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November 18, 2025
ITEM TITLE
Affordable Housing: Consideration and Adoption of an Official Name for the Former Palomar Motel Permanent Supportive Housing Project
Report Number: 25-0274
Location: 1160 Walnut Avenue
Department: Housing and Homeless Services
G.C. § 84308 Regulations Apply: No
Environmental Notice : The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act (“CEQA”) State Guidelines . T herefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.
Recommended Action
Adopt a resolution selecting the official project name for the Permanent Supportive Housing Project at 1160 Walnut Avenue.
SUMMARY
The City of Chula Vista, in partnership with Wakeland Housing and Development Corporation, is converting the former Palomar Motel at 1160 Walnut Avenue into a Permanent Supportive Housing project to provide long-term ho using and services for individuals experiencing homelessness. Staff conducted the newly adopted naming process for “City Owned Assets”, resulting in three proposed names and recommends that the Council adopt a resolution selecting one as the official project name.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with CEQA. The activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines because the proposal will not result in a physical change in the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
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DISCUSSION
Background
The City of Chula Vista (“City”) acquired the Palomar Motel (the “Project”) in October 2023, pursuant to Council Resolution No. 2023-108, with the intent to convert it to Permanent Supportive Housing (“PSH”) for individuals experiencing homelessness. The Project will provid e 27 units of long-term, extremely low- income affordable housing and voluntary supportive services.
Through a competitive process , the City selected Wakeland Housing and Development Corporation (“Wakeland”) to rehabilitate the property and operate it as PSH, pursuant to Council Resolution No. 2024- 031. The City will continue to own the land at the Project site, while Wakeland will assume ownership of the structure and enter into a long -term ground lease with the City. Pursuant to Council Resolution No. 20 25- 028, in May 2025 the City and Wakeland jointly applied for a grant through the Homekey+ program, administered by the California Department of Housing and Community Development (“HCD”). In September 2025, the City was notified that t he Project was succes sfully awarded $8,610,000 in Homekey+ funds. The Chula Vista Housing Authority contributed an additional $3,000,000 in Low and Moderate Income Housing Asset Fund funds, pursuant to Housing Authority Resolution No. 2025-027, to complete the Project’s financing.
In addition to the 27 affordable units , the Project will include additional space set aside for supportive services and one onsite manager’s unit. The units will be retrofitted with kitchenettes and other upgrades to accommodate long-term residency. The rehabilitation scope also includes major upgrades to the plumbing, electrical, HVAC, and other systems; accessibility upgrades for people with disabilities ; stairway replacement; and new fire sprinklers and other life safety improvements.
Once completed, all 27 units of the Project will be restricted to Very Low or Extremely Low-Income residents.
Rents will be restricted as affordable to individuals earning up to 30% or (depending on the unit) 50% of the Area Median Income, as determined an nually by HCD. In practice, the Project will be even more deeply affordable, due to rental assistance subsidies provided by the San Diego County Health and Human Services Agency. The subsidies consist of 20 project-based vouchers and 7 Veterans Affairs Sup portive Housing (“VASH”) vouchers for veterans experiencing homelessness. The rental assistance subsidies will ensure that no household pays more than 30% of its income towards rent and utilities.
The City and Wakeland are currently preparing a community outreach plan to initially and continually inform Project neighbors . All financing documents on the project and the long -term lease are anticipated to be executed by mid -January 2026 and c onstruction is expected to begin immediately after and conclude in October 2026. The Project is expected to be fully occupied in early 2027.
Project Name
As the Project begins construction, establishing an official name is an important step in reflecting the City’s history, culture, geography, and identity, while helping to shape how residents and tenants connect with the community. The selected name will be incorporated into all financial documents, project signage, correspondence, press releases, and future City documentation.
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In accordance with City Policy No. 470-01 City Asset Naming and Renaming, adopted on September 9, 2025, staff initiated a multi -step process to solicit and evaluate name proposals. From October 30-November 3, 2025, the City accepted open -ended name submissions from employees across all City departments and Wakeland, which resulted in over one hundred suggested names. On November 4, 2025, the City Manager’s Office and Housing and Homeless Services Department reviewed submissions and selected the top five names that follow Policy No. 470 -01 guidelines. Between November 5–11, 2025, the top five names were shared with the public via social media , the City newsletter and constant contact email list to select their three favorite names. Three hundred thirty-six (336) individuals participated in the vote and the City Council will adopt the official name for the Project.
The top three proposed names, in ranked order below, each received over one hundred votes and reflect the Project’s location, mission, and community values, and were developed through collaboration between City staff, community stakeholders, and Project partners.
1. Palomar Point
2. Esperanza
3. Studios at Palomar
Staff recommends that the City Council select one of the proposed names as the official Project name. Once selected, staff will proceed with finalizing the name for use in all Project materials, signage, and public communications.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City of Chula Vista City Council members and has found no property holdings within 1,000 feet of the boundaries of the property which is the subject of this action.
Consequently, this item does not present a disqualifying real property -related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(7) or (8), for purposes of the Political Reform Act (Cal. Gov’t Code §87100, et seq.).
Staff is not independently aware and has not been informed by any Chula Vista City Council member, of any other fact that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There is no current-year fiscal impact associated with selecting a project name.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact associated with selecting a project name.
ATTACHMENTS
None.
Staff Contact: Carlos Rodriguez, Management Analyst II Brian Warwick, Housing Manager
Stacey Kurz, Housing and Homeless Services Director