San Diego council faces dispute over Midway Rising’s promised 2,000 affordable homes

Negotiations spanning almost four years between San Diego and the Midway Rising partnership have ended with city staff warning that the deal may not produce the 2,000 net-new affordable housing units the council expects. The pending agreement, set for a committee hearing, drops a requirement that the site remain off-limits as a “receiver” for affordable units owed by other developers, allowing projects within a three-mile radius—including Mission Hills, Bankers Hill and Clairemont—to pay Midway Rising to fulfill their obligations.

State housing officials could object if the arrangement does not generate additional units beyond those already mandated. Christina Bibler, the city’s director of real estate and airport management, said the city wants explicit language to guarantee the new units. Opponents, such as Danna Givot of Neighbors for a Better San Diego, argue the plan lacks penalties if the developer fails to deliver. Chelsea Investment Corp’s Charles Schmid affirmed Midway Rising’s commitment to build all 2,000 units on-site and to work with the California Department of Housing and Community Development.