Task & Purpose reports that Rep. Scott Peters, a California Democrat, wants the Navy to include dedicated military housing in a major San Diego redevelopment. The project is a Navy effort, not an Army one. Still, the debate touches an issue every junior NCO knows well: what housing costs do to service members and families.
The project covers a campus of more than 70 acres owned by Naval Information Warfare Systems Command. Since 2021, the Navy has sought to revamp it. The plans described include replacing older office, lab and warehouse space. They also include leasing other parts of the campus to a private partner to help pay for military-specific facilities. Navy officials and developers say no final decisions have been made.
Public backlash grew after news broke that developers are considering a data center. Manchester Financial Group, the Navy's selected partner since 2024, confirmed its proposal includes one. Its CEO also said the project contemplates thousands of multi-family homes, plus retail, commercial, industrial and hospitality uses. He said no energy negotiations or agreements exist.
Peters says the original Navy proposals included housing for San Diego, but not units for the military. He argues dedicated military housing would be a reasonable ask. He says active-duty members find it hard to pay for housing even with their housing allowances. The article also reports that San Diego's cost of living is almost 50 percent above the national average. It says current military housing providers there already have long waiting lists.
Basic Allowance for Housing, or BAH, is the stipend service members living off base receive. The article says rank, location and number of dependents are the biggest factors. That means the same rank can face very different housing markets depending on the duty station.
The story also mentions the San Diego City Council approving a data center moratorium, meaning a pause on such projects. The article ties it to concerns over this project. Task & Purpose does not say it settles the Navy's plans. Peters also discussed a federal bill with consumer protections on data center power costs. He said it would cover federal lands, including bases that host data centers. That is a proposal, not an enacted law.
Army leaders can use this story as a discussion starter. How do housing costs shape where Soldiers can live, how far they commute, and how families plan? Nothing here changes Army housing rules or BAH. It is a useful look at how housing needs are debated around a military installation.
Source: Task & Purpose: Congressman pushes for military housing in San Diego amid Navy data center backlash. Published 2026-10-29.