Scholars widely agree that modular technologies can significantly improve environmental sustainability compared to traditional building methods. There has been considerable debate about the viability of replacing traditional cast-in-place structures with modular construction projects. The primary purpose of this study is to determine the feasibility of using modular technology for construction projects in island areas. Thus, it is necessary to investigate the potential problems and suitable solutions associated with modular building project implementation. This study is accomplished through the use of qualitative and quantitative methods. It systematically examines desk research based on the wide academic literature and real case studies, collating secondary data from government files, news articles, professional blogs, and interviews. This research identifies several important barriers to the use of modular construction projects. Among the issues are the complexity of stakeholder engagement, limited practical skills and construction methodologies, and a scarcity of manufacturing capacity specialised for modular components. Fortunately, these unresolved challenges can be mitigated through fiscal incentives and governmental regulations, induction training programmes, efficient management strategies, and adaptive governance approaches. As a result, the findings support the feasibility of starting and advancing modular building initiatives in island areas. Project developers will likely be more willing to embrace and commit resources to initiate modular building projects. Additional studies can be undertaken to acquire the most recent first-hand data for detailed validation.