Rancho del Rayo was developed in 1987 by Gene Klein, former owner of the San Diego Chargers, and Gus Gardner and is located on the hills south of Fairbanks Ranch.  There are two distinct developments in Rancho del Rayo, Del Rayo Downs and Del Rayo Estates.

Del Rayo Downs features 65 patios homes in a gated community.  The homes range in size from 2,500 to 4,300 square feet and many have lovely valley views of the Rancho Santa Fe horse country to the north and the manicured fairways of nearby golf courses.  Del Rayo Downs is a Mediterranean style neighborhood which includes two tennis courts, a club house, pool and cabana for its residents.  The schools districts are Solana Santa Fe Elementary, Earl Warren Middle School, Torrey Pines High School or San Dieguito Academy.

Del Rayo Estates features 23 home sites from 2 to 12 acres in size.  These large estate homes were custom built and most are privately gated with stunning views of the surrounding hills and ocean sunsets.  Del Rayo Estates includes some of the most expensive real estate in Rancho Santa Fe. The schools districts are Solana Santa Fe Elementary, Earl Warren Middle School, Torrey Pines High School or San Dieguito Academy.