Lennar Corp. hasacquired a massive and rare 41.5-acre development site in San Diegowith plans to build a 601-home community. Like other markets inSouthern California, San Diego has a housing shortage. This newhome community, which is set to deliver next year, aims to addressthe need for more housing supply with a broad mix of home styles,including 99 single-family homes, 105 triplex homes, 120 townhomesand 277 apartments.

“Demand for housing in general in San Diego continues tooutstrip supply annually,” Kevin Nolen, a directorat Cushman & Wakefield, tells GlobeSt.com.“Single-family housing demand in the entry-level category continuesto be one of the places that continues to shine, despite someoverall sluggishness in housing demand due to an increase ininterest rates. The area the project is being developed isknown for larger single family homes, so the entry level housingbeing built will be welcome for buyers looking to be in the areabut have previously been priced out.”

Lennar purchased the property from Atlantic PacificCos. for an undisclosed price, and Nolen representedLennar in the transaction, along with his Cushman & Wakefieldcolleagues Tim Winslow and JasonKimmel. “This redevelopment site was underutilized and hadthe proper zoning in place to allow for a development of thisnature.  The owner was a long-term holder and apartmentowner,” says Nolen. “We presented to them a scenario in which theycould remain an apartment owner on the site by selling off asection of the property to a for-sale developer.  Thefor-sale developer, Lennar, would run the project throughentitlements and deliver the original owner a pad to which theycould build back new apartments to rent.  It was a win-winfor both the buyer and the seller.”

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.