San Diego Convention Center Secures Multi-Million-Dollar Modernization Plan

San Diego is moving forward with a five-year, $118.7 million modernization program for the San Diego Convention Center, marking the first tangible step in deploying long-delayed hotel tax revenues approved by voters in 2020.

Mayor Todd Gloria announced that the San Diego City Council approved the 2026 fiscal-year allocation, the first installment in a multi-year funding plan to address critical deferred maintenance and aging systems at the waterfront facility.

“As I’ve said, San Diego can’t just get by on our looks — we have to be a city that competes and wins,” Gloria said. “We are investing in one of our most important economic engines so it stays modern, reliable, and competitive — and we’re doing it with dollars paid by visitors, not residents.”

First Phase Focuses on “Behind-the-Scenes” Reliability

The modernization effort represents what city officials describe as a foundational “phase zero,” focusing on essential infrastructure rather than visible upgrades. The San Diego Convention Center opened in 1989 and now competes with larger, recently expanded centers in Las Vegas, Nashville, and Orlando.

Planned upgrades include a roof replacement, removal of unused rooftop tennis courts, installation of a solar-ready surface, generator system upgrades, electrical infrastructure improvements, and replacement of aging mechanical systems. 

“Our decisions should be based on the needs of our show organizers. We’ve interviewed them, surveyed them, as we don’t want to expand just for the sake of expanding, but to meet the demands that are proven to be there,” said Corey Albright, chief of infrastructure and modernization, San Diego Convention Center.

Clifford “Rip” Rippetoe, president and CEO of the San Diego Convention Center Corporation, framed the upgrades as essential to protecting the building’s market position. 

“These strategic investments will allow us to continue hosting large-scale events that increase visitor spending, generate tax revenues, support good jobs, and promote regional prosperity,” Rippetoe said.

Rippetoe is expected to retire later this year after a decade leading the organization and a 45-year career in the industry.

Measure C Revenues Finally Materialize

The funding comes from Transient Occupancy Tax (TOT) revenues authorized under Measure C, approved by voters in March 2020.

Measure C increased the city’s hotel tax by 1.25% to 3.25%, depending on a property’s proximity to the convention center. Revenues were originally earmarked for convention center expansion, homelessness services, and street repairs.

However, years of litigation delayed implementation. The measure was finally confirmed in 2025, and the city began collecting the additional tax revenue in May 2025.

Expansion Delayed Until at Least 2027

A long-discussed expansion of the convention center remains on hold. A settlement involving Fifth Avenue Landing LLC prevents the city from advancing expansion planning until 2027, and the city does not currently control all necessary land parcels.

Rising construction costs since 2020 have further complicated the outlook. Officials say the funding framework was designed under pre-pandemic cost assumptions and must now be reevaluated for financial feasibility.

Convention center leaders acknowledge that San Diego loses some large-scale events due to space constraints, particularly shows that require additional contiguous exhibit space.

Destination Investments Add Momentum

San Diego’s convention competitiveness is also tied to broader infrastructure investments. San Diego International Airport is in the midst of a multi-year expansion that will add approximately 30 gates by 2028, along with new arrivals roadways, expanded food-and-beverage offerings, and outdoor check-in pavilions.

The improvements also take on added relevance as San Diego prepares to host TED in 2027, ending the conference’s 12-year run in Vancouver. The event will be based at the San Diego Convention Center and extend into surrounding venues.