Former City Councilman Duke Bainum purchased a $2.3 million, four-bedroom house in Kahala in a sale that closed July 22, the same day he rented an Ala Wai apartment to establish residency and be eligible for an open council seat.

Bainum, a doctor who is also involved in his family's banking business in Arkansas, said yesterday the house was an investment property. He also owns a condo at Nauru Tower and property on the Big Island. He contracted for the Kahala house in May but the sale didn't close until last week, coincidently on the filing deadline for the council.

"What we did is we bought the house — we have multiple residences — but my intention is to live in District 5, and that's what we're doing," Bainum said of the Ala Wai apartment.

Bainum's residency and real-estate activity are under scrutiny because of the haste in which he became a candidate. The city Charter requires candidates to be registered voters in the districts they want to represent.

Bainum had flown in from the Mainland, rented a Marco Polo apartment near the Ala Wai and registered to vote from his new address on July 22 to qualify for a council campaign to replace Councilwoman Ann Kobayashi. The Kahala and Nauru Tower properties are outside of Kobayashi's district.

Kobayashi unexpectedly announced just before the filing deadline that she would run against Mayor Mufi Hannemann.

Bainum had said earlier this year that he might be interested in a Waikiki state Senate campaign, the mayor's race or other political races, but his name did not surface publicly as a replacement for Kobayashi until July 22.

Bainum called the Kahala property a "good deal at this time" that would likely increase in value. Realtors described the house in listings as priced below appraisal and the best buy in Kahala, with mango and avocado trees and views of Waialae Country Club.

State House Majority Leader Kirk Caldwell, D-24th (Manoa), who is awaiting word from the city clerk's office about whether he properly filed to run for the council against Bainum, said it would be up to voters to decide whether Bainum's residency is an issue. He said he wants to focus on policy differences with Bainum but understands he will not be able to until the question of his status as a candidate is resolved.

"It's up to the voters to make a decision about whether him moving into the district at the last minute is an issue," he said.

Residency is often a political issue in campaigns. Caldwell himself sold a home in Maunalani Heights and rented in Manoa when he decided to pursue an open House seat in 2002. Ed Case had vacated the seat to run for governor.