Coronado has agreed to make room for more housing, which could potentially open up opportunities for low-income residents.
Gov. Gavin Newsom and the state housing authority announced Friday it had accepted a plan from the city to allow for 912 homes after years of being out of compliance with housing laws.
California cities are required to identify land for housing development, something Coronado was supposed to do in 2021 and had fought, ultimately failing in its legal challenges. The state threatened legal action if it did not comply.
“The City of Coronado has wisely chosen to collaborate with us and confront its housing challenges head on,” wrote Attorney General Rob Bonta in a news release. “There’s no question that this moment is long overdue — I want to thank the current Coronado City Council for finally doing the right thing.”
California has been cracking down on affluent communities, like Coronado, throughout the state for several years as officials attempt to lower housing costs through more residential construction. The biggest fight has been with Huntington Beach, but other regional cities have also received warnings from the state, including Encinitas.
As part of its settlement, Coronado identified several locations for new housing: 116 units in the retail area on B Avenue that includes a Smart & Final store; 300 units of military housing on Tulagi Road near the Silver Strand; and 134 units at a site owned by the Coronado Unified School District on Sixth Street.
There were also smaller sites identified, including 19 units on C Avenue on land owned by the Parish of Christ Church and 22 units at an unused retail site on C Avenue. Coronado also plans to approve more accessory dwelling units, which would also count toward the required housing.
Coronado Mayor Richard Bailey did not respond to a request for comment but said on his public Facebook page that the governing body had no option but to approve the plan last week — despite arguing against it.
“The state has tied the city’s hands,” he wrote, “by not allowing us to take into consideration impacts of new housing developments on the surrounding community. With the (City Council) vote last night, I am confident we will have a certified housing element, but until local control is restored, the voices of communities throughout the state will be ignored.”
Many in Coronado shared Bailey’s views, arguing at the City Council meeting last week that adding more housing would increase traffic and hurt community character and that the city’s infrastructure was not adequate to support additional units.
As part of its agreement with the state, Coronado is identifying land for 481 housing units designated for low-income renters, defined as those making $77,200 and under. It also said 159 units would be allotted for moderate income — annual income of $77,201 to $98,100 — and 272 units for above-moderate income individuals earning more than $98,101 a year.
Looked at in the context of San Diego County’s total housing inventory, 912 additional homes is relatively low. Last year, there were 9,462 new homes built, according to the Construction Industry Research Board. A single apartment complex in Chula Vista, The Avalyn at Millenia, accounted for 480 of those homes — more than half of what Coronado is proposing over the next six years.
Still, the number of units possibly coming to Coronado could be a big change, considering there were only 54 housing units constructed there last year. The city has a relatively long timeline to get everything done: It must formally adopt the approved plan by no later than April 16 and modify its zoning code and local coastal plan by May 7.
It’s not set in stone when construction could — or would — start on housing. The state can’t force developers to actually build anything, and Coronado is only responsible for changing the zoning. The city spoke with several low-income housing developers who expressed interest in the sites, but residential construction can face significant hurdles, such as financing, labor shortages and weather.
There isn’t a huge rush to get housing built, compared with how quickly things are going up in other parts of San Diego County. Coronado’s approved plan is effective until 2029, when another assessment will determine whether the city needs additional housing.
The state’s news release said if the city does not follow its housing plan, it may lose local authority to approve or deny developments. It also said Coronado could face “monetary penalties” for noncompliance.