San Diego is witnessing a significant shift in its housing landscape, with a noticeable increase in home construction within walkable urban neighborhoods.
According to a recent analysis of housing permit data conducted by KPBS and Voice of San Diego, the period from 2018 to 2024 has marked an important transformation in residential development.
The data showcases a concentration of new housing units primarily in the city’s densest areas, such as downtown, Bankers Hill, Hillcrest, and North Park.
These neighborhoods, although only comprising less than 3% of the city’s total land area, accounted for approximately 30% of San Diego’s new housing permits over the past seven years.
Meanwhile, other areas like Mission Valley, Grantville, and Kearny Mesa have also seen notable increases in residential developments.
In contrast, coastal neighborhoods such as Point Loma, Ocean Beach, Pacific Beach, and La Jolla have produced a minimal fraction of the city’s new housing options.
Kent Lee, the City Councilmember and chair of the council’s Land Use and Housing Committee, commented on the implications of the data, suggesting that the most populated neighborhoods still have the potential for additional growth.
He pointed out that even in areas seemingly fully built out, like downtown, there are still vacant lots waiting for development.
“I think it’s about choices and how we utilize the space that we’ve got,” Lee stated.
The upturn in housing development, particularly in North Park, follows an update to the North Park Community Plan in 2016.
This update rezoned a considerable portion of the neighborhood to allow for higher density housing.
Additionally, the city has revised parking requirements and adopted measures that promote taller buildings in exchange for affordable housing provisions.
The building boom in North Park is benefiting new residents like Todd Goodall and his wife, who relocated to San Diego from Cincinnati in 2023.
Having lived in several different cities across the U.S. and even abroad, the couple sought out a vibrant, walkable urban environment, which San Diego fulfilled with its appealing climate and lifestyle.
“Places like LA and New York are much more career-driven and career-focused,” Goodall observed.
“People are always talking about what they do for work, and that’s where they get their identity from.
Here, people are much more defined by their hobbies and what they do outside of work, and we love that as well.”
Currently, Goodall and his wife are renting a one-bedroom apartment at The Nash, a newly constructed 190-unit building on Park Boulevard that was permitted in 2022.
They chose a modern building to avoid health issues associated with older homes, a problem his wife experienced due to mold.
While their current apartment might not offer extensive room, it includes a pleasant outdoor patio and amenities such as a coworking space and a swimming pool.
“We could get more space for our money than we do at The Nash,” Goodall noted.
“However, the other amenities and the vibe of the building are what we truly value.”
Goodall has noticed that the growth in North Park is somewhat uneven, largely occurring along major streets like El Cajon Boulevard, where numerous five-story apartment buildings have emerged.
In contrast, adjacent areas such as University Heights remain predominantly occupied by single-family homes.
As Goodall considers starting a family, he expresses concern over the lack of affordable family-sized housing in North Park, noting that many options are priced too high.
“The vast majority of new apartments in the neighborhood are studios and one-bedrooms,” he lamented.
“In an ideal world, there would be plenty of options for two- to three-bedroom units that weren’t just older single-family homes from the 70s needing renovation.”
The analysis indicates a clear trend in San Diego’s housing market, with a significant emphasis on apartment units.
Buildings containing five or more apartments constituted roughly 74% of new housing permits issued from 2018 to 2024, while single-family homes represented only 6% of the new constructions.
Accessory dwelling units, also known as ADUs, accounted for about 16% of the total housing permits.
However, ADUs remain the sole type of housing being developed in substantial numbers within single-family neighborhoods, which continue to dominate the city’s residential landscape.
Councilmember Lee himself resides in Mira Mesa, where a large 1,800-unit development called 3Roots is nearing its completion.
Reflecting on his experience with the project, Lee recalled concerns voiced by local residents about the added strain on the neighborhood’s infrastructure due to the new development.
Many desired improved roads, parks, libraries, and public transit systems to be established before new housing was constructed.
“People always get into this argument of, why don’t we have one first before the other?” Lee explained.
“The true answer is we need to plan for both and implement them simultaneously.”
Despite fears that increased housing would burden infrastructure, Lee argues that the arrival of new residents has, in fact, improved conditions.
For instance, he highlighted how plans to upgrade the Mira Mesa Recreation Center, which had been stalled for 18 years, finally moved forward due to funding that came from builders of 3Roots, who paid necessary fees for city permits.
The influx of new residents also brings additional revenue to the city through sales taxes, property taxes, and payments for utilities, which help sustain public services and infrastructure.
“I think a lot of people look at housing and they think of it as a burden,” Lee concluded.
“And I just think the complete opposite. I view housing as an opportunity.”
image source from:voiceofsandiego