Setbacks seen for redevelopment of 2 Carlsbad train stations

Plans to build hundreds of apartments at Carlsbad’s two train stations have been slowed by the need to work around unanticipated situations, a North County Transit District official said.

The train stations are among seven locations in four North County cities where NCTD is trying to increase riders and revenue by working with developers to build apartments, offices, retail stores and even hotels on space primarily used for parking.

One of the hiccups in Carlsbad is a vernal pool between the parking lot and the train platform at the Poinsettia Coaster Station, said NCTD Director of Planning and Development Lillian Doherty.

A vernal pool is a low spot on hard ground that temporarily fills with water during the rainy season and provides a home for plants and animals, some in danger of extinction. It’s a rare type of habitat largely lost to expanding development.

State agencies such as the Department of Fish and Wildlife could require NCTD to preserve the pool or take some other action to mitigate the use of the site.

“There are certain constraints placed on us by the resource agencies that will require a redesign of this site,” Doherty said, in a presentation at the NCTD board’s December meeting.

Carlsbad’s other station is in the downtown Village, where redevelopment plans could be held up by a proposal to lower the railroad tracks into a trench through the Village from about Tamarack Avenue to almost the edge of the Buena Vista Lagoon.

Carlsbad has been working with NCTD and the San Diego Association of Governments for several years on the trenching proposal. Placing the tracks below street level would increase public safety, reduce noise from trains and their horns, improve traffic circulation and boost property values, experts say. However, it would reduce the space available for residential and commercial development.

Completion of the 30-foot deep trench wide enough for two sets of tracks is expected to cost more than $500 million, most of which would have to come from state and federal grants that so far have not been allocated. Construction could begin no sooner than 2029 and probably would take four years to complete.

The Carlsbad Village Station has more than 14 acres of transit district property, most of it used for parking, that could yield between 300 and 400 apartments or condominiums, transit officials have said. The development could bring the district $2.5 million to $4 million in annual revenue, primarily from property leases.

The Poinsettia Station has about 11.5 acres that could yield more than 140 apartments and generate $270,000 to $714,000 in annual revenue. Both stations would maintain their existing parking for train riders and provide additional parking for the development.

Revised plans for the redevelopment of both sites are expected to be presented to the NCTD board in 2026, Doherty said.

NCTD has been working for years to add housing and commercial activities at its train stations as a way to increase ridership and boost revenue. State policies and legislation encourage transit-oriented development as a way to address regional housing shortages, reduce freeway traffic, and cut down on air pollution.

“Our portfolio consists of 11 prioritized sites, seven of which are moving forward in various stages of development,” Doherty said.

The largest project and the one closest to construction appears to be the Oceanside Transit Center on Tremont Street, approved by the Oceanside City Council in November. It is expected to go to the California Coastal Commission for a final review in 2026.

That project would place up to 547 apartments, a 170-room hotel, a multi-story office building, a parking garage, shops, restaurants and more on the 10-acre site, most of which now is a parking lot. NCTD has been working with Toll Brothers Apartment Living on the Oceanside proposal for more than five years.

Another large mixed-use development is proposed for the Escondido Transit Center on West Valley Parkway. That project, with 528 apartments, retail stores, offices and other commercial uses, could go to the Escondido City Council for approval by the end of 2026.

Also in the planning stages are smaller projects for the Rancho del Oro, Melrose and Vista Civic Center Sprinter stations. All three of those projects depend on proposed updates to their city’s general plan — Rancho del Oro and Melrose in Oceanside, and the Vista Civic Center in Vista. Both those updates are expected to be approved in 2026.

“All of these sites have been based on the densities proposed in those general plans,” Doherty said. “If those general plans are not approved, then they will need to reconsider the terms and concepts of their designs.”

Together as proposed, the seven sites include up to 2,341 rental apartments, of which 884 would be reserved as various levels of affordable housing. The remaining 1,457 apartments would be available at market rates. The developments also would include a total of 850,000 square feet of office space, 55,800 square feet of retail, and 275 hotel rooms.

San Diego County Supervisor Jim Desmond, who represents the county on the NCTD board, said he would like some of the residential development to include for-sale properties, instead of all rentals, as a way for young people to enter the housing market.

“Our next generation is being pushed out of being able to afford to buy property,” Desmond said. “There should be a mix (of rental and for-sale properties). I realize it’s hard to make everything pencil out, (but) unfortunately the only people really getting wealthy are the owners of the property.”

NCTD Chief Executive Officer Shawn Donaghy said the district works closely with each developer, but for-sale homes are unlikely.

“For us to be able to generate revenue off of the land we own, the best scenario is a 99-year ground lease,” Donaghy said.

District officials estimate the ground lease revenue will be $2.7 million annually when construction at the seven stations is completed.