New San Diego Chargers Stadium Downtown: How It Will Affect the Real Estate Market

April 30, 2022 0 Comments

The city of San Diego and the Chargers have been considering a 10-acre site east of Petco Park for about a year, saying a stadium could cost $800 million, including $500 million in public funds. Team officials said in December that a new stadium would almost certainly involve taxpayer money, after nearly seven years of saying it wouldn’t.

The new stadium would put people back to work downtown and create jobs. “People need jobs now and when you have the opportunity to do what’s right for the city of San Diego, you should do it,” said Adam Zavarian, a San Diego resident. The stadium, which is not explicitly mentioned in the legislation, has not been designed and it could be several years before construction can begin. No financial plan for the 62,000-seat stadium has yet been proposed, but it is unlikely to be completed before 2015.

With a new state-of-the-art soccer stadium in San Diego, there are several positive economic factors. Just as the Dallas Cowboys’ stadium did for Jerry Jones, the new stadium downtown may be for San Diego. There is the possibility of hosting a sixth game of BCS bowling. The potential for the return of the World Cup to the United States and the West Coast, and possibly even a Pro Bowl. All of these things are speculation at this point, but they are all important economic factors with potential in the next 10 to 15 years. Not to mention, each Superbowl generates about $300 million in local event spending.

What the stadium means for downtown real estate prices:

  1. The real estate value of the parking lots will increase: anyone with extra parking will be able to charge a premium for the spaces during the season.
  2. New development condominiums can be integrated into the stadium at The Legends and Petco Park. Therefore, condo owners can have “season tickets”. Definitely desirable real estate and the first of its kind.
  3. The more development in the center, the more flow of traffic and tourism. Turning downtown San Diego into a New York and Chicago-style hub can only help real estate values. As seen from the residential and commercial values ​​in these cities.
  4. Imagine the financial and monetary benefits of local businesses and hotels for events like the Super Bowl and the World Cup in San Diego. Average daily hotel rates will rise as commercial property values ​​soon follow.
  5. More vacation rentals and 2n/a Houses will be bought. Increase occupancy rates and provide a strong income stream for current owners. Thus increasing the price of the unit in general.

Ultimately, the Chargers’ new stadium is years away. However, one cannot help but think of the positive economic benefits that building a stadium would bring to the city of San Diego and its residents. Although the new stadium may create more traffic congestion and air and noise pollution in the city center, the overall positives outweigh the negatives. I’m sure real estate values ​​will agree with me.

Leave a Reply

Your email address will not be published. Required fields are marked *