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SAN DIEGO-Builder KD Development has acquired two parcels of land in the Pacific Beach area of the city for $3.6 million and has plans to develop a mixed-use project on the site, with construction set to begin in the next three months on a condo/retail development. The proximity of the land parcels to one another made the projected development doable, according to a broker who worked on the deals. "They're right next door to each other," says Anthony Villasenor of Grubb & Ellis/BRE Commercial, who represented KD Development in both deals. "Right now they're entitled for commercial, but they have a plan they've been working on for eight months for the condos. They've gotten through the planning department and need a variance for the zoning and they are well on their way."The first parcel, located at 10,323 sf at the northeast corner of Pacific Beach Drive and Mission Boulevard, sold for $712,500. In that deal, KD Development acquired the property from the Taylor O'Brien Trust. In the second deal, KD Development paid the Taylor Trust $2.9 million for 12,013 sf at 4135 Mission Blvd. Currently, Mission Bay Market is on the site. "It will be demolished and construction for the mixed-use project should begin in the first quarter of 2005," Villasenor tells Globest.com. Villasenor represented the seller in both deals. Bernie Sosna of Century 21 Realty represented the buyer in the transactions.Villasenor says KD Development has plans for condominiums on the second and third levels of the project with retail on the first floor. While the specific retail tenants have not been finalized, Villasenor says there will be multiple tenants. "It will be straight retail, something to compliment the [residents]." It's become very popular to build the mixed-use developments, according to Villasenor. "It's the city's wish to do multifamily over retail. It's the 'city of villages' concept. People can live, work and play in their own neighborhood."