Soon, 97 families and individuals will have a new affordable place to call home in the Hillcrest neighborhood, where they will also have access to potentially life-changing on-site services and resources.

On Tuesday, Nov. 10, Mayor Todd Gloria, City staff, and local officials and organizations came together to celebrate the groundbreaking of the unique development, Hillcrest Hall. Located at 1601 University Ave., in the heart of Hillcrest, near Pride Plaza and minutes from the UC San Diego Health Hillcrest Medical Center, the development will provide residents with convenient access to transit, services, jobs and neighborhood amenities.

Hillcrest Hall will include a community room, computer room, picnic area, playground, private balconies, a rooftop patio, transit information and kiosk center, and a bicycle repair station with secured bike storage. Life Skills Training and Education Programs, Inc (LifeSTEPS) will also provide healthcare services, social services, financial literacy classes and recreational activities for all residents. All of this is made possible through development group CRP Affordable Housing & Community Development.

“Housing affordability is the defining challenge of our time, and my administration is using every tool available to get more homes built faster,” said Mayor Todd Gloria. “Hillcrest Hall shows what that looks like: we expedited the permitting process, provided $3.1 million to close the financing gap and helped move 97 affordable homes from plans to construction in a neighborhood close to transit, jobs and essential services. I want Hillcrest and every San Diego neighborhood to remain a place where people of all incomes can build a life.”

The one-, two- and three-bedroom homes will be affordable to households making 30% to 70% of the area median income (AMI). Based on current income limits, that means a four-person household earning between $52,450 and $122,450 annually. Fifteen of those homes will be reserved for households making less than 40% of the AMI. Currently, that means a four-person household making $69,950 or less annually. The AMI is adjusted each year and may change once the homes welcome residents. There will be one unrestricted manager’s unit.

The development is located in a state-designated High Resource Area, which means it provides access to high-performing schools, jobs, public transportation and walking, and essential services such as grocery stores, parks and healthcare providers. These areas also typically have fewer environmental hazards.

“Hillcrest Hall is an important step toward creating more affordable housing in San Diego", said District 3 Councilmember Stephen Whitburn, who represents Hillcrest. "These 97 new homes will give individuals and families the opportunity to live in a vibrant neighborhood with access to jobs, transit and essential services. I’m pleased to see this project move forward and appreciate everyone who helped make it possible."

To streamline permitting and get homes built more quickly, the project benefited from the City’s Affordable Housing Permit Now program. This program was created through a 2023 executive order from Mayor Gloria and tasked the City’s Development Services Department with reviewing 100% affordable housing and shelter projects in 30 days or fewer.

Since its launch, Affordable Housing Permit Now has helped permit over 5,600 homes citywide, with approximately 3,000 more currently in process. The City has consistently met the required 30-day review target, reducing overall process time to under six months. Development Services teams review project applications, issue construction permits and ensure projects meet all code requirements during construction.

“The City prioritized expedited permitting of affordable housing, and it has proven wildly successful with average review cycle times of only nine days,” said Development Services Director Elyse Lowe. “The success of this project is a result of City project management working in close coordination with the applicant on their first Affordable Housing Permit Now project to ensure quick turn-around times for plan review and collaborative problem solving.”

The development is supported by a $3.1 million Bridge to Home loan. Bridge to Home provides financing to close funding gaps that would otherwise prevent affordable housing developments from moving forward, since such projects typically rely on a mix of local, state and federal funding. Bridge to Home funds do not come from the general fund and are specifically earmarked for housing activities.

"Affordable housing developments like Hillcrest Hall do more than create homes,” said Economic Development Director Christina Bibler. “They help build stronger, more connected communities and expand opportunity for generations of San Diegans. Bridge to Home plays an important role in making these developments a reality by providing the financing needed to move them from concept to construction."

Since Mayor Gloria launched the program in 2021, Bridge to Home has helped advance 2,960 affordable homes across 30 projects.

Construction on Hillcrest Hall officially began in August 2026 and is expected to be complete by December 2027.