The San Diego City Council voted 6-2 on July 9 to approve the Southwest Village Specific Plan, a 490-acre development that could bring up to 5,130 homes near the U.S.-Mexico border, making it one of the region’s largest residential developments in years.

The plan, led by Irvine-based Tri Pointe Homes, covers land between the Otay Mesa and San Ysidro neighborhoods, roughly 1,800 feet from the border at its southern point. Tri Pointe plans to build 1,500 to 2,100 homes on the site, including 778 multifamily units and 142 single-family homes, with 92 apartments set aside for low-income renters. Other developers could build additional homes on private and public parcels within the zoned area.

Mayor Todd Gloria said after the vote that San Diego needs more homes in every part of the city, calling the project an important step toward building more homes, lowering housing costs, and creating neighborhoods where families can live, work, and thrive.

The plan also includes 175,000 square feet of commercial space, a new school, 200 acres of open space, and bike lanes and bus routes designed to create a walkable community. The project envisions new roads and infrastructure to support the residential development.

Councilmember Vivian Moreno recused herself due to a financial interest in a residential property in the area. Councilmembers Marni von Wilpert and Joe LaCava voted against the plan. LaCava said he wanted more time to review the proposal, even though it had been in planning for a decade. Von Wilpert raised concerns about a fire station being built only after 700 homes were completed, and wanted more written guarantees for promised amenities like a public park.

Allen Kashani, director of land entitlements for Tri Pointe, said the company began work on the project in 2016 and has spent years engaging with homeowners, environmental groups, and stakeholders. Not all residents supported the plan. Antonio Blas, whose family has owned land in the area for roughly 40 years, argued that rezoning from single-family to denser development severely diminishes the utility, purpose, and financial value of his family’s land.

Environmental objections also surfaced. Michael King of the Sierra Club argued the project is largely cut off from public transportation, with no significant transit plan. Future transit planning falls to the San Diego Association of Governments, not the City Council.

San Diego housing analyst Gary London of London Group Realty Advisors said the development should help the region’s housing needs, noting that new townhouses in the area typically run $530,000 to $650,000, less expensive than other parts of San Diego. He said it is virtually the only place in the region where prices are affordable.

The approval follows a nearly 1,000-unit housing development approved near the border in mid-April, reflecting the city’s push to add housing on mostly vacant land in southern San Diego.