Chula Vista’s latest home project has homes starting at $550K. It’s also close to a landfill.
Chula Vista’s latest residential development, which has some of the lowest prices for new homes in the region, was only possible after a zoning change.
There are 718 homes at Sunbow, a new project from Miami-based Lennar in Chula Vista’s Otay Ranch. It is a mix of townhouses and condos, ranging from $542,900 to $790,900. That means many of the new homes are less than the county’s median for a resale condo, $689,000.
Sunbow is near the Otay Landfill on vacant land previously zoned for industrial use. Lennar and other investors successfully rezoned the site to residential use after arguing for years that industrial developers were not interested in the land.
Thousands of people already live around the Otay Landfill — mainly Otay Ranch’s Montecito and Escaya neighborhoods — and it has prompted complaints from some residents about occasional smells and noises. The landfill is set to close in 2028, according to its permit, although that has been pushed back before. City rules required a 1,000-foot buffer between the landfill and any residential development.
The landfill hasn’t stopped people from buying homes in the area. Several houses recently sold in the Escaya neighborhood, arguably closest to the landfill, for more more than $1 million. Sunbow also doesn’t seem to be having any trouble, with roughly 200 homes sold.
Likely some of Sunbow’s first residents, married couple Venues Belcher and Tory Rahmani, both 31, were out for a walk recently in their new community when The San Diego Union-Tribune was touring.
They both said the price was the biggest thing that drew them to Sunbow because they could buy a townhouse for around $600,000. Belcher said they had been all over the county looking for homes but were dismayed by prices around $1 million.
“I really loved that there was a lot of military, and it seemed to be family-orientated,” she said. “I liked the fitness center (renderings) and, plus, it’s new.”
Belcher said they weren’t concerned about the landfill and didn’t notice any odors.
The site is 135 acres with about 45 percent preserved as open space. Construction on Sunbow started in the spring of 2023, and there are about 340 homes in various stages of construction. Lennar estimates being finished with Sunbow in 2029.
Amenities for residences include a recreation center with a clubhouse, gym, pool, pickleball court and a half-court for basketball. Several dog parks, playgrounds and picnic areas are spread throughout the development. The recreation center is just starting construction now.
Lennar spokesperson Danielle Tocco said it expects Sunbow to primarily attract young families and professionals looking to own homes at a more affordable price.
The size of the townhouses and condos varies from 1,141 square feet to 2,052 square feet, with prices based on size and location. The smallest units have two bedrooms, but there are also three-bedroom and four-bedroom townhomes. The community is split into four sections with slightly different architecture
The biggest unit for sale right now is a 2,052-square-foot townhouse in Soleil with four bedrooms and
Some homes in the development on the west side have views as far as Cabrillo National Monument. Because the project was built on top of a hill, views are much more expansive than much of Otay Ranch.
The history of Sunbow stretches back to 1989 when Chula Vista zoned the area for an industrial park. The owner, ACI Sunbow LLC, had marketed the site since the early 2000s for industrial uses but said it failed to find a buyer interested in it — partially because of its topography and extensive grading work that would be needed. ACI Sunbow tried twice to get the zoning changed — in 2004 and 2009 — without council approval.
Lennar told the City Council only two businesses were interested in the site over several decades:
Rezoning hit a roadblock in August 2021 when the city’s Planning Commission unanimously rejected the plan. They argued the land should be used for commercial purposes to create jobs and reduce commute times for Chula Vista’s exploding residential population.
However, as home prices started rising significantly during the pandemic, the mood soon shifted. Several council members were won over by concerns for more for-sale housing that was, at least, somewhat attainable for Chula Vista residents, and the plan was approved
Mayor John McCann, recalling the 2022 vote, said Sunbow represented an opportunity for younger San Diegans to get a foothold in the housing market. He was deputy mayor at the time.
“It was a little controversial when we approved it,” he said. “But I believe it is an incredibly positive entry-level opportunity for people to have homeownership.”
Councilmember Jill Galvez was the only member of the council to vote against the plan, arguing the city continued to grow and, despite what Lennar said, the site would eventually attract an office developer and bring jobs.
Investors also agreed to millions in fees for the approval, including $8 million for the city’s Job Enhancement Fund — which could be used for development for offices, academic or university projects, or any “other notable project at the city’s direction,” say planning documents. It also would pay $11.7 million over time for the city’s fund to develop a future park.
Lennar declined to say what the total project cost, but Chula Vista planners estimated it would be $27 million
Tax revenue to Chula Vista for the Sunbow development is expected to be nearly $500,000 by year five, said a city staff report. It will go up to $1.1 million in year 10, $2 million in year 15 and $3.2 million in year 20.
Staff writer Tammy Murga contributed to this
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