(Illustration by Iran Martinez Jr./inewsource. Source image: Palomar Hotel, KPBS)

Why this matters

Chula Vista had 650 unhoused residents during a 2024 count. The city hopes to expand access to permanent housing options for very low-income residents.

Chula Vista City Council recently voted to fund permanent housing at the Palomar Motel for people experiencing homelessness.

From the Documenters

This story came from notes taken by Josh Whitehead, a San Diego Documenter, at a Chula Vista City Council meeting this month. The Documenters program trains and pays community members to document what happens at public meetings. Read the note here.

The council approved a plan to use $3 million in housing funds, paired with anticipated state and federal funding, to support accessibility and safety improvements needed at the site. Improvements would include a stairway replacement and new fire sprinklers as well as electrical, plumbing and HVAC upgrades.

The new units – known as permanent supportive housing – will primarily serve individuals making at or below 50% of Chula Vista’s median income, according to Stacey Kurz, Chula Vista’s Director of Housing and Homeless Services.

“(Permanent supportive housing) units are critical in moving chronically unsheltered individuals with a higher need for supportive services from temporary emergency and residential programs into long-term housing,” Kurz said.

According to Kurz, the housing units at the Palomar Motel will fill demand outlined by Chula Vista’s Regional Housing Needs Assessment goals.

There are currently 30 beds in Chula Vista that are considered permanent supportive housing. The Palomar Motel renovation is expected to add an additional 27 units.

A 2024 count showed 650 unhoused people living in Chula Vista.

The city plans to apply for state funding this upcoming April from the Homekey+ Program, which could provide up to $10 million in state funds for needed accessibility and safety improvements.

California’s Homekey+ Program aims to turn hotels into permanent and interim housing for unhoused individuals and was a direct response to the COVID-19 pandemic.

While the city has previously applied unsuccessfully for Homekey+ funding for this project, the city’s ownership of the motel and other additional grants they have received should make their upcoming application more competitive, according to city records on the project.

Permanent supportive housing is aimed at offering affordable housing and supportive services such as health care and employment aid to individuals experiencing chronic homelessness according to the National League of Cities.

Investments in such housing “have historically helped decrease the numbers of individuals experiencing chronic homelessness,” Kurz said.

One of the strengths of permanent supportive housing is that the support programs offered are not mandatory, and they provide safe housing while respecting the pacing and recovery of the people they serve, according to the National League of Cities.

Chula Vista approved loaning the developer, Wakeland Housing and Development Corporation, $3 million from the city’s Low and Moderate Income Asset Housing Fund for the project.

The loan will be a “residual receipts” loan – one that uses any operating revenue that exceeds costs to pay the loan back annually.

At the end of the 55-year loan term, Wakeland would be required to pay back any outstanding balance on the loan.

Further details regarding the housing units will be determined when Chula Vista hears back from the state regarding additional funding for the project this summer.

Type of Content

News: Based on facts, either observed and verified directly by the reporter, or reported and verified from knowledgeable sources.

Teal Davis is a community reporting intern at inewsource. She is a senior at San Diego State University, where she studies journalism and is a writer and the incoming news editor for the student newspaper, The Daily Aztec. Teal previously attended Mesa College.