Investing over $225 million in the San Diego housing market, Raintree Partners – a private multifamily investment company – is developing three new contemporary Class A multifamily communities in San Diego County. Totaling 498 units, the luxury properties encompass Treehouse – now under construction – a 107-unit development in Bankers Hill; the 189-unit Flora + Fauna, also under construction; and in Bankers Hill and Dos Lunas, a 202-unit community in Encinitas  poised to begin construction late 2025.  

Raintree Partners’ Co-CEO and president of development Jason Check says the San Diego market is an appealing investment for multiple reasons. 

“Back in 2020 and 2021, there was a shift in demand within our portfolio – people were moving from LA and the Bay Area showing a strong preference for San Diego, especially with the rise of work-from-home policies and the area’s compelling quality of life,” Check said. “That shift led us to focus on land entitlement opportunities in downtown and North County San Diego. Even amid today’s choppy capital markets, those projects are moving ahead, which speaks to the strength of the locations, the region’s strong job market and our long-term belief in San Diego as a vibrant, growing market.”

According to Check, the three new projects bring more in-demand high-quality residential options to the area as well as on-site affordable housing. All are amenity rich rental communities characterized by vibrant designs with a range of in-unit features including top-of-the-line appliance packages with washers and dryers in each home; contemporary countertop, backsplash, flooring, cabinet and hardware selections; expansive windows; specialty glass sliding doors; air conditioning; and more. Highlights also include abundant experiential amenities – from outdoor dining and entertaining spaces to resort-style pool areas. 

Treehouse, an eight-story podium building located at 2525 1^st Ave in San Diego, spans 115,453 square feet with subterranean parking and airy, contemporary architecture inspired by the botanical gardens of nearby Balboa Park. With a focus on wellness, the amenity line-up includes a fitness center and sauna, a Zen spa deck and a roof deck with a greenhouse-inspired trellis, outdoor dining and lounge space with ocean and bay views and an herb garden adjacent to an outdoor kitchen/garden zone. There are studio, one- and two-bedroom options. Slated for completion in November 2025, the community replaces an older apartment building owned by Raintree. Architect: BDE Architecture; Contractor: ECON Construction.

Flora + Fauna is located at 411 Ivy St., San Diego. Encompassing 115,453 square feet, this two-building community features six levels of sleek, modern architecture marked by rectilinear elements and an outdoor lifestyle replete with a sauna, spa and cold plunge, a coworking lounge and a roof deck with ocean and city views. Fostering a connection with nature, the community’s distinctive biophilic design incorporates the beauty of nearby Balboa Park. Studio, one- and two-bedroom floor plans, as well as two-bedroom townhomes are available. Slated for completion in mid-2026, the one-acre development occupies the site of a former office building. Architect: BDE Architecture; Contractor: W.E. O’Neil Construction.  

Dos Lunas is situated at 550 – 590, 696 Encinitas Boulevard, Encinitas. A tribute to relaxed coastal living, the three building, 260,300-square-foot Dos Lunas spans four levels – featuring breezy, modern design and a robust mix of resort-like amenities, including an ocean view roof deck, a pool, spa, cold plunge and sauna coupled with an expansive indoor/outdoor fitness center. It features a mix of studio, one-, two- and three-bedroom units, as well as two-bedroom townhomes. Slated for completion in 2027, the new property is on an undeveloped 4.9-acre site. Architect: Architects Orange. 

With these latest properties, Raintree now owns six communities totaling 1,265 homes in San Diego, including Regents La Jolla, a 333-unit community at 9253 Regents Rd.; in La Jolla, Axiom La Jolla, a 302-unit community at 3950 Mahaila Ave.; in San Diego and Flower Fields, 132 units at 2666 Flower Fields Way in Carlsbad.

SAN DIEGO, CA – February 22, 2019 – HFF announces that it has arranged the sale and acquisition financing for Regents La Jolla, a 333-unit, mid-rise multi-housing building in La Jolla, California.

HFF marketed the property on behalf of the seller, LaSalle Investment Management, Inc.  Raintree Partners purchased the asset free and clear of existing financing.  Additionally, the HFF team worked on behalf of the new owner to secure 10-year, fixed-rate financing with Pacific Life Insurance Company.

Regents La Jolla consists of nine four-story buildings and one single-story cabana building housing a mix of one- and two-bedroom units averaging 966 square feet.  Completed in 2000, the property is part of a 574-home development that includes 241 condominium units not included in the sale.  The 96-percent-occupied community is situated on approximately 8.48 acres at 9253 Regents Road.  Located within the University Town Center (UTC) neighborhood, Regents La Jolla is surrounded by La Jolla’s demand drivers, including being half a mile from the University of California, San Diego, which is the No. 1 employer in San Diego; several of the area’s premier medical/research facilities; Westfield UTC Mall; and 14 million square feet of commercial space.  Community amenities include two swimming pools, a fitness center, sports lounge, movie theatre and professional entertaining kitchen.

“The rare opportunity to acquire a Class A trophy asset in the UTC submarket, coupled with the $1 billion redevelopment at the Westfield UTC Mall as well as the $2 billion Mid-Coast Trolley project, created a high level of interest,” Combs said.  “The recent additions of Amazon and Apple to the submarket, along with the continued growth of UCSD, will keep demand for quality assets such as this robust.”

The HFF investment advisory team representing the seller included senior director Hunter Combs and senior managing director Sean Deasy.

HFF’s debt placement team representing the borrower consisted of senior managing director Charles Halladay and director Chris Collins.

“We view the acquisition of Regents La Jolla as a strategic long-term investment and a great addition to the 302-unit community we currently own within walking distance of Regents,” said Ian Couwenberg, director of Acquisitions for Raintree Partners.  “The evolution of UTC into a major CBD within the San Diego metro area and clear commitment of neighboring owners as well as the city to re-invest in apartment communities, medical campuses, office, retail and infrastructure made the acquisition of Regents La Jolla an exciting opportunity.”