Daily Business Report: April 22, 2024
Not your grandma’s granny flat:
How San Diego hacked
state housing law to build ADU
‘apartment buildings’
By Ben Christopher | CalMatters
In the minds of most Californians, accessory dwelling units — ADUs, short — bring to mind words like “small,” “subtle” and “cute.”
None of which describe the side-by-side ADU duplexes on E Street.
Perched at the edge of San Diego’s desirable Golden Hill neighborhood, there’s nothing dainty or diminutive about these three-story structures. “Backyard cottage” is another term used to describe accessory dwelling units, but these are out front, practically hiding the five-unit multiplex to which they are technically “accessory.”
Like dozens of small and not-so-small apartment buildings across San Diego, the structures on E Street are ADUs in only one way: They were permitted under the city’s ADU Bonus Program.
The city’s one-of-a-kind ordinance offers landlords a one-for-one deal. If they agree to construct an ADU and keep the rent low enough for San Diegans making under a certain income, they’re automatically permitted to build a second “bonus” unit, which they can rent at whatever price they like.
In parts of the city far from public transit, the 2021 city program offers a one-off: Alongside the main house and the two ADUs already permitted under state law, the city allows for a maximum of five units on one property.
Photo: An ADU complex in the Golden Hill neighborhood of San Diego on Nov. 2, 2023. (Photo by Adriana Heldiz, CalMatters)
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UC San Diego receives $7.35 million for
Scripps Center for Oceans and Human Health
By Lauren Fimbres Wood | UC San Diego
The University of California San Diego was awarded $7.35 million in funding from the National Science Foundation (NSF) and the National Institutes of Health (NIH) for a multidisciplinary program to advance understanding of marine contaminants and nutrients in a changing climate, and to ensure that safe and healthy seafood is available and accessible to all people.
The funding, to be awarded over five years, will enable the re-establishment of the Scripps Center for Oceans and Human Health as one of four new nationwide centers focused on understanding how ocean-related exposures affect people’s health.
The center brings together experts from UC San Diego’s Scripps Institution of Oceanography, Skaggs School of Pharmacy and Pharmaceutical Sciences, and the School of Biological Sciences, as well as NOAA’s California Sea Grant and the Southwest Fisheries Science Center.
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Alaska Airlines, SDSU agree to 3-year partnership
That includes stadium perks for flyers
Alaska Airlines will become the official airline of San Diego State Athletics and Snapdragon Stadium, while also being added as a name sponsor for the Mission Valley venue’s southeast gate. The Snapdragon partnership will benefit fans who hold Alaska Airlines Visa cards and/or Alaska Airlines Mileage Plan memberships. Those using the airline’s mobile app will enjoy expedited entry through a dedicated lane at all Snapdragon events, including SDSU football, San Diego Wave, San Diego FC (the new Major League Soccer franchise) and San Diego Legion games, concerts and more.
Alaska Airlines has more nonstop destinations from San Diego than any other airline, which offers the possibility of greater travel convenience for fans attending games and events at Snapdragon.
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Study reveals AI enhances physician-patient communication
By Annie Pierce | UC San Diego
As one of the first health systems in the country to pilot the use of generative artificial intelligence (GenAI) to draft replies to patient messages inside the Epic Systems electronic health record, UC San Diego Health is a pioneer in shaping the future of digital health.
The results of a new University of California San Diego School of Medicine study indicate that, although AI-generated replies did not reduce physician response time, they have contributed to relieving cognitive burden by starting an empathetic draft, which physicians can edit rather than starting from scratch.
The study, published in the April 15, 2024 online edition of the Journal of the American Medical Association’s Network Open, is the first randomized prospective evaluation of AI-drafted physician messaging.
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Construction starts on $98 million housing
and mixed-use use community in City Heights
City Heights Community Development Corporation in partnership with Wakefield Housing and Development have begun construction on Cuatro at City Heights, a $98 million housing and mixed-use community at University Avenue and El Cajon Boulevard. The project will provide 117 units of affordable rental housin and 13,000 square feet of commercial space. Individuals and families are expected to begin move-ins by fall 2025.
The commercial spaces will include a new Salaam Youth and Community Center offering resources from community partners, United Women of East Africa, Southern Sudanese Community Center and the Refugee Assistance Center. The center will provide a centralized space for refugees and immigrant youth to access coordinated services, resources and support.
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Kearny Mesa office building sells for $12.2 million
A two-story, 45,940-square-foot Class A office building at Ruffin Road and Calle Fortunada in Kearny Mesa has been acquired by the California Schools Voluntary Employee Benefits Association for $12.2 million. The seller was CAPL Building LLC. Amenities include remodeled restrooms, showers, lockers and 144 parking spaces.
Randy LaChance and Ryan Bracker of VOIT represented the buyer in the transaction.
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TriLink BioTechnologies celebrates opening of mRNA manufacturing facility
A key player in San Diego’s RNA cluster, TriLink Bio Technologies celebrated the grand opening of its mRNA manufacturing facility in Sorrento Valley. Part of the Maravai Life Sciences portfolio, the company is ready to onboard clients with late-phase manufacturing needs in the 32,000-square-foot facility featuring stat-of-the-art equipment, cleanrooms, and manufacturing suites.
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Alterome Therapeutics raises $132 million Series B
Led by Goldman Sachs Alternatives, local biopharma startup Alterome Therapeutics secured $132 million in Series B funding. The San Diego company will use these funds to advance its small-molecule targeted oncology therapies to clinical trials in the next year. Proceeds from the fundraise will be used to support the advancement of multiple wholly-owned pipeline programs into the clinic, including a highly specific AKT1 E17K inhibitor and a KRAS selective inhibitor.
Westfield UTC is expanding with a new wing of luxury shops and restaurants
Unibail-Rodamco-Westfield has started construction on an all-new wing of luxury shops and destination eateries designed to further elevate the status of its flagship Westfield UTC property in University City. The French firm announced the expansion project, which will introduce 50,000 square feet of space spread across two buildings with nine storefronts and two restaurants on the lot of the original Nordstrom box. The project, set to open to the public in early 2026, will also add a second valet area near Michael Kors,
Contineum prices biotech’s latest IPO, raising
$110 million for neuroinflammatory drugs
Contineum Therapeutics has raised $110 million in an initial public offering, the biotechnology industry’s 10th of the year, to advance a group of drugs it’s developing for neurological and inflammatory diseases. Contineum’s offering keeps biotech IPOs on their strongest pace in three years, according to BioPharma Dive data. By this time last year, only four drug startups had gone public, raising $375 million. In 2022, nine companies had pulled in $744 million.
Credit union collects more than 4,200 pounds
of pet foods for Rancho Coastal Humane Society
San Diego County Credit Union, one of Southern California’s largest locally-owned financial institutions, collected and donated 4,224 pounds of dog and cat food to help support the efforts of Rancho Coastal Humane Society (RCHS) through the inaugural Full Bowls campaign. Donations were collected at all San Diego County SDCCU branch locations during the month of March and were delivered to RCHS to help stock the shelves of the organization’s food pantry.
Sony Electronics introduces new digital
multimedia receiver to Car AV line
Sony Electronics Inc. announced a new addition to its line of car AV receivers, the XAV-AX3700. The XAV-AX3700 includes a customizable experience to fit users’ personal viewing preference, while providing optimal sound. This new model includes a large anti-glare screen with an enhanced user interface and customizations, along with space saving installation and exceptional wireless audio quality to provide a simple and sleek addition to the vehicle.
Enstall joins Agile Electrification Project as founding sponsor
Enstall has joined the Agile Electrification Project as a Founding Sponsor. The project, a partnership with the University of California-San Diego and industry leaders, has been launched to help protect California’s 17,000 solar jobs by reducing costs and barriers to home electrification. The Agile Electrification Project is initially launching with research projects designed to improve bill calibration modeling, advance accurate customer proposals, and increase homeowner’s access to incentives.
Calidi Biotherapeutics announces closing of $6.1 million public offering
Calidi Biotherapeutics Inc., a clinical-stage biotechnology company developing a new generation of targeted immunotherapies, announced the closing of its previously announced public offering of 15,197,500 shares of common stock. The company intends to use the net proceeds of the offering for working capital and general corporate purposes, and pre-clinical and clinical trials, as well as the repayment of certain debt. Ladenburg Thalmann & Co. Inc. acted as the sole placement agent of the offering.
49 local nonprofit organizations share $8 million in grants
San Diego Unified School District and San Diego Foundation announced they have awarded $8 million in grants to 49 local nonprofit organizations to support the fourth year of Level Up SD, an expanded learning program designed to support students’ summer learning. “San Diego Unified is grateful for the ongoing partnership and shared commitment we have with community-based organizations to offer our students access to meaningful summer academic and enrichment opportunities, at no cost,” said Dr. Lamont Jackson, superintendent of San Diego Unified.
Gator By The Bay returns May 9-12
The largest Louisiana-themed music and food festival this side of the bayou returns to San Diego’s Spanish Landing Park this May 9-12. Gator By The Bay offers attendees four days of live music with more than 100 musical acts on seven stages, as well as a delicious array of southern cuisine, including 10,000 pounds of fresh crawfish trucked all the way from Louisiana. Tickets for Gator By The Bay are available online, with reduced pricing for Thursday, Friday and Sunday.
Opening Day for summer racing season set for July 20
The Del Mar Thoroughbred Club announced its highly-anticipated summer racing season – including dates for Opening Day, the FanDuel Racing Pacific Classic, and its lineup of exciting trackside events. Tickets for Opening Day presented by Caesars Sportsbook and the summer racing season go on sale May 10 at 10 a.m. at dmtc.com/tickets. Opening Day at Del Mar takes place on Saturday, July 20 – the first time since the 1950s it will be held on a Saturday. The summer racing season will run through Sept. 8.
