Controversial $1.4B Mixed-Use Project Gains Approval

(To read more on the multifamily market, click here.)

SAN DIEGO-An embattled project set for the Petco Park area has received city approval after a brief, but testy battle between the developers and several critics. Call the outcome a sacrifice fly—from both sides of the fence.At stake was the development of a seven-acre parcel near the Padres’ home. Known as Ballpark Village, the $1.4 billion project will count 3.2 million sf of residential, office and retail space.What upset critics of the project was a decision by the developers – JMI Realty and Lennar-San Diego Urban Division – to shift development of roughly 100 affordable housing units from Ballpark Village to other JMI projects under development in the East Village. The new proposal would have brought about 200 affordable units to the East Village.While that number is a net gain in much-needed affordable housing units, it keeps them from the core downtown area. This decision, to relocate the units, drew the ire of the CCDC, the city’s redevelopment agency.The agency has long sought downtown housing both affordable and earmarked for the city’s service providers, according to CCDC officials. “There’s no question we must provide housing for our service workers, hotel and restaurant workers and those on the waterfront,” says Frederic Maas, a member of the CCDC board.So far during the city’s redevelopment renaissance, the one piece of the puzzle that’s been lacking are on-site affordable housing units. The CCDC envisioned Ballpark Village as a trailblazer in the downtown area.Under the agreed upon proposal, the project calls for 35 affordable housing units. The compromise at least brings affordable units to the area, although the number is down form the original proposal. The early numbers called for somewhere between 82 affordable units and 100 affordable units, depending upon the source.Ballpark Village also calls for 115,000 sf of retail space, 300,000 sf of office and about 1,400 residential units. The project will include multiple skyscrapers that will reach as high as 40 stories.