Litigation Delays Affirmed Housing’s Workforce Project

Affirmed Housing’s workforce housing mixed-use development Hilltop and Euclid will face significant delays as the result of litigation. San Diegans for Open Government has filed a lawsuit against the developer to have the project’s City Council approval rescinded. Affirmed Housing’s vision for the project was to supply both affordable and market-rate homes, along with 8,500 square feet of commercial space. It was approved unanimously in June 2016.

The organization contends that Civic San Diego board member Phil Rath should have recused himself from the vote due to a prior relationship with the developer through a mutual public relations firm. “Civic San Diego, who initially awarded Affirmed housing an approval for the site development, is now involved in a frivolous lawsuit because a board member who voted, along with then entire board, to award Affirmed failed to disclose previous work completed on behalf of Affirmed,” James Silverwood, president and CEO of Affirmed Housing, tells GlobeSt.com. “A particular person is now claiming this clouded the vote by Civic and then later the City of San Diego.” Rath was also fined by the San Diego Ethics Commission for his failure to disclose the information.

The litigation will delay construction for at least a year, the project in general now has, what the company calls, an “uncertain future.” “Construction probably won’t start until any earlier than fall of 2019, a one-year delay,” says Silverwood. “We are waiting for the litigation to be resolved, and we still require one more approval from San Diego City Council.”

Silverwood says that the community will be harmed by the delay of the project, especially that the projected helped provide affordable housing for residents making 50% to 60% of the area’s median income. He also says that the project will create jobs and help revive the community. “Hilltop and Euclid will create 84 affordable 2 and 3 bedroom apartment homes.  In addition there will be for sale starter homes for the local workforce and young professionals,” he says. “This new community will offer 8,300 square feet of commercial space as well as extensive outdoor community space.  Construction will include re-vegetation to an existing arroyo, as well as the construction of a road to connect Hilltop and Euclid.  For the past forty years the property has been empty, our new development will create hundreds of jobs, new homes, as well as a community for the district to be proud of.”