Hines JV Breaks Ground on 721-Unit San Diego Community
The project is part of a 200-acre mixed-use village.
Hines, in partnership with Affinius Capital, Bank OZK, Related Fund Management and Heitman, has started construction on the first phase of Riverwalk San Diego, a 200-acre mixed-use village within San Diego’s Misson Valley submarket. Phase one will comprise 721 units, representing 17 percent of the total project.
The firm broke ground on the development after obtaining a $380 million financing package. Bank OZK provided a $278 million senior loan, while Related Fund Management originated a $102 million mezzanine loan through its Related Real Estate Debt Fund IV.
Designed by Gensler, the first phase will consist of four buildings, a village green and 75,000 square feet of grocery-anchored retail. Completion is scheduled for spring 2029, while first homes are set to come online in 2028.
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Additionally, the development will also have a 190-home affordable housing project in partnership with Wakeland Housing, which is already underway. Plans also call for the construction of a new trolley station, which has been accelerated by a $41.1 million Affordable Housing and Sustainable Communities grant.
At full build-out, the Riverwalk San Diego neighborhood will include 4,300 units—out of which 10 percent will be income-restricted—, 150,000 square feet of retail, 1 million square feet of office space and 110 acres of parks and open space.
Initially, the project was set to break ground in September 2022, with the first phase totaling 930 units across five buildings. At the time, the firm only constructed a golf course and finished $90 million worth of infrastructure upgrades, according to The San Diego Union-Tribute.
San Diego multifamily footprint on the rise
San Diego had 66 multifamily construction projects underway as of October, which will generate 12,243 units upon completion, Yardi Matrix information shows. Out of them, 17 developments totaling 2,983 apartments broke ground year-to-date as of the same month.
Earlier this year, Murfey Co. broke ground on Stella Apartments, 149-unit project in San Diego. In January, the firm obtained a $46.5 million construction loan for the community set to come online in the second quarter of 2027.
