SAN MARCOS — San Marcos and developer Affirmed Housing are entering into an exclusive negotiating agreement for the potential development of 260 affordable housing units across two city-owned parcels in the Creek District.
One parcel, known as the Creekside parcel, is located along Creekside Drive between Bent Avenue and Eastgate Drive and measures 0.83 acres. The other parcel, known as the Truss parcel, is located along Via Vera Cruz just south of the Galleria Vera Cruz shopping center, and measures 2.91 acres.
San Marcos has retained the two sites, around a quarter mile apart, for an eventual affordable housing development since the state dissolved redevelopment agencies back in 2012. The city issued a notice of funding availability for the development of the parcels in 2024 and selected a proposal from Affirmed Housing.
On Tuesday, the City Council approved the exclusive negotiating agreement with Affirmed Housing on the consent calendar.
“The proposed developer, Affirmed Housing, presented the strongest proposal with the highest value to the City with no local or state funding, and payment to the City for the land,” a city staff report states.
Affirmed Housing proposes constructing 203 units ranging from one to two bedrooms (including two manager’s units) at the Truss parcel, split between four stories. The ground floor would feature live-work units, according to Affirmed Housing’s proposal.
At the Creekside parcel, Affirmed Housing proposes 57 one-bedroom units, including one manager’s unit, in a three-story building.
All units at both sites would be deed-restricted to income levels ranging from 30% to 70% of the area median income.
“Affirmed Housing is committed to addressing the City of San Marcos’ housing needs by proposing a thoughtfully designed, scattered site development aimed at serving low-income families,” the developer’s proposal states.
The exclusive negotiating agreement lasts through April of 2027, with the eventual goal of reaching a project agreement and selling the two properties to Affirmed Housing. During the agreement period, Affirmed Housing must submit detailed designs, a financing plan, and a development schedule to the city.
The value of the two properties is currently estimated at around $5 million, according to the city staff report.
The project will eventually be reviewed by the City Council for approval.
San Marcos is also planning the eventual extension of Creekside Drive, which would run alongside the two buildings just north of Paseo del Arroyo Park and the San Marcos Creek.
Affirmed Housing also developed the Alora and Estrella projects, which replaced the former Mariposa Apartments in San Marcos’ Richmar neighborhood with 196 new affordable apartments between two sites.
