Diamond Ridge is a census-designated place just outside Homer in Kenai Peninsula Borough, Alaska, United States. At the 2010 census the population was 1,156, down from 1,802 in 2000. Diamond Ridge is located at 59°39′55″N 151°34′15″W / 59.66528°N 151.57083°W and is bordered to the south by the city of Homer and to the southeast by the city of Kac…Diamond Ridge is a census-designated place just outside Homer in Kenai Peninsula Borough, Alaska, United States. At the 2010 census the population was 1,156, down from 1,802 in 2000. Diamond Ridge is located at 59°39′55″N 151°34′15″W / 59.66528°N 151.57083°W and is bordered to the south by the city of Homer and to the southeast by the city of Kachemak. To the east is the Fritz Creek CDP, while to the north and west is the Anchor Point CDP. The farthest west part of the Diamond Ridge CDP borders Cook Inlet at the mouth of Kachemak Bay.