The Oceanside City Council has unanimously approved the construction of a seven-story, mixed-use development with 230 apartments and ground-floor commercial space in the 800 block of Mission Avenue.
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Two old commercial buildings on the 1.5-acre site will be demolished to make way for what will be the sixth or seventh mid-rise, mixed-use, mostly residential building approved in recent years for downtown Oceanside. The location is opposite the North County Transit District headquarters on Mission, and about one block west of Oceanside High School.
“With a great location comes a great responsibility to execute a good project,” said David Gatzke, vice president of development and policy for the developer, H.G. Fenton, in a presentation Wednesday to the Oceanside City Council. The family-owned San Diego company operates 20 for-rent communities in the region.
In November, the City Council unanimously approved a proposal by the developer Toll Brothers for a seven-story building with 206 apartments on the NCTD property across the street on Mission Avenue.
Other projects in the works nearby include a seven-story structure with 326 apartments, retail stores and restaurants approved in October to replace the 2.7-acre Regal Cinemas complex on Mission west of Coast Highway. Also last year, the City Council approved plans for up to 547 apartments, a 170-room hotel, a multistory office building, a parking garage, shops, restaurants in a major redevelopment of Oceanside Transit Center, less than a half-mile southwest of the H.D. Fenton site.
All the recent projects include taller buildings, more apartments and less parking than allowed by local zoning because of state laws that encourage the construction of affordable housing near public transit. The legislation is intended to address regional housing shortages that drive up rents and contribute to homelessness.
The H.D. Fenton project will include 23 deed-restricted apartments for qualified, low-income households in units equally distributed throughout the building.
The apartments satisfy Oceanside’s former minimum requirement for at least 10% of the housing in new developments to be reserved as affordable. The city increased its minimum to 15% soon after Fenton filed its application.
To qualify for a low-income apartment in the building, a household must have a combined income at 80% or less of San Diego County’s area median income, which is $130,900 for 2026.
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Rachel White, a member of the Oceanside Housing Commission, spoke in support of the development during the public comments at Wednesday’s meeting.
“This seems like a great project,” White said, although she suggested it could be improved by including accommodations for people with wheelchairs or other special needs in the affordable units.
Some speakers praised the developer for working with residents on their concerns about landscaping, parking and the 69 trees to be planted on the property. Others said the project could be improved by requiring all-electric utilities, more accommodations for seniors, and changes to prevent birds from crashing into the building’s reflective surfaces.
Plans call for 24 studio apartments, all with 479 square feet of floor space, 141 one-bedroom units ranging from 539 to 675 square feet each, and 65 two-bedroom units from 874 to 935 square feet each.
The development will include a three-level, parking garage with 295 spaces for residents and 22 spaces for guests, and 29 more parking spaces on the street. Under state law, the project could exclude parking because of the nearby public transit.
Vehicular access to the garage will be from Nevada and Clementine streets. Pedestrian access will be from lobbies on Mission, Nevada and Seagaze Drive.
Upper levels of the development will be separated into three buildings to create “articulation” and avoid a boxy look, Gatzke said. There will be a central outdoor courtyard on the third level and a rooftop deck with a pool shared by all residents.
The building will have a contemporary design oriented toward Mission Avenue, with 5,240 square feet of ground floor commercial space fronting Mission and the corner of Nevada Street and Mission Avenue.
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