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Data center approved for office building in North San Jose

San Jose officials have approved a data center that would be developed inside a big office building, fresh evidence of the municipality's interest in attracting computer-intensive tech hubs.

admin July 17, 2026 2 minutes read

SAN JOSE — City officials on July 8 approved a data center that would be inside a North San Jose office building on a 4.9-acre site.

Slated to be developed at 300 Holger Way, residents have until July 20 to appeal the decision, a municipal planning official told this news organization.

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Bay Area real estate firm Menlo Equities owns the property through an affiliate and filed the data center proposal in 2025, planning files show.

“No changes to the existing site or building exterior are proposed,” a city planning document states.

The footprint of the 97,800-square-foot research and development building won’t be altered as a result of the project. An estimated 85% of the building would be dedicated to “computer equipment space,” plans state.

“The proposed improvements are limited to interior tenant improvements, including the installation of data racks,” according to the project proposal.

The artificial intelligence revolution has intensified interest in data center projects in San Jose, with proposals for the tech hubs in the works in multiple locations in the city.