President-elect Barack Obama will be returning to Kailua for the holidays, The Associated Press reported yesterday.

A Democratic insider told AP that Obama plans to stay at an exclusive beachfront enclave in Kailua during his vacation. The enclave, according to the insider who spoke on condition of anonymity, includes three modern, multimillion-dollar homes.

The homes wrap around a swimming pool, with palm trees and grassy lawns.

Obama and his friends plan to rent the privately owned homes for several days.

Obama last stayed in Kailua in August, when he took a weeklong vacation with his family.

He was most recently in Hawai'i in October to visit his ailing grandmother, Madelyn Dunham, who raised him for much of his youth. Dunham died Nov. 2 at the age of 86, two days before Obama won the presidency.

While in Hawai'i over Christmas, Obama also is expected to pay tribute to his grandmother, who was cremated, with a private family ceremony.

Obama's spokesman would not comment on his holiday travel plans, including when his vacation will be. And Democratic Party leaders and officials called by The Advertiser said they could not confirm or deny the AP report.

Still, there was plenty of buzz yesterday about Obama returning to the Islands.

"I think all of us are delighted to have him coming back to Hawai'i," said Andy Winer, an attorney who was director of the Obama campaign in Hawai'i. "For him to select Hawai'i as the first place to vacation after he got elected speaks volumes about him. Now, he needs some rest and relaxation."

Brian Schatz, the chairman of the Democratic Party of Hawai'i, said Obama needs a break before he takes on the toughest job on earth in January.

"We hope we can provide a restful vacation for the Obama 'ohana," he said. "We hope they get a chance to relax."

Kelli Furushima, a longtime Obama supporter who attended Punahou School with him, said everyone is excited about Obama's return, but also cognizant that he needs some space during his vacation to pay his respects to his grandmother.

"It's definitely not a time to be hounding him," she said yesterday. "We still feel really sorry for him. We definitely want to give him some space."

Gov. Linda Lingle indicated this week that Valerie Jarrett, a close Obama friend and co-chair of his transition office, would accompany Obama to the Islands. Lingle said she intended to meet with Jarrett. The governor also invited Obama to meet with her, her spokesman said.