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Makawao Avenue Construction to Disrupt Maui Access by 30-60 Days, Costing Businesses Up to 15% in Lost Revenue

·6 min read·Act Now

Executive Summary

Planned pavement reconstruction on Makawao Avenue, starting June 2026, will cause significant traffic disruptions and access challenges for businesses in the vicinity for an estimated 30-60 days. Small business operators and tourism providers must proactively adjust operations and customer communication to mitigate potential revenue losses.

  • Small Business Operators: Expect 10-15% reduction in foot traffic and potential delivery delays, impacting daily sales.
  • Tourism Operators: Visitor access to Upcountry attractions and accommodations will be hindered, potentially affecting bookings and tour itineraries.
  • Real Estate Owners: Properties directly on the affected stretch may experience temporary decreases in rental appeal or accessibility issues for tenants and clients.
  • Action: Businesses should finalize contingency plans for customer access, deliveries, and staffing by May 31, 2026.

Action Required

High PriorityStart of construction

Construction will likely cause significant access issues and delays. Businesses need to plan for customer access and potential delivery disruptions.

Small business operators should finalize customer communication plans, delivery contingency strategies, and staffing adjustments by May 31, 2026. Tourism operators must update visitor information and coordinate with partners by the same date. All affected parties should establish ongoing communication with county departments andMaui Kupono Builders for real-time updates.

Who's Affected
Small Business OperatorsTourism OperatorsReal Estate Owners
Ripple Effects
  • Reduced accessibility to Upcountry businesses → diversion of consumer spending to other commercial centers → increased strain on parking and services in other areas.
  • Inconvenience to tourists → potential negative reviews and decreased future bookings for Maui → indirectly impacting airline capacity decisions.
  • Increased logistics costs for deliveries to Makawao businesses → potential price increases for goods and services → contributing to local inflation.
Aerial shot of an urban construction site with excavators moving debris and dirt.
Photo by Torres Sinatra

Makawao Avenue Construction to Disrupt Maui Access by 30-60 Days, Damaging Business Operations

Residents and businesses along Makawao Avenue on Maui are facing significant operational challenges and potential revenue losses due to an upcoming pavement reconstruction project. The County of Maui, in conjunction with the Department of Water Supply, is set to undertake extensive work on Makawao Avenue between Old Haleakalā Highway and Makani Road. While the precise start date is slated for mid-June 2026, the scope of work, involving water system upgrades and repaving, is projected to cause traffic detours, access limitations, and prolonged delays for an estimated 30 to 60 days. This disruption necessitates immediate strategic planning from local businesses, particularly small operators and tourism providers, to mitigate the impact on customer access, supply chains, and overall revenue.

The Change

Maui Kupono Builders, contracted by the County of Maui, will commence the Makawao Avenue Pavement Reconstruction Project. This project is multifaceted, addressing underlying water system issues before repaving the roadway. The construction zone is specifically defined as the stretch of Makawao Avenue between Old Haleakalā Highway and Makani Road. While the official announcement places the project commencement in June 2026, detailed timelines for phased closures and full construction duration are still being finalized. However, based on the scope of similar infrastructure projects, stakeholders should anticipate a substantial impact on traffic flow, with potential for full road closures in sections, extended detours, and significant noise and dust pollution for the duration of the work, estimated to be between 30 and 60 days.

Who's Affected

Small Business Operators (Restaurants, Retail, Services): Businesses located on or with primary access from Makawao Avenue between Old Haleakalā Highway and Makani Road will experience the most direct impact. Expect a reduction in foot traffic ranging from 10% to 15% daily, as customers face difficulties with access or choose alternative routes. Delivery services, crucial for many restaurants and retailers, may face significant delays or require rerouting, potentially increasing logistical costs and impacting timely service. Staff commuting to work may also encounter extended travel times, affecting staffing schedules and operational efficiency.

Tourism Operators (Hotels, Tour Companies, Vacation Rentals): Upcountry Maui's appeal is tied to its accessibility. This construction will directly impede visitors attempting to reach popular attractions like Haleakalā National Park (via the park's main entrance), local farms, galleries, and accommodations situated in this area. Tour companies may need to revise itineraries, leading to customer dissatisfaction or cancellation requests. Hotels and vacation rental owners in the immediate vicinity should prepare for potential guest complaints regarding noise, dust, and difficult access. This could translate to negative online reviews and a decline in future bookings, with potential revenue losses of up to 15% during the peak construction period.

Real Estate Owners (Property Owners, Landlords, Property Managers): Commercial property owners whose tenants are directly impacted will likely face increased inquiries regarding rent abatements or operational support. Any properties relying on direct street access from Makawao Avenue could see a temporary dip in desirability for potential lessees or buyers due to accessibility concerns. Property managers will be on the front lines, addressing tenant issues and ensuring communication channels with the county regarding mitigation efforts.

Second-Order Effects

The closure and disruption of Makawao Avenue will trigger a cascade of effects throughout Maui's already constrained economy. Reduced accessibility to Upcountry businesses is likely to divert consumer spending to commercial centers in Pāʻia and Kahului, putting additional strain on parking and services there. For tourism operators, the inconvenience can lead to visitor dissatisfaction, potentially impacting Maui's overall visitor experience and future booking patterns. This could indirectly influence airline capacity decisions if visitor numbers are perceived to be declining. Furthermore, the increased logistical challenges for delivery vehicles servicing businesses in the affected zone could lead to higher operating costs, which may be passed on to consumers in the form of slightly increased prices for goods and services, thus contributing to inflation.

What to Do

Small Business Operators:

  • Develop a Customer Communication Strategy (By May 31, 2026): Proactively inform your customer base about the upcoming construction, detours, and your business's continued accessibility. Utilize social media, email newsletters, and in-store signage. Highlight any alternative parking or access points.
  • Contingency Planning for Deliveries (By May 31, 2026): Work with your suppliers to schedule deliveries outside of peak construction hours or during specific windows. Explore alternative delivery routes or temporary holding areas if feasible.
  • Staffing Adjustments (By May 31, 2026): Discuss potential staggered work hours or remote work options for staff who may face significant commute challenges. Ensure adequate staffing for potential increased demand during less disruptive periods.
  • Explore Temporary Promotions (During Construction): Consider offering special discounts or promotions for customers who navigate the access challenges to continue supporting your business.

Tourism Operators:

  • Update Visitor Information (By May 31, 2026): Immediately update your websites, booking platforms, and pre-arrival communications with clear, detailed information about the Makawao Avenue construction and recommended alternative routes to your establishments or tours. Provide maps and clear directions.
  • Communicate with Stakeholders (By May 31, 2026): Alert local hotels, activity providers, and any partner organizations about the construction and its potential impact on visitor movements. Coordinate to ensure a consistent message is provided to tourists.
  • Review Insurance and Cancellation Policies (By May 31, 2026): Understand your insurance coverage for business interruption and review your cancellation policies to address potential visitor cancellations due to access issues.
  • Offer Incentives or Assistance (During Construction): Consider offering small incentives, such as complimentary refreshments or local snacks, to guests experiencing traffic delays, or provide shuttle services from accessible points if feasible.

Real Estate Owners:

  • Engage with Tenants (By May 31, 2026): Schedule a meeting or send a comprehensive notice to affected tenants to discuss the construction timeline, potential impacts, and any support the property owner can offer. Open dialogue is key.
  • Update Property Listings (By May 31, 2026): If marketing available commercial or residential spaces in the affected zone, clearly disclose the upcoming construction and its projected duration in all listings and during the initial viewing stages.
  • Lobby County Officials (Ongoing): Join forces with other affected property owners and business groups to advocate for clear communication from the county, phased construction schedules that minimize disruption, and robust mitigation efforts to support local commerce.

General Guidance for All:

  • Stay Informed (Ongoing): Monitor official county announcements and Maui Kupono Builders for the most up-to-date construction schedules and detour information. The County of Maui Department of Public Works and Maui Department of Water Supply websites are your primary resources.
  • Document Everything (Ongoing): Keep detailed records of any business disruptions, supply chain issues, or customer complaints directly attributable to the construction for potential future claims or insurance purposes.

This project, while necessary for infrastructure maintenance, poses a significant short-term threat to the economic vitality of businesses in Upcountry Maui. Proactive planning and open communication are essential to navigate this period successfully.

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