100-plus homes are being eyed on north San Jose office building site
SAN JOSE — A big housing development is being eyed at an office site in north San Jose, fresh signs of the shifting nature of the area’s real estate sector in a post-coronavirus economy.
A veteran San Jose real estate firm has floated a preliminary proposal to build more than 100 residences at the corner of North First Street and Trimble Road in San Jose, documents on file with city planners show.
Valley Oak Partners wants to build townhomes on a 4.9-acre parcel with addresses of 2611 and 2635 North First Street in San Jose, according to the city planning files.
A 107-unit development consisting of townhouses would be built at that site, the city files show. The plans were filed as a preliminary proposal to gauge the reaction of local residents, political leaders and San Jose planners to the development concept.
“This site makes a lot of sense to be redeveloped as a housing project,” said Bob Staedler, principal executive with Silicon Valley Synergy, a land-use consultancy.
Numerous tech companies have scaled back their office footprints, a retrenchment that has triggered rising vacancies for office space.
That, in turn, has created opportunities to convert office properties — including office towers in some instances — into residential development sites.
A housing development at the First and Trimble intersection would be located in the heart of north San Jose, an area rich with tech employment and office hubs.
Across the street from the proposed housing project are two Google buildings. Google also operates other major employment hubs in north San Jose along or near First Street.
The housing proposal at 2611 and 2635 North First Street is slated to consist of townhouses in 15 buildings, the development plans show.
An affiliate of The Stanley Group, a real estate and investment firm, currently owns the property. The bank branch is operated by Bank of America. A nonprofit, a vending machine supplier and a software company are listed as tenants in the adjacent office building, according to Google Maps.
The site at present consists of two commercial buildings, including a bank branch and an office building. The larger office building was constructed in 1982. It wasn’t immediately clear when the bank branch was built.
“These older structures are inefficient and not likely to be in demand for reuse,” Staedler said.