Transformative development marks the first 100% Affordable Student Housing Community built in the District’s 110-year history, addressing a critical need for attainable student housing
The Michaels Organization announced today that it has successfully achieved a financial closing on the San Diego Community College District’s first affordable student housing development, located on its San Diego City College campus.
Achieving financial closing confirms that all approvals, funding structures, and agreements necessary to deliver the project are in place. This milestone reduces financial risk, establishes long-term affordability parameters, and allows construction and implementation to proceed with certainty.
This transformative project, located in downtown San Diego, will provide 797 beds across 283 suites and apartment-style units. The new community will offer affordable rents, significantly below those of UC and CSU dormitory housing, making it more attainable for SDCCD students.”
“We are privileged to be SDCCD’s partner on this transformative project,” said Michaels’ Executive Vice President of Development, Raoul Amescua. “We applaud the District’s leadership — and the voters — who passed the bond measure that enabled this project to move forward, ensuring that this critically needed student housing would become a reality,” Amescua said.
This marks the first student housing community in the district’s 110-year history, addressing a critical need for stable student housing.
The $250 million development is being 100 percent financed through Measure HH general obligation bonds, passed by San Diego voters in the November 2024 election. The land is being ground-leased to a non-profit special-purpose entity formed by Provident Resources Group. This project is the first of its kind in California, and likely the country, as it has no debt or equity financing. Financed solely by Measure HH funds, SDCCD maintains complete control over rent levels, resident priority, and other key aspects.
“Financial closing is a major milestone for this project. It confirms that the housing is fully funded and approved, and that it is moving forward with certainty, said Dr. Joel L.A. Peterson, Vice Chancellor and Executive Operations Officer. “Because it is financed entirely through Measure HH, the district retains full control over affordability and access – allowing us to deliver student housing at rates below comparable public university housing in one of the most expensive markets in the state,” he added.
Construction is already underway. In November, Michaels collaborated with both the District and San Diego City College to host a special Sneak Peek ceremony, during which college and district leaders, along with students, experienced a “virtual tour” of the community.
“Our creative approach and collaboration with SDCCD and key stakeholders since late 2022 has resulted in an effective strategy to address the critical needs of many SDCCD students who face homelessness, live in their cars, and lack attainable housing necessary to complete their academic pursuits,” said Michaels’ Chief Investment Officer Michael Flanagan, who noted that the project successfully navigated numerous approvals, multiple permitting agencies, and a very complex project labor agreement, making it a 100% union project.
The seven-story, all-electric mid-rise building was designed by TCA Architects. Shared spaces include study lounges, tutoring rooms, a mental health and wellness center, outdoor courtyards, a community kitchen, a basic-needs food pantry, and a top-floor meeting room space with views of downtown San Diego. Landscaping design was provided by McCullough Landscape Architects.
CBG Building Group is serving as the General Contractor. Michaels will provide property and asset management services to the community, ensuring that it remains an asset to the college for years to come. Construction is expected to be complete by June 2028.
