A new condo development in San Diego could offer an alternative to the current “bunkhouse” condo building trend, which is increasingly being associated with expensive condo rentals and luxury housing, as the nation struggles to tame an overheating housing market.
A new condominium development in the city of San Diego is slated to come to the surface next year, with plans to replace the existing units in a former warehouse that once housed a food processing plant.
The development would be the first of its kind in the United States, and will likely provide affordable housing for people in San Francisco, the city’s largest city.
The project, which has been in the works for more than two years, will replace the warehouse, which once employed about 50 workers, with a more upscale mixed-use building that will include a hotel, office space and other amenities, according to the San Diego Business Journal.
Construction on the new development began in February, and is expected to be completed in 2019, according the San Francisco Chronicle.
It is expected that the new condoprescion will cost between $1 million and $2 million, the newspaper reported.
According to the Journal, the development is not a condominium but rather a single-family house that is being built to rent for a one-time payment of $350,000.
While most housing developments are built in condos or townhouses, the building will be constructed as a residential condominium, which could allow homeowners to live and work together without renting out their units, the Chronicle reported.
The new development will be built in the same neighborhood as a new mixed-used building, and as part of the new redevelopment project, the new building will have a restaurant onsite, as well as a hotel.
The developer will also build a “family living space” with outdoor terraces for couples to enjoy the beach, the paper reported.
San Diego Mayor Kevin Faulconer recently told the San Jose Mercury News that he plans to support the project, calling it an opportunity to bring people back to San Diego, “and I think that’s something we all want to see,” according to CBS San Diego.
The housing market is heating up in the U.S., with new residential construction starting to increase as the housing supply expands.
As of July, nearly 17,000 new units had been built in San Jose, according an analysis by the Associated Press.