$8.61 MILLION IN HOMEKEY+ FUNDS

The City of Chula Vista, in partnership with Wakeland Housing and Development Corporation, has been awarded $8.61 million in Homekey+ funding from the California Department of Housing and Community Development to support the conversion of the former Palomar Motel into permanent supportive housing.

Located in western Chula Vista, at 1160 Walnut Avenue, the former motel will be upgraded into fully independent studio apartments for very low-income residents experiencing or at risk of homelessness, with 20 units for individuals, 7 units for veterans, and one on-site manager's unit. The project will undergo a major rehabilitation, including new plumbing, roof, fire safety systems, installation of kitchenettes, and other significant upgrades. Once completed, all residents will be offered free on-site supportive services and case management tailored to the specific needs of each resident.

"At Wakeland Housing, we believe everyone deserves a safe home and the support to rebuild their lives. Homekey+ funding helps us move faster toward that goal by converting the Palomar Motel into permanent supportive housing-providing stable homes more quickly and affordably than new construction," said Rebecca Louie, Wakeland President and CEO. "This is the kind of compassionate, efficient response our communities need."

The City acquired the Palomar Motel property in October 2023 and selected Wakeland Housing and Development Corporation as the development partner through a competitive process. Wakeland has supported all aspects of the project to date and will continue to lead development through completion. Construction is anticipated to be completed by November 2026, with full occupancy expected by January 2027.

"Chula Vista has been a leader in helping individuals experiencing homelessness get off the streets. Winning $8.61 million in Homekey+ funds will allow us to create permanent supportive housing units for those with the greatest need for long-term housing and services," said Mayor John McCann.

To support operations, long-term affordability, and services, the project has been awarded 20 Project-Based Vouchers (PBV) and 7 Veterans Affairs Supportive Housing (VASH) vouchers by the County of San Diego, ensuring ongoing support to keep residents housed.