Public Hearing

Public Hearing & Vote: March 18, 2026

Written testimony: [email protected]

Remote testimony registration: [email protected]

Review the proposed bills:


Professional Perspective

As a Realtor, my responsibility is to monitor policy shifts that influence property value, risk, and long-term planning.

I am not personally affected by these bills. My role is to ensure my clients — buyers, sellers, and property owners — have accurate information.

Informed markets are stable markets.

If you are buying or selling coastal property — or simply want clarity on how these proposals may relate to your specific situation — I am always available to discuss.

 

Reba Roy
Corcoran Pacific Properties
808-482-9700
[email protected]

Educational purposes only. Not legal, tax, or engineering advice. Please consult appropriate licensed professionals regarding your specific situation. If your property is currently listed or you are represented by a licensed real estate professional, this is not a solicitation.

Get in Touch With Reba Today!