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San Diego Advances in Housing Development Amid Competition

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Newly developed residential buildings in San Diego

San Diego, October 9, 2025

News Summary

San Diego has made significant progress in housing development, permitting 31,458 homes since the current administration began. However, competition from cities like New York and Dallas remains a challenge. The city is focused on affordable housing, yet the demand for new homes continues to outpace supply, showcasing ongoing issues with housing affordability and meeting residents’ needs.

Progress in San Diego’s Housing Development Amid National Competition

San Diego is making notable strides in housing development as its Mayor highlights the city’s achievements over the past few years. In the first four years of the current administration, a total of 31,458 homes have been permitted. This includes a particularly strong year in 2024, where 8,782 new homes received permits. This current figure showcases nearly 11,000 more homes permitted compared to the previous four-year period.

While San Diego shows impressive growth, a recent report indicates that other cities are outperforming it in new construction permits. The report focuses on larger residential buildings, specifically those with 50 units or more. In 2024, San Diego approved around 4,700 larger residential units. In contrast, cities like New York and Dallas are permitting about 29,000 to 30,000 apartment units each, while Denver is permitting over 12,000 units, surpassing San Diego’s total for larger buildings.

The data used in the report comes from a software technology company that tracks commercial real estate trends. It has been acknowledged that while San Diego is performing relatively well compared to other California cities, the state’s stringent building regulations present challenges for direct comparisons with cities in other states.

Furthermore, San Diego’s construction processes often extend beyond that of other regions due to regulatory requirements, including coastal height restrictions that limit how tall buildings can be near the ocean. The existing height limit is set at 30 feet, restricting development options considerably.

Despite any regulatory challenges, the administration has taken significant steps to speed up the permitting process. They now average twice the number of permits issued compared to the last two decades, which reflects the city’s commitment to addressing housing needs.

City officials highlight that San Diego’s housing record is notably better than other major cities in California. The current administration is dedicated to prioritizing affordable housing and effectively addressing housing crises within the city. Over the past two decades, the city permitted its highest number of homes, creating substantial opportunities for various population segments.

Specific neighborhoods such as Uptown, Navajo, Kearny Mesa, Downtown, North Park, Carmel Mountain Ranch, Mira Mesa, and Clairemont have recorded the highest numbers of permits issued. An executive order from the mayor mandates that 100% affordable housing projects be expedited, allowing for approvals within 30 days.

Despite these advancements, the demand for housing in San Diego remains unmet. The city’s Housing Element outlines a need for approximately 108,000 new homes over eight years, underscoring that the current progress still falls short. Analysis reveals that only one in ten county residents can afford a median-priced home, sparking ongoing concerns regarding housing affordability.

Furthermore, more than half of renters in San Diego are classified as housing-burdened, pointing to the reality that a significant number of residents are struggling financially. Alarmingly, nearly two-thirds of residents have considered leaving the area due to escalating living costs, which accentuates the urgent need for more affordable housing solutions.

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Construction FL News
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.

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