As we step into 2025, San Juan Capistrano, a charming city in South Orange County, California, is poised for a transformative year in housing development. Known for its rich history, Spanish architecture, and small-town vibe, this city is balancing its storied past with the pressing need to address modern housing demands. With state mandates pushing for more residential units and a growing population seeking affordable and sustainable living options, San Juan Capistrano is seeing an exciting wave of new housing projects slated for completion or advancement in 2025. This blog post dives deep into these developments, exploring what they mean for residents, the community, and the broader region.
The Housing Landscape in San Juan Capistrano
San Juan Capistrano has long been a gem in Orange County, offering a slower pace of life compared to the bustling urban centers of Los Angeles or Irvine. However, like much of California, the city faces a housing crisis driven by high demand, limited supply, and escalating costs. The state has mandated that San Juan Capistrano plan for 1,054 new housing units by 2029, a target that reflects the need to accommodate diverse income levels and combat homelessness. As of March 24, 2025, the city is making significant strides toward meeting these goals, with several projects either nearing completion or breaking ground this year.
These developments are not just about adding numbers; they’re about creating communities that align with the city’s unique character while addressing contemporary needs. From affordable housing initiatives to luxury residences, 2025 promises a mix of projects that could redefine how people live in San Juan Capistrano.
Salida del Sol: Affordable Housing Meets Civic Innovation
One of the most anticipated projects in San Juan Capistrano for 2025 is Salida del Sol, a groundbreaking development by Jamboree Housing Corporation in partnership with the city. Slated for completion in early 2025, this project combines 49 units of service-enriched affordable housing with a brand-new City Hall on a 2.2-acre site at 32410 Paseo Adelanto. This innovative public-private partnership is a model for addressing housing shortages while enhancing civic infrastructure.
The residential component of Salida del Sol includes 40 permanent supportive housing units for formerly homeless individuals and veterans earning up to 30% of the Area Median Income (AMI), alongside nine units for households earning up to 50% AMI. Designed as a three-story, 45,598-square-foot building, the complex prioritizes resident well-being with first-floor amenities like a community room, kitchen, computer lab, and counseling spaces. Outdoor features, such as barbecue areas and a community garden, aim to foster a sense of home and belonging.
What sets Salida del Sol apart is its integration with the new City Hall, a $10.2 million project funded partly by the $8.75 million sale of 1.2 acres of the existing City Hall campus to Jamboree. This dual-purpose development not only saves costs but also symbolizes a commitment to community stability. Mayor Howard Hart has praised it as a standard-setter for tackling homelessness, while Orange County Supervisor Katrina Foley emphasized its role in stabilizing veterans and low-income families. With construction well underway as of late 2024, residents and officials alike are eager to see this vision come to life in the coming months.
The Five-Story Debate: Winebright Capistrano’s Mixed-Use Project
Another significant project stirring conversation in San Juan Capistrano is a five-story mixed-use development approved in January 2025 by the City Council. Proposed by Winebright Capistrano, this building—located within a half-mile of the city’s train station—has sparked both excitement and concern. Under state housing laws, such as the Housing Crisis Act of 2019, developers have significant leeway to bypass local zoning restrictions if their projects include affordable units, leaving city officials with limited control over scale and design.
This development, which doesn’t exceed the city’s height limit, could have been even larger—up to eight stories and 446 units with zero parking—under state mandates. Instead, the final design settled on five stories, a compromise that Councilmember Howard Hart acknowledged with a nod to the adage, “Don’t hate the player, hate the game.” Councilmember John Taylor, while supportive of the housing need, expressed a preference for a four-story structure, reflecting a broader tension between growth and preserving San Juan Capistrano’s quaint aesthetic.
Residents have voiced worries about traffic, parking, and the building’s fit with the city’s small-town charm. During public meetings, concerns centered on congestion along Camino Capistrano and the potential strain on nearby infrastructure. Yet, the project’s proximity to the train station aligns with state goals to encourage transit-oriented development, reducing reliance on cars. As construction progresses in 2025, this development will test the city’s ability to balance state-driven growth with local identity.
Affordable Senior Housing on Don Juan Avenue
In October 2024, the San Juan Capistrano City Council took a proactive step by approving the $2.35 million purchase of a 1.8-acre vacant lot on Don Juan Avenue. The goal? To develop affordable senior housing that better suits the neighborhood than a previously proposed six-story, 107-unit family housing complex by Affordable Housing Land Consultants, LLC. That earlier plan, with just 14 parking spaces, raised alarms about population density and traffic on the narrow street, prompting the city to intervene.
Now under city ownership, the site offers flexibility to design a project that minimizes community impact. Council members envision a lower-density development tailored to seniors, who typically require fewer parking spaces and generate less traffic than families. Using funds already budgeted for affordable housing, the city is in a 60-day due diligence period as of early 2025, assessing the site’s viability. If all goes as planned, a request for proposals will soon invite developers to submit senior-focused designs, with construction potentially starting later this year.
This move reflects a broader trend in San Juan Capistrano: prioritizing housing that fits the community’s needs and character. As Councilmember Hart noted, it’s not about opposing affordable housing but ensuring it’s “appropriate for the area.” For the city’s aging population, this project could provide a vital lifeline, offering stability in a region where housing costs often outpace retirement incomes.
Luxury and Market-Rate Options: Petra and Beyond
While affordable housing dominates headlines, San Juan Capistrano is also seeing growth in market-rate and luxury developments. Petra, a new community by Sandsea Developers, offers detached homes just under 1,800 square feet, featuring three bedrooms and 2.5 bathrooms. With a contemporary design and direct access to Dana Point via a multi-use path, these homes cater to buyers seeking coastal living with modern conveniences. Priced for the upper market, Petra reflects the city’s appeal to those who value its proximity to the ocean and vibrant downtown.
Elsewhere, builders like Tri Pointe Homes are rolling out projects like Heatherly, a Plan 3 design emphasizing open living spaces and gourmet kitchens. These homes, aimed at completion in 2025, blend stylish finishes with functional layouts, appealing to families and professionals alike. Meanwhile, sites like NewHomeSource list over 203 new construction floor plans citywide, ranging from single-family homes in the low $1 millions to condos starting at $544,990, showcasing the diversity of options emerging this year.
Challenges and Opportunities Ahead
The flurry of housing activity in San Juan Capistrano comes with its share of challenges. State mandates, while driving development, often clash with local preferences, as seen in the five-story project debates. Traffic and parking remain perennial concerns, especially in a city with a Walk Score of just 34, indicating limited pedestrian-friendliness. Residents fear that rapid growth could erode the “quaint, nice town” they’ve long cherished.
Yet, these projects also present opportunities. Salida del Sol and the Don Juan Avenue initiative demonstrate how thoughtful planning can address homelessness and senior needs, while luxury developments boost the tax base and attract new residents. The city’s investment in infrastructure—like the new Council Chamber at the Community Center, set for its first meeting in March 2025—shows a commitment to supporting growth holistically.
Looking to 2025 and Beyond
As of March 24, 2025, San Juan Capistrano stands at a crossroads. The completion of Salida del Sol in the coming months will mark a milestone in affordable housing, while the Winebright project and senior housing plans will shape the city’s skyline and demographics. Luxury homes like those in Petra will continue to draw buyers seeking a slice of Southern California’s coastal lifestyle.
For residents, these developments offer hope—more homes for diverse incomes, better civic spaces, and a chance to tackle pressing social issues. For the city, they’re a test of resilience: can San Juan Capistrano grow without losing its soul? As construction cranes dot the horizon and new neighbors move in, 2025 will be a defining year for this historic community, blending its past with a bold vision for the future.
What do you think about these changes? Are you excited for more housing options, or worried about the impact on San Juan Capistrano’s charm? Share your thoughts below!
