SAN JOSE — A downtown San Jose property linked to the co-founder of WeWork and once part of a plan to convert the office building to housing tumbled into default due to a failed loan, documents show.
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The nine-story building at 152 North Third St. and next to St. James Park defaulted on a $45 million loan that was issued in 2021, documents filed on July 15 at the Santa Clara County Recorder’s Office show.
The building is owned by a group controlled by Nazare Capital Management, whose principal executive and founder is Adam Neumann, co-founder of WeWork. The site totals 130,700 square feet, a property brochure states.
At the time of the default, the Neumann-linked group owed $37.5 million.
The group paid $44 million to buy the building in 2018, county documents show. The office hub is mostly empty, except for Freshly Baked Eatery, a sandwich shop on the ground floor.
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It was never clear what Neumann’s group intended to accomplish with its ownership of the building.
In 2025, plans were floated to convert the building’s office spaces into residential units. A preliminary proposal envisioned 133 apartments, with residences on every floor of the structure.
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