In the early 1900s lots sold for $25 and residents often lived in tents without electricity.  The semi-rural beach environment was the norm until World War II.  Kate Sessions, famous as the "Mother of Balboa park" opened her nursery in PB in 1914.  From this base she transformed many neighborhoods of San Diego with her plantings.  Many homes in the Los Altos area have gardens planted by Sessions. Her home remains on Las Altos road and the nursery is marked by a Tipuana tree and an historical marker at Garnet and Soledad Mountain Road. 

World War II brought thousands of workers to San Diego to build the planes and equipment needed for the war effort. Three navy housing areas were built during the war years. Many remembered San Diego fondly and returned after the war to make it their home.  Numerous small cottages were constructed in Pacific Beach to house the newcomers.  In 1950, PB had 30,000 residents and houses were selling for around $12,000. 

With the development of Mission Bay in the 60s as a prime recreational area, PB was in danger of being overbuilt with high rise apartment buildings and other commercial development.  The residents sponsored a 30-ft height limit proposition which was voted into effect in 1972.  The area was also down-zoned for density at about the same time protecting its small town, casual feel.

Many improvements to the area were built in the 1980s including the Promenade shopping center and Sea Coast Square as well as a number of public projects. Currently there are 40,000 residents and 1,200 businesses most locally owned. These include 20 hotels and 151 restaurants many of which offer entertainment.