About Canaan LLC and Small Cottages Hawaii
Small Cottages Hawaii is a division of Canaan Builders LLC, a residential and commercial construction company based in Hawaii with a history spanning several decades. Founded by Raymond C. Suiter in 1978, Canaan Builders has been involved in a range of construction projects across Oahu, Hawaii, Maui, and Kauai. In 2014, the company was restructured as Canaan Builders LLC, and shortly after, a dedicated division — Small Cottages Hawaii — was established to focus specifically on the growing demand for accessory dwelling units (ADUs) in Honolulu.
The formation of this division was a direct response to the ADU Ordinance signed into law in September 2015, which was introduced to help address the residential housing shortage in Honolulu. Canaan Builders recognized that their construction experience and capabilities were well-suited to this emerging market, and they set out to offer a quality-focused approach to ADU construction — one that would avoid the issues historically associated with unpermitted "Ohana" structures, such as overcrowded lots, strained infrastructure, and parking problems.
ADU Construction Services in Hawaii
As an ADU contractor and accessory dwelling unit builder, Canaan Builders LLC constructs ADUs that comply with the parameters set out by the Honolulu ADU Ordinance. The key guidelines they work within include:
- For residential lots between 3,500 and 5,000 square feet, one ADU of up to 400 square feet of living space may be built.
- For residential lots of 5,000 square feet or greater, one ADU of up to 800 square feet of living space may be built.
- In all cases, at least one off-street parking space must be provided for the ADU occupants.
Small Cottages Hawaii offers pre-designed ADU dwelling units as well as custom-designed units for property owners who have specific requirements or preferences. All ADU plans are then constructed by Canaan Builders LLC, ensuring that the design and build process remain under one roof.
These small cottages are built to be properly permitted and approved by the City and County of Honolulu, which distinguishes them from the older, unpermitted Ohana structures that often created neighborhood issues. The goal is to produce a well-integrated addition to a property — sometimes referred to as a backyard cottage or granny flat — that adds value rather than detracting from it.
Practical Uses and Benefits for Property Owners
There are several practical ways a property owner on Oahu might make use of an ADU built by Canaan Builders:
- Extended family housing: The cottage can provide a living space for a son, daughter, or other family member who needs temporary accommodation while saving for their own home.
- Rental income: The ADU can serve as an officially approved rental or Ohana Dwelling Unit, available for rental periods of six months or longer, providing the property owner with additional income.
- Downsizing option: Property owners living in a larger home after their children have moved out may choose to relocate into the newly built ADU themselves and rent out the main residence.
- Increased property equity: A properly designed and permitted ADU, when compatible with the existing property, can contribute to an increase in the overall equity value of the property.
Canaan Builders positions their Small Cottages Hawaii ADUs as a more durable and livable alternative to widely marketed "tiny homes" or prefabricated kit homes. Their focus is on quality construction that meets city ordinance requirements while offering a functional and comfortable living space within a smaller footprint.
