Port Wants New Vision for Harbor Island


Source: San Diego Union Tribune | By Lori Weisberg | 4:49 p.m. Nov. 3, 2015 | Updated, 5:33 p.m.
The Port of San Diego is asking developers for ideas on how to reimagine a broad swath of Harbor Island that includes land where the California Coastal Commission recently rejected plans for new hotels.

Developers will be able to offer up a variety of uses for transforming a 57-acre area on the eastern end Harbor Island, but they will not be required to include any hotels, even though a longstanding plan for the area allows for up to 500 hotel rooms.


A formal request for proposals was issued last week, even as the San Diego Unified Port District pursues litigation against the Coastal Commission, claiming it has no legal authority to require affordable lodging as a condition of new development, such as a hotel.

A lawsuit was filed last month by the Port in response to the commission’s August denial of a plan that would have allowed a San Diego developer, Sunroad Enterprises, to build a 175-room hotel on the eastern portion of Harbor Island.

The contentious issue is being closely watched up and down the state as Coastal Commissioners seek to strictly enforce a decades-old mandate they say guarantees all income groups affordable lodging along the waterfront. The port’s proposal, they said, did not ensure that such lodging, whether it be a youth hostel, a campground or an RV park, would ever be developed on the public tidelands it oversees.

In the meantime, San Diego port commissioners want to see what kind of vision developers come up with for what is a larger area of Harbor Island that is west of the site where Sunroad wanted to build its hotel.

The 57-acre area, which includes 13 acres of water overseen by the port, is home to a number of uses that are being phased out, including several rental car agencies that will be relocating to a new airport garage next year on Pacific Highway.

The proposed development site, though, does not include the far eastern end of the peninsula where Sunroad wanted to develop a hotel overlooking its 600-slip marina.

Sunroad’s Uri Feldman last month urged the port to resubmit his hotel plans to the Coastal Commission while also accepting the panel’s condition that it set aside a portion of land for low-cost overnight accommodations.

The port, however, opted to instead move ahead with a broader initiative to re-think development of Harbor Island and at the same time generate replacement revenues for expiring rental car leases. A developer could be chosen as early as next year.

“We thought this was a really unique opportunity because we have this amazing 57 acres on Harbor Island that can be a complete blank slate and include a new vision for the area,” said Penny Maus, the port’s real estate program manager. “For visitors coming to San Diego from the airport, Harbor Island is often their first impression of San Diego so this would be great to re-envision this area.”

Feldman did not respond Tuesday to requests seeking comment on whether he still plans on pursuing a hotel project. He had proposed a four-story limited-service hotel.

The port’s formal solicitation suggests that developers can include in their proposals retail and restaurant uses, maritime-related office space and a hotel. Harbor Island currently has just two hotels, a 1,053-room Sheraton and a 211-room Hilton.

The site, the port states, is characterized as offering “one of the largest waterfront redevelopment opportunities in San Diego, with “the potential to become iconic in the region.”

While the redevelopment effort may not lead to a new hotel, the port district is continuing to work on an affordable lodging policy for its public tidelands that it expects will ultimately go to the Coastal Commission. It could still be a couple of years, though, before the port processed a new plan for Harbor Island, Maus said.

“Since we’re already moving forward with a policy on lower cost accommodations,” Maus said, “we may have solved that issue with the commission prior to this being submitted to them for review.”


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