San Jose office building may be converted to residential or hotel

A 10-story, 113-year-old office building at 2 West Santa Clara St. might be converted to become either a residential building or a hotel.

Like many urban areas today, Downtown San Jose has a very high office vacancy rate. In Q2 it was 26.6%, partially because the massive 200 Park office tower was completed, adding greatly to the amount of available office space in the area. Santa Clara is also at 26.1% and San Francisco has a whopping 31.6% office vacancy.

So it makes quite a bit of sense to take some of the older office buildings and convert them to other uses that have more demand. Some of the plans up for consideration for 2 West Santa Clara are 65 residences, a hotel with 147 rooms, or a 73-unit co-living space (e.g. The Grad). 

The building has a great location in central Downtown San Jose but is only 100,000 SQFT and has small floor plates that are not popular with tech companies these days. Since every office has windows already, it should a pretty easy conversion to residential or a hotel.

Source: SFGATE