A downtown San Jose housing complex at 188 West St. James St. has reached a significant operational milestone, with nearly half of its condominiums sold as the property unveils a newly completed amenities deck. The project, which features a 22-floor eastern tower and a 20-floor western tower, marked the occasion with a ribbon-cutting ceremony held this past Thursday, The Mercury News reported.
The completion of the $30 million renovation project—which includes a 75-foot lap pool, shaded cabanas, chaise lounges, and outdoor BBQ stations—is a pivotal step for the residential complex. Machine Investment Group, the project’s principal owner, has focused its initial sales efforts on the 303-unit western tower. According to John Tashjian, managing partner at Centurion Real Estate, approximately 40% of those units have been sold, a figure that includes both fully recorded grant deeds and pending contracts. Two of the four available penthouse units have also been secured by buyers.
Shifting the Downtown San Jose Economic Narrative
For municipal leaders, the towers represent more than just real estate inventory; they are viewed as a necessary catalyst for urban density. San Jose Mayor Matt Mahan positioned the project as a cornerstone for the city’s future during the ceremony. “Downtown San Jose is emerging as the one true urban center for Silicon Valley,” Mahan said.
This sentiment is echoed by local business advocates who see the influx of residents as a fundamental requirement for a sustainable downtown economy. Brian Kurtz, CEO of the San Jose Downtown Association, noted that increasing the number of homeowners in the urban core is essential for driving long-term vibrancy. San Jose Councilmember Anthony Tordillos, whose district encompasses the downtown area, emphasized the need for a consistent population to sustain local small businesses. “We need more people who are actually living downtown,” Tordillos stated. “More families, more young people, people who can activate our streets 365 days a year.”
Office Vacancy Challenge
Office vacancy rates in the city currently hover around 30%, a lingering symptom of shifts in work culture across Silicon Valley. Mayor Mahan acknowledged this reality, suggesting that the city’s path forward relies on pivoting toward an “experience economy” driven by entertainment, sports, and unique local events rather than relying solely on traditional office occupancy.
Nick Goddard, a senior vice president at Colliers, believes that providing high-end common areas—such as the newly unveiled shuffleboard court and outdoor lounge spaces designed by Steinberg Hart—is a proven method to attract residents. “The more amenities you can provide next to the housing, you can get more people living here,” Goddard said.
Sales Team Reports Consistent Interest
Despite the broader economic complexities facing the Bay Area, the sales team for the towers reports consistent interest from prospective buyers. Paul Zeger, a partner at Polaris Pacific, which is managing the sales, observed that residents are prioritizing the lifestyle benefits of an urban environment. “They really see the value in this, of living downtown,” Zeger said. “They love living here.”
While the western tower continues to see activity, the 337-unit eastern tower remains entirely unoccupied. Machine Investment Group and Centurion Real Estate have not yet provided a specific timeline for the full activation of the eastern building, as their current focus remains on maintaining the momentum of the western tower’s sales program.
