Bay Area Woman Embroiled in Legal Battle After $500k House Mistakenly Built on Her Hawaiian Property
ICARO Media Group
Annaleine "Anne" Reynolds, the rightful owner of a vacant lot in Hawaiian Paradise Park, was shocked to discover the unauthorized construction and is now facing a lawsuit from the developer.
Reynolds had purchased the one-acre (0.40-hectare) lot in the Puna district of the Big Island at a county tax auction back in 2018, for a modest sum of approximately $22,500. However, she was unable to utilize the property due to the ongoing pandemic and was in California when she received an unexpected call from a real estate broker, revealing that the house on her lot had been sold.
The developer responsible for the mix-up, Keaau Development Partnership, had hired PJ's Construction to build a dozen homes on the properties acquired in the subdivision. However, in an unfortunate error, PJ's Construction proceeded to build the house on Reynolds' lot instead. Consequently, Reynolds, the construction company, the architect, and other parties involved are now facing legal repercussions with the developer taking legal action.
According to James DiPasquale, Reynolds' attorney, there is a flurry of blame circulating between the developer, contractor, and subcontractors involved. Reynolds rejected an offer from the developer to exchange her lot for a neighboring one of equal size and value, citing the potential dangers of setting a precedent that could enable individuals to build on someone else's land and subsequently sue for its value.
Peter Olson, an attorney representing the developer, stated that most lots in the tropical Hawaiian Paradise Park are indistinguishable, pointing out the developer's belief that Reynolds aims to exploit PJ Construction's mistake for financial gain, despite the offer of an identical lot. In response, Reynolds has filed a counterclaim against the developer, asserting her unawareness of the unauthorized construction.
As the legal proceedings continue, it has come to light that the developer's decision not to hire surveyors may have contributed to the unfortunate situation. Additionally, reports indicate that the vacant house has attracted squatters, further complicating the matter.
This unique case highlights the complexities and potential pitfalls in real estate development, where even simple mistakes can have significant consequences. As Reynolds fights to reclaim her property, the outcome of this legal battle will have far-reaching implications for both parties involved and potentially set a precedent for future disputes of a similar nature.