Ask a buyer why they are comparing Del Mar and Solana Beach and you will usually hear some version of the same answer: same coastline, same school district reach, same easy commute down the coast to downtown San Diego, different price tags. What almost nobody mentions is a regional infrastructure decision working its way through the San Diego Association of Governments, one that is designed entirely to solve a Del Mar problem and could end up doing most of its construction work two miles south, in Solana Beach.
The problem itself is well known along this stretch of coast. The rail line that carries Amtrak's Pacific Surfliner and the COASTER runs along the Del Mar bluffs, and those bluffs have been eroding for years. SANDAG has carried out five separate stabilization efforts over the past two decades to hold the tracks in place, and the agency now says it is time to stop patching and relocate the corridor for good. That project, the LOSSAN Rail Realignment, is meant to move a 1.7-mile stretch of track off the bluffs and inland. It is currently the single biggest unresolved variable for anyone weighing a purchase in this corridor, and it is barely mentioned in the listings.
Three alignment concepts are under active environmental review. Two of them, labeled Alternatives B and C, begin just south of the San Dieguito rivermouth and stay largely within Del Mar, tunneling either roughly 300 feet under Crest Canyon or beneath Camino Del Mar and Highway 101 before exiting near Jimmy Durante Boulevard.
The third, Alternative A, is the one that changes the calculus for Solana Beach. According to the city's own public notice on the project, this route would begin tunneling at Lomas Santa Fe, extend to Via de la Valle within a widened, double-tracked trench, run south under Stevens Creek, pass beneath the Del Mar Fairgrounds, and continue under San Dieguito Lagoon before tying into Interstate 5. The portal, the construction staging, and years of tunneling activity would sit inside Solana Beach city limits, not Del Mar's.
Solana Beach's city government has already flagged what that means in writing. Its public notice on the alignment states plainly that Alternative A would affect businesses and homes along South Cedros Avenue, directly or indirectly, for seven to ten years, and the city formally asked SANDAG to consider withdrawing that portion of the review to give affected residents and merchants more time to weigh in. South Cedros is not a side street. It is the spine of the Cedros Design District, a two-and-a-half-block run of roughly 80 to 85 independent shops, galleries, and restaurants that gives Solana Beach much of its identity and its foot traffic.
The cost spread between these options is wide enough to shape which one survives the environmental process, and it maps onto very different levels of disruption for very different neighborhoods.
| Alternative | General path | Estimated cost | Primary construction impact |
|---|---|---|---|
| Double-track, reinforced bluffs (no relocation) | Stays on existing Del Mar bluff alignment | $1.9B to $2.5B | Ongoing bluff maintenance, no new tunneling |
| Crest Canyon tunnel (B) | Tunnels roughly 300 feet under Crest Canyon, exits near Jimmy Durante Blvd | $3.3B to $5B | Concentrated in Del Mar |
| Camino Del Mar tunnel (C) | Tunnels under Camino Del Mar/Highway 101 | $3.3B to $5B | Concentrated in Del Mar |
| I-5 tunnel via Fairgrounds (A) | Lomas Santa Fe to Via de la Valle, under Stevens Creek, the Fairgrounds, and San Dieguito Lagoon to I-5 | $3.8B to $5.1B | Concentrated in Solana Beach |
Every option except the no-build reinforcement carries a tunnel, because Del Mar's topography makes an at-grade relocation essentially impossible on the required grade. That is the piece that gets lost in casual conversation about this project. The debate is not simply tunnel versus no tunnel. It is which city absorbs a decade of construction to solve a problem that, geologically, belongs to its neighbor.
A resident advocacy group opposed to the tunnel options, the Coalition for Safer Trains, has estimated that a northern portal alone could require demolishing seven to ten acres and displacing 35 to 50 families through eminent domain, with a comparable footprint cited for a southern portal. Those figures come from the group's own petition rather than from SANDAG, and the agency itself says it is too early to know exactly how many properties any alignment would touch. What is not in dispute is that portal construction of this scale requires taking land, and that under Alternative A, the portal sits in Solana Beach.
SANDAG's board voted 13 to 3 in February 2025 to advance all of the alignment concepts, including the no-build reinforcement option, into further study, with Encinitas, Escondido, and Coronado casting the dissenting votes. An updated Notice of Preparation for the project's draft environmental impact report went out in May 2025, geotechnical testing began that September at sites in Del Mar and San Diego, and as of SANDAG's own project page, last updated in July 2026, no preferred alignment has been chosen. The agency's language is direct: it is too soon to know how many homes will be affected, and the draft environmental documents will need to identify potential property impacts for each alternative before any of that becomes clear.
That is an unusually long runway for a decision this consequential, and it means a buyer closing on a home near Lomas Santa Fe, Via de la Valle, or the Fairgrounds corridor today is buying into several more years of regulatory uncertainty rather than a settled outcome. SANDAG has previously targeted actual track relocation by 2035, which gives some sense of scale, but the agency has not finalized which route gets built, so that date describes an ambition rather than a commitment.
Solana Beach is a small market by design. There is no vacant blufftop land left to develop, and turnover on the best-located streets is genuinely rare. That scarcity is part of the appeal, but it also means the city's median statistics move around more than buyers expect. As of August 2026, one widely used tracker put the city's median list price at $2.04 million, flat compared with both the prior month and the same month a year earlier. The median price per square foot over that same period was $1,041, down 8 percent year over year, and homes were sitting on the market a median of 188 days, unchanged from August 2025.
Read those three numbers together and a pattern emerges that a single headline figure hides. The price a buyer pays for a typical square foot has been softening for a year, while the overall median list price has stayed exactly where it was, which points to a shift in what kind of homes are actually listing, not a stable market holding its value. In a city this size, a handful of larger, higher-priced listings can flatten the headline number even as the per-square-foot economics tell a different story. Add an unresolved, multibillion-dollar infrastructure decision layered on top of that thin data set, and the case for looking past the median gets stronger, not weaker.
For a buyer weighing Solana Beach against Del Mar or Encinitas, the rail realignment adds a genuinely new diligence question, separate from price per square foot or walk score to the beach.
None of this means avoid Solana Beach. It means treat the rail realignment the way you would treat any pending land use decision with a multi-year timeline: as a fact to underwrite around, not a footnote to skip.
Does this mean Del Mar bluff-top homes are safer bets than Solana Beach right now? Not automatically. Del Mar's bluff-front properties sit closest to the erosion risk the whole project exists to fix, while Solana Beach properties near the proposed Alternative A corridor face a different kind of exposure, construction and land-use uncertainty rather than geological risk. They are different trade-offs, not a clear winner.
When will SANDAG actually choose a route? As of the agency's most recent public update, no preferred alignment has been selected and the draft environmental review is still in progress. Anyone telling you a firm date should be treated with caution.
How would I find out if a specific home is in the path of any alternative? Ask your agent to pull the property against SANDAG's published alignment maps for Alternatives A, B, and C, and have your title company check for any recorded right-of-way notices or easements tied to the LOSSAN Corridor.
This is exactly the kind of regional detail that never shows up in a listing description, and it is the sort of thing worth walking through with someone who tracks North County's coastal corridor for a living. If you are comparing Solana Beach, Del Mar, or Encinitas and want a clear-eyed read on how this project could touch a specific address, Polly Rogers and her team can walk you through it. Request a Complimentary Market Consultation to start that conversation.