The Hawaii Supreme Court has delivered a nuanced verdict on Governor Josh Green's use of emergency powers to address the state's affordable housing crisis. The court upheld the validity of the current emergency proclamations, but indicated that the initial proclamations issued by Governor Green went too far. This ruling, delivered on September 11, 2025, has significant implications for businesses, entrepreneurs, and investors involved in Hawaii's real estate and development sectors.
The Honolulu Star-Advertiser's report details the Supreme Court's decision, which affirms the legality of the Governor's Affordable Housing Emergency Proclamations. According to the court, the current iterations of emergency proclamations are valid. The Governor's office highlighted the court's holding that the series of emergency proclamations related to affordable housing are indeed valid. This is consistent with Governor Green's stated goal to reduce Hawaii's high cost of living by removing obstacles hindering affordable housing development. Governor Green announced that the new affordable housing projects will focus on helping families affected by the housing crisis.
However, the court also established boundaries. As Civil Beat's analysis points out, the court found the first five proclamations, which covered most of 2023, to have exceeded the Governor’s emergency powers. This suggests that while the current approach is permissible, the court is scrutinizing the scope of the executive's authority during emergencies. This adds an element of uncertainty for developers who may have been relying on the broader provisions initially enacted.
For developers and investors, this ruling necessitates careful consideration. The court's decision clarifies the permissible scope of emergency powers while still supporting the Governor's efforts to expedite affordable housing projects. This may result in a more streamlined process, but also calls for close understanding of and compliance with the limits set by the court. It is crucial for businesses to carefully consider the potential for adjustments to regulations and the specific terms of each proclamation going forward. This decision will shape how the state addresses its housing challenges, ultimately influencing the business environment in Hawaii.
Real estate developers, contractors, and other stakeholders will be watching closely for related policy adjustments and potential changes in land-use regulations. Further insights are available from sources like the Cades Foundation, which offers an overview of the Emergency Proclamation and its effects on developers.



