RUMORVILLE: Target Believed To Be Pulling Out Of San Diego East Village Amidst Growing Concerns Over Increased Homelessness

August 13, 2023

Rumors are swirling that the highly-anticipated Target store scheduled to open on the base floor of a new luxury high rise in San Diego's East Village is pulling out of the project due to concerns over increased homelessness and crime in the area.Ìý

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In May 2021, news broke that the ground floor and basement of Cisterra Development's 22-story high-rise apartment tower in San Diego's East Village would include a 36,000-square-foot "urban" Target, which was slated to unveil when the project was scheduled to be completed in March 2023. After missing its contractually obligated March deadline, the big box retailer extended its planned opening date until this summer, then pushed it to October 2023, and most recently delayed it into early 2024.Ìý

We have received information that Target will or already has pulled out of the Radian project, despite having an executed lease in place with a corporate-backed guarantee. It is alleged that the company has growing concerns over increased homelessness and crime in the East Village neighborhood and aims to use contractÌýcontingencies or negotiate a buy out to get out of its obligations. We reached out to Cisterra Development to confirm, and a representative responded stating that he had also heard this rumor but firmly believes Target is still opening at Radian. Target has not responded to our request for comment.

Target has opened several of its small format stores around San Diego County in recently years, including in North Park, Ocean Beach,Ìýon the UCSD campus, and in several other communities. The highly-anticipated East Village branch was set to be downtown's first Target location. At this point,ÌýTarget has completed over 90% of their interior tenant construction improvements at the East Village property but still has delayed opening plans.Ìý

Cisterra has several other downtown San Diego projects, including DiamondView Tower, Sempra Energy's headquarters and was tasked to lead the development of the once-forthcoming 7th & Market. The latter was previously set to house the city's first Ritz-Carlton hotel, before Cisterra announced earlier this year that the luxury hotel pulled the plug on its 2016 agreement to develop the city-owned land at 7th Avenue and Market Street in East Village.ÌýCisterra Development still has the Ritz Carlton Hotel listed as part of its plans for the 7th & Market project on the ,Ìýdespite the entire project being Ìýand Cisterra no longer involved.Ìý

The Radian has the highest rent of any downtown San Diego apartment complex, even considering units in highly sought after Little Italy. The property's average monthly rent is $4,733 across 241 apartments. It is one of the top 10 most expensive apartment buildings in all of San Diego County. The complex is currently around 40 percent leased. Radian will host its official grand opening next week.Ìý

Radian is located at 659 Ninth Avenue in San Diego's East Village. For more information, visitÌý.