San Jose Development Updates

The SJ Economy Blog will start sharing a detailed update on development projects on a regular basis. The current stats are impressive.

• There are 16.22 million SQFT of office in development
• There are 7,261 residential units in planning, 5,215 units have been entitles, and 3,476 units are currently under construction (1,533 units are under construction Downtown).
• There are multiple hotels in the pipeline including a Hyatt House, Hampton Inn, Resident Inn, 24-story Tribute Hotel, and several others.

For more details head over to the source links below.

Source: SJ Economy Blog, Full development report

Miro's twin high-rise under construction across from City Hall

AC Hotel Coming to Downtown San Jose

Yesterday, I posted about the hotel explosion happening in North San Jose. Fortunately Downtown is getting some love as well. Remember the mediocre-looking Hampton Inn project on Santa Clara Street and Highway 87? There is a photo below to refresh your memory. This was a 6-story, 162-room wood construction, limited service hotel.

Instead of Hampton Inn, a much nicer AC Hotel is being built in its place. This will be a 7-story, 210-room hotel, built from concrete and steel and featuring an AC Lounge. AC Hotels is a hip, modern brand somewhat similar to Aloft or W Hotels. I think you'll agree with me after see the photos below that this is a significant improvement over what was planned before.

Yet Another Hotel Coming to North San Jose

North San Jose has been adding new hotels left and right. A combo 175-room Residence Inn and 146-room SpringHill Suites (both owned by Marriott) is just about ready near the airport. A new Aloft near Alviso has broken ground. Hyatt is moving forward with 330 rooms across two of their brands (Hampton Inn and Home2 Suites) that would both be on the same parcel. Lastly, part of Bay 101's redevelopment will likely include two hotels, and Phase 2 of M8trix includes a hotel tower.

If that wasn't enough for you, there is one more project to add to the mix. A 1.9-acre site at 1610 N. 4th Street is being considered for a 120-room hotel with 6,500 SQFT of banquet space. Currently this space is a private parking lot for airport travelers.

The developer is known for building hotels that are part of the InterContinental chain, such as Candlewood Suites and Holiday Inn. $25 million is being budgeted for this particular project. For more info check out the source link below.

Source: SVBJ

Two New Hyatts Coming to North San Jose

Yet another duo of hotels is coming to the North First area. It seems like every hotel announced in this general area is coming in pairs. First we had SpringHill Suites (146 rooms) and Residence Inn (175 rooms) at Airport and North First which will share the same physical building and back of house operations. Then earlier this year we found out about Hampton Inn and Suites (145 rooms) and Home2 Suites (140 rooms), which will be housed in separate buildings at the old Piercey Toyota lot, but likely share operations and resources.

Now we have two Hyatts being announced: a Hyatt Place clocking in a 164 rooms and seven-stories, and an extended stay Hyatt House with 140 rooms (five-story building). This will all be located on six acres at North First and East Brokaw Road, very close to both the airport, the casinos, and a massive 2 million SQFT office project proposed for the area. I also have to mention that there is easy access to light rail here, making these hotels great options for people flying into town to catch an event at the new 49ers Stadium.

The project will cost $65 million and construction will begin in Q2 2015 with completion expected in late 2016.

Hyatt House: https://www.hyatt.com/en-US/hotel/california/hyatt-house-san-jose-airport/sjcxa
Hyatt Place: https://www.hyatt.com/en-US/hotel/california/hyatt-place-san-jose-airport/sjcza

Source: SVBJ, Hat tip to Joseph Meduri

Downtown San Jose Development Projects Map

There are so many big projects kicking off in Downtown San Jose, that we need a map to keep track of them all. Below is a nice one put together by the city that shows all projects that are under construction, in planning, and even goes so far as to highlight key areas for future infill development. You can click the map below to enlarge or access a PDF version right over here.

DOWNTOWN SAN JOSE - CURRENT DEVELOPMENT PROJECTS

1. North San Pedro - 408 Units, Est. Completion 2016
2. Little Italy Developments
3. Santa Clara County Family Justice Center - Est. Completion 2015
4. St. James Towers - 612 Units, 10,000 SQFT Retail, Est. Completion 2016
5. Centerra - 347 Units, 7,000 SQFT Retail, Est. Completion 2015
6. Fairfield Mid-Rise - 195 Units, Retail
7. Hampton Inn & Suites - 197 Rooms, 5,900 SQFT Retail, Est. Completion 2015
8. Symphony Development - 127 Units (Student Housing)
9. One South - 312 Units, 6,000 SQFT Retail, Est. Completion 2015
10. Post & San Pedro Tower - 156 Units, 4,100 SQFT Retail
11. San Jose Convention Center $130 Million Expansion
12. Balbach Condos - 100 Units
13. The Pierce - 234 Units, 9,400 SQFT Retail, Est. Completion 2015
14. Parkview Towers - 197 Units, 5,000 SQFT Retail

New $35M Hotel Project in North San Jose

Remember the old Piercey Toyota lot on North First near the airport? That is about to become not one, but two hotels. On the table is a 145-room Hampton Inn and Suites as well as a 140-room Home2 Suites. Unlike the SpringHill Suites and Residence Inn project also happening near the airport, each of these hotels will be housed in a separate building. However, I would be surprised if they did not share some of their resources and staff since the owner is going to be the same (Kalthia Group Hotels).

I know some of the urbanists that frequent this site will not be impressed with five-story buildings, especially along North First where we could theoretically go beyond 30. Personally, I'll take it over an empty parking lot any day of the week. North First seems under-serviced by hotels, and we need these resources to help entice more large companies to the area.

Source: SVBJ

December 2013 Downtown Dimension Highlights

Here are my notes from the latest edition of Downtown Dimension:

• Development construction in Downtown San Jose is booming. The only major new construction in the last five years was the Convention Center Expansion, but you can now see two massive cranes for the One South Market and Centerra high-rise apartment projects. In addition to that you will soon see cranes for:
• Saint James Towers (2 towers, 20-22 stories, 612 units)
• North San Pedro (6 stories, 408 units)
• The Pierce (7 stories, 235 units)
• Parkview Towers (18 stories, 197 units)
• Marshall Squares (7 stories, 195 units)
• Post and San Pedro Tower (19 stories, 156 units)
• Civic Center (7 stories, 127 units)
• Santa Clara County Family Justic Center (8 stories, 233,900 SQFT)
• Hampton Inn & Suites (8 stories, 197 rooms)
• San Jose's Office of Economic Development is revising its San Jose Storefronts Initiative, which helps small businesses lease vacant space by offsetting permit costs and fees. New restaurants will be able to apply and grantees can receive up to $16,000. The program will continue until the $250,000 of funding is used.
• On any given night, as many as 25 Downtown venues can feature live music. Check out the SJDA Live and Local page for listings.
• Thanks to some private contributions from Downtown businesses, the Downtown PBID was able to purchase a small electric vehicle (let's be honest, it's a golf cart) to help with security patrols.
• A permanent US patent and Trademark Office that will service the entire west coast will occupy part of City Hall at 200 E. Santa Clara.
• David Nevin, owner of the Rock Shop, is bringing live music back to The Back Bar at 418 S. Market.
• Bel Bacio Imported Italian Coffee is now open at 350 W. Julian St. No. 4.
• gZines! is now selling fine art and jewelry at the Fairmont Hotel.
• Blackbird Tavern is now using the vacant 2,400 SQFT next door for private parties and events.
• Thirst Tea is now selling boba teas and snow ice at 150 S. First St., Suite 118.

To read the full newsletter, click here!

Centerra & KT Properties Towers

Jeff Arko sent in a couple new pics yesterday of our up and coming Downtown projects. The Centerra crane is already being assembled as you can see in the top picture. Below that is a notice for KT Properties' dual tower project across the street from the San Pedro Square Market. He also mentioned that One South Market's concrete columns are getting up to the second floor.

It has been quite a while since we have had a crane in the air Downtown, and in a year we may have 9 or 10 of them (One South, Centerra, KT Properties (x2), New Courthouse, The Pierce, Post Tower, Hampton Inn, Symphony Apartments)!

KT Properties Towers Alternate Concept

The Downtown San Jose market for high-rise projects has been on fire lately and we are in the privileged position of being able to demand more from future projects. We no longer have to settle for whatever we can get as seen in the redesigns for Hampton Inn and One South. With KT Properties' two tower project across the street from the San Pedro Square Market, they hit the ground running with what I think is a pretty solid initial design. However, what if it could be better?

If you look at the bottom two images, you can see an alternate concept that places the towers in an L shape instead of a "twin" configuration. I can see several benefits with the configuration. It would add a greater sense of volume and dynamics to the skyline from every direction. It would create a stronger retail pavilion adjacent to the SPSM with more potential for outdoor space since the tower would be further back instead of almost directly on top of the main retail area. It would also better highlight the historic Fallon House as a centerpiece for the area.

What do you guys think about the L-shaped concept verses the twin tower design?

Latest Hampton Inn Renders

The latest renders of the Hampton Inn project in Downtown San Jose look infinity times better than what was originally planned. For all those that complained when you saw the first draft, give yourselves a pat on the back. It's nice to know that San Josean's can now demand a bit more in the design department when it comes to future Downtown projects (the One South high-rise design was another example of this). I especially like the new down lighting that Hampton Inn added to the top floor. What do you guys think?

Thanks to Joseph Meduri for sending these in.

Hampton Inn Facelifts Planned Downtown San Jose Hotel

When Hampton Inn revealed the initial design for their new 162-room Downtown San Jose hotel at Santa Clara Street and Highway 87, you could hear the groans a mile away. It looked completely generic and more appropriate for a strip mall in Anywhere, USA. Personally, I think this original design looks like a convalescent home.

The good news is the second draft looks better, I'll let you be the judge of how much. I like the the improved use of glass in the corners, that is my favorite part of the new design. The textured brown walls are also a step up from the white and gray of the original. I still can't help but to think that they could have Silicon Valleyed this up much more and went with radical colors that would stand out and Aloft-style LED lighting. For something that can easily be seen from Highway 87, people walking from the HP Pavilion, and the San Pedro area... they could still do a lot more.

What do you guys think?

Source: San Jose Development Forum

Before

After

First San Jose Aloft Hotel Coming in 2014!

One of my favorite hotel brands is finally coming to San Jose. Aloft is part of the Starwood chain, which also includes Sheraton, Westin, W Hotels, St. Regis, Four Points, Le Meridien, and Element. Aloft hotels are designed by the same people responsible for the chic and modern W Hotels brand, except these rooms are a bit smaller and much more affordable. Where Aloft really excels above other brands is technology. Each room is guaranteed to have a large LCD screen with HDMI inputs, USB ports, lots of outlets, etc. Even the reception area of these hotels are tech friendly and seem more like a break room at Google than a hotel lobby. Aloft has also started a new pilot program where frequent guests get a permanent key and receive a text message with their room number 24 hours before arrival so that they do not need to check in.

The San Jose Aloft is going to go next to the America Center, which houses the corporate headquarters for Polycom and Flextronics. This also happens to be a stones-throw away from the new 49ers stadium, Santa Clara's future entertainment district, and massive new office developments currently under construction. The hotel clocks in at 175 rooms and five stories, and also shows that you can build a budget-friendly low rise hotel that does not look like crap (hope Hampton Inn is paying attention). Also, those colorful horizontal bars are filled with LEDs that light up at night and look really slick.

It's also great to see how Starwood Hotels have been expanding in San Jose. Just five years go there were ZERO Starwood hotels in San Jose proper. Even the "San Jose Sheraton" is in Milpitas. The Hotel Montgomery in Downtown San Jose was converted to the nicest Four Points Hotel in the world and became our first Starwood. Then a new Four Points opened in South San Jose off of Bernal and 101 late last year. The Westin San Jose is opening Downtown in November of this year. And now we get an Aloft for 2014. I hope the trend continues, I'm a big fan of the Starwood chain.

Source: SVBJ

Hampton Inn Opening Hotel in Downtown San Jose

First the good news. Hampton Inn (part of the Hilton family) has announced plans to build a 162-room hotel at the southeast corner of Santa Clara Street and Highway 87. The building will be about 100,000 SQFT, including 6,000 SQFT of new ground-floor retail.

Now the bad news... it is only six stories tall and looks like a convalescent home. You can see for yourself below. When I first saw the renders I immediately thought of a similar hotel in McCarthy Ranch surrounded by parking lots and big box stores. Fortunately, this design has sparked instant outrage from the City and those that live in and care about Downtown. I would be really surprised if they don't make some serious revisions before this breaks ground (much like the One South Market further down Santa Clara Street). I think that if this design was proposed five years ago, nobody would have thought twice about it. Now that we have built up some pride for our Downtown, people are no longer accepting half-assed generic designs. It's time to take things to the next level!

Source: SVBJ