San Diego City Council to consider $4.2 billion Midway Rising housing and arena project

The San Diego City Council is set to review a major redevelopment plan for the Midway District, focusing on the area around the 60-year-old Pechanga Arena, according to the Times of San Diego. The proposal, known as Midway Rising, includes building a new 16,000-seat sports arena and thousands of housing units on city-owned land.

Led by billionaire developer and sports team owner Stan Kroenke, the project is estimated to cost $4.2 billion and would be the largest affordable housing development on public land in California's history if approved. The plan calls for 4,224 housing units, with 2,000 designated as affordable housing.

In addition to housing and the arena, the project includes 130,000 square feet of retail space and a 15-acre park. An upfront investment of $460 million is proposed for infrastructure improvements, which could be reimbursed through a future tax-increment infrastructure financing district if the city approves the plan.

As part of the agreement, the city would forego collecting major lease payments for the 49-acre parcel in exchange for the upfront investment. The Midway Rising group would continue to pay the city a portion of ticket sales at the current arena until the new venue is completed, as reported by the Times of San Diego.