Governor Newsom Signed Midway Rising Development Bill
The new law clears legal hurdles for a major redevelopment project near San Diego's Pechanga Arena.
Updated on Sept. 29, 2026 in Legislative Policy
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Governor Gavin Newsom signed Senate Bill 344 into law, effectively shielding the Midway Rising project from further litigation regarding its environmental review. The legislation enables the project to proceed toward final approval by the San Diego City Council.
Why it matters
The law aims to revitalize San Diego's Midway District by finalizing the environmental status of a project that includes significant affordable housing. By bypassing California Environmental Quality Act challenges, the state seeks to prevent further delays for this high-density residential and commercial initiative.
The Midway Rising plan features 4,250 housing units, 130,000 square feet of retail space, a 16,000-seat arena, and 14.5 acres of park space. This act validates the environmental reports, overriding potential legal disputes that have historically stalled local development.
The players
Gavin Newsom
He is the Governor of California who signed Senate Bill 344 to facilitate the development project.
Akilah Weber Pierson
She is the State Senator who proposed the legislation to move the Midway Rising project forward.
Todd Gloria
He serves as the Mayor of San Diego and has publicly supported the redevelopment initiative.
Brad Termini
He is the developer leading the Midway Rising project through his company Zephyr.
Stan Kroenke
He is a billionaire who owns a majority stake in the Midway Rising development.
The details
Proposed by State Senator Akilah Weber Pierson, the bill specifically targets the redevelopment of land near the Pechanga Arena. The project is led by developer Brad Termini and his firm Zephyr, with billionaire Stan Kroenke holding a majority stake.
Timeline
August 30, 2026: Mayor Todd Gloria expressed his support for the Midway Rising project.
September 23, 2026: Governor Gavin Newsom officially signed Senate Bill 344 into law.
2027: Construction on the redevelopment project could begin.
Need to Know
This legislation interacts with the California Environmental Quality Act by stripping away the ability for litigants to delay the project via environmental review claims. It follows a pattern of state-level intervention in local housing crises to bypass protracted environmental litigation.
Residents of San Diego will see the project move toward a final city council vote, which could signal the start of major site construction by 2027. The law ensures that the inclusion of 2,000 affordable housing units proceeds without the uncertainty of further legal delays.
The takeaway
The signing of SB 344 highlights the state's growing willingness to intervene in local development disputes to prioritize housing goals. Residents should prepare for significant construction activity in the Midway District as the project transitions from legal debate to potential development.
Further reading
Learn more about local planning shifts in Legislative Policy.
Source note: This article includes information reported by Times of San Diego.
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