Chula Vista, California, October 16, 2025
News Summary
Chula Vista is seeing simultaneous growth in traditional self‑storage and grid battery assets. UTEX Storage Partners secured a $23.4 million nonrecourse construction loan to build a 123,582 sq ft Chula Vista Storage facility on a 9.3‑acre site. The city approved Wellhead Electric’s 50 MW Chula Vista Energy Center 2 using 56 temperature‑controlled battery containers with third‑party fire oversight. San Diego‑based EnerSmart is also deploying multiple smaller utility‑scale battery projects across the county to support grid stability. Nearby homeowners oppose a proposed recreational storage site by Eastlake High School, seeking public review and hearings.
Three storage fronts move forward in Chula Vista area: a major construction loan, a city‑approved battery project and more local battery sites
Key developments: A self‑storage developer landed a multi‑million dollar construction loan for a Chula Vista project, the city approved a 50‑megawatt battery storage installation on an existing power site, and a local battery developer is rolling out several smaller utility‑scale battery projects across San Diego County. Nearby homeowners are also pushing back on a separate recreational storage plan near Eastlake High School.
UTEX secures $23.4 million construction loan for new Chula Vista self‑storage
UTEX Storage Partners obtained a $23.4 million nonrecourse, four‑year floating‑rate construction loan arranged through a life insurance company. The financing was put together by a JLL team led by Brian Somoza. The loan covers building a new facility known as Chula Vista Storage, which is expected in the source text to have delivered in 2016. Upon completion the facility will contain 123,582 square feet of rentable storage in two three‑story buildings on a 9.3‑acre parcel near the South Bay Expressway and Eastlake Drive, roughly 12 miles southeast of downtown San Diego.
The planned site includes an on‑site office, security measures, 24‑hour surveillance, controlled access, and climate‑controlled units, plus boat and RV storage. A REIT third‑party management platform will operate the property once it opens.
City approves large battery storage project at existing power site
The Chula Vista City Council gave unanimous approval for a utility‑scale battery installation called the Chula Vista Energy Center 2, which will provide 50 megawatts of grid storage. The project will be developed by Wellhead Electric Company on a parcel that already hosts a natural gas plant built in 2000. The project site is listed as 3497 Main St., between Del Monte Avenue and Reed Court.
The installation will use containerized lithium‑ion batteries housed in 56 temperature‑controlled containers placed in the northern part of the property and will operate separately from the gas plant to the south. Supporting equipment will include transformers, electrical cabinets and substation improvements. A later phase will add containers over time to maintain the facility’s 50 MW capacity as batteries naturally lose capacity.
City safety reviews were completed, including checks by the local fire department and engineering departments, and the project will follow state and federal codes under third‑party fire engineer supervision. City leaders noted a careful review because of past fires at older battery sites in the region and determined the planned systems are modern and sited outdoors with buffering landscaping and fencing to separate them from nearby homes. The developer will privately finance the work; construction costs are estimated at about $75 million. The installation will use Tesla Megapack 2 units with lithium iron phosphate battery chemistry.
EnerSmart expands smaller countywide battery projects
EnerSmart Storage, a San Diego‑based battery storage company, is developing multiple utility‑scale projects across San Diego County to stabilize the grid and support renewable energy growth. The company’s first ribbon cutting in Chula Vista happened recently and it now has a pipeline of projects that includes Alpine, Ramona, El Cajon, La Mesa, Spring Valley, Imperial Beach, Mesa Heights and Carlsbad.
EnerSmart’s systems typically place Battery Energy Storage System containers beside substations and tie into local circuits. Company leaders say those batteries are used most often for frequency control by the regional grid operator, charging when renewable output is high and discharging during high demand. The Chula Vista EnerSmart site is a roughly 6‑megawatt system with a build cost near $7 million, and the company estimates projects generally cost about $1 million per megawatt. Project timing varies; several sites were slated to begin construction in 2024, with others planned later in the year. EnerSmart also reports local hiring, property tax payments and use of previously vacant or underused sites as community benefits. The company said it is coordinating with fire departments and will maintain emergency plans and spacing to limit fire risk and addressed concerns about electromagnetic effects as not an issue for these systems.
Eastlake homeowners oppose a proposed recreational storage plan
Separately, homeowners in the Eastlake neighborhood have raised objections to a proposed recreational storage facility for boats, cars and containers planned for a vacant parcel between Eastlake High School and a gated townhome community. Residents worry the project will lower property values and change neighborhood character. Notices about the proposal were sent several years ago and residents say they were told a public hearing would be scheduled; as of the report date no hearing date had been announced and the city planning department controls when the item will be placed on an agenda for public comment.
What this means for local residents
Taken together, these moves show growth in both traditional self‑storage and in energy storage assets across the region. The large battery project at 3497 Main St. adds a significant 50 MW capacity at an industrial site that has existing buffers to nearby homes. Smaller grid‑support batteries from EnerSmart aim to provide quick balancing services at multiple neighborhood substations. Residents near proposed recreational storage sites continue to press for public hearings and local review.
FAQ
Q: Who is building the 50 MW battery facility in Chula Vista?
A: Wellhead Electric Company is the developer and owner of the site where the 50 MW battery installation will be built.
Q: Where is the Chula Vista Energy Center 2 located?
A: The project site is at 3497 Main St., between Del Monte Avenue and Reed Court, on the northern section of a parcel that already hosts a natural gas plant.
Q: How much did UTEX borrow to build the new self‑storage project?
A: UTEX Storage Partners obtained a $23.4 million nonrecourse construction loan, described as a four‑year floating‑rate loan arranged through a life insurance company.
Q: What safety steps were taken for the Wellhead battery project?
A: The project cleared local safety reviews, including reviews by the fire department and engineering departments, will follow state and federal codes, and will be supervised by a third‑party fire engineer. The site includes spacing, landscaping and fencing to buffer nearby homes.
Q: What is EnerSmart doing in the county?
A: EnerSmart is developing several utility‑scale battery projects across San Diego County to support grid stability and renewable energy, with sites planned in multiple communities and local construction timetables varying by project.
Q: Are neighbors able to weigh in on the proposed recreational storage project near Eastlake High School?
A: Yes. The project must go through the city planning review process. Residents have requested a public hearing and the planning department determines when the item will be placed on the agenda for public comment.
Key features at a glance
| Feature | Details |
|---|---|
| UTEX loan | $23.4M nonrecourse, 4‑year floating‑rate loan; JLL arranged; project called Chula Vista Storage; 123,582 sq ft; 9.3 acres. |
| Wellhead battery project | 50 MW capacity; 56 temperature‑controlled containers; site at 3497 Main St.; private financing; ~$75M estimated cost; cleared local safety reviews. |
| EnerSmart projects | San Diego‑based developer with ~10 county sites; projects range from ~6 MW up; uses BESS containers near substations; aims to support CAISO services and local circuits. |
| Local opposition item | Proposed recreational storage near Eastlake High School; homeowners seeking public hearing and are concerned about property values and neighborhood impacts. |
| Safety and oversight | Battery projects completed fire and engineering reviews; use modern battery chemistries and plans for spacing, emergency procedures and third‑party fire engineer oversight. |
Deeper Dive: News & Info About This Topic
Additional Resources
- REBusiness Online: UTEX Storage Partners receives $23.4M construction financing for Chula Vista self-storage
- Wikipedia: Self-storage
- San Diego Union-Tribune: Chula Vista approves 50-megawatt battery storage project
- Google Search: Chula Vista 50 MW battery storage
- The EV Report: Chula Vista EV fast-charging hub launches
- Google Scholar: Chula Vista EV fast charging hub
- The Star News: Chula Vista battery storage facility a template for others
- Encyclopedia Britannica: battery energy storage
- 10News: Eastlake homeowners fight city’s plans for storage facility
- Google News: Eastlake storage Chula Vista homeowners
Author: Construction FL News
FLORIDA STAFF WRITER The FLORIDA STAFF WRITER represents the experienced team at constructionflnews.com, your go-to source for actionable local news and information in Florida and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Florida Build Expo, major infrastructure projects, and advancements in construction technology showcases. Our coverage extends to key organizations like the Associated Builders and Contractors of Florida and the Florida Home Builders Association, plus leading businesses in construction and legal services that power the local economy such as CMiC Global and Shutts & Bowen LLP. As part of the broader network, including constructioncanews.com, constructionnynews.com, and constructiontxnews.com, we provide comprehensive, credible insights into the dynamic construction landscape across multiple states.
