California woman left stunned after a $500K Hawaii house is mistakenly built on a dream plot of land she'd bought to launch new business - and now the developers are suing HER

A woman who purchased a plot of land to set-up her dream business was shocked to discover a $500,000 house was mistakenly built on her lot.

Annaleine 'Anne' Reynolds purchased a one-acre lot in Hawaii's Paradise Park for around $22,500 in 2018.

Reynolds fell in love with the lot and was excited to transform it into the oasis for her business of hosting women's meditative healing resorts.

While she was spending time in California during the pandemic, waiting for the right moment to launch her business venture, Reynolds got a shocking phone call from a real estate broker.

The broker told Reynolds that he had sold a half-a-million dollar house that was mistakenly built on her plot of land.  

The mix-up happened when local developer Keaau Development Partnership hired PJ's Construction to build about a dozen homes on the land that the developer bought in the subdivision - but the company built one on Reynolds's lot.

Reynolds, along with the construction company, the architect and others, are now being sued by the developer.

'There's a lot of fingers being pointed between the developer and the contractor and some subs,' Reynolds' attorney James DiPasquale said.  

Reynolds described the land she purchased as 'sacred' and said that she chose to buy it because that specific property had 'all the right qualities.'

She rejected the developer's offer for a neighboring lot of equal size and value, according to court documents. 

Reynolds's attorney says she shouldn't be forced to pay, 'It would set a dangerous precedent, if you could go on to someone else's land, build anything you want, and then sue that individual for the value of it,' DiPasquale said.

Most of the lots in jungle-like Hawaiian Paradise Park are identical, noted Peter Olson, an attorney representing the developer.

'My client believes she's trying to exploit PJ Construction's mistake in order to get money from my client and the other parties,' Olson told The Associated Press Wednesday of her rejecting an offer for an identical lot.

She has filed a counterclaim against the developer, saying she was unaware of the 'unauthorized construction.'

An attorney for PJ's Construction told Hawaii News Now the developer didn't want to hire surveyors.

The empty house has attracted squatters, according to neighbors who said the brand new vacant home is the perfect target for squatters. 

'Before they put the fence on the property there were people coming, looking inside,' a neighbor said. 

Reynolds, who repeatedly escribed the situation as 'awful,' said there has even been feces found inside the house.

'It was so disgusting,' she told Fox19. 

Reynolds has had to pay for fencing to surround the empty new house, but that isn't the only expense she is covering. She is also paying several thousand dollars in property taxes.

The developer has pulled everyone involved into the lawsuit so that a judge can decide who is ultimately responsible for the drastic mistake.