SAN JOSE — The owner of two housing towers in San Jose is looking to sell top-floor penthouses priced in the millions, an effort that follows the recent sales of units in the buildings considered key to bringing more life downtown.
Read more What are California’s 12 official paid holidays after the latest legislation?
With prices of $1.88 million to more than $3.6 million, according to Centurion Real Estate Partners, the four available penthouses for the towers at 188 West St. James St. are two- and three-bedroom units that range from 1,581 to 3,002 square feet.
The eastern tower is 22 stories with 337 units and the western tower is 20 stories with 303 units. The sales efforts are focused solely in the western tower.
Starting in mid-May, Machine Investment Group and Centurion Real Estate Partners began marketing non-penthouse units, eventually reaching a milestone of 20 completed sales.
The penthouses, with floor-to-ceiling windows and wide-ranging views of the Santa Clara Valley and its adjacent mountains, are now becoming a major focus.
“These are our trophy units,” said John Tashjian, managing partner with property operator Centurion Real Estate Partners.
Machine Investment Group gained ownership of the two towers near San Pedro Square through a speedy foreclosure process that valued them at $181.9 million.
China-based Z&L Properties developed the high-rises, then presided over a financial, construction, development and legal ordeal that engulfed the towers over an eight-year stretch.
The problems were severe enough that a Z&L affiliate was forced to cede ownership of the property through the foreclosure.
Until this year, the two towers that are part of San Jose’s quest to have more activity and foot traffic downtown remained nearly dormant.
Read more Victim of 1969 Oakland homicide is finally identified
“Downtown San Jose has been waiting for years for the increased foot traffic that 188 West St. James was supposed to bring,” said Bob Staedler, principal executive with land-use consultancy Silicon Valley Synergy. “The delays and slow sales have had a real impact on nearby businesses and restaurants that were counting on hundreds of new residents in the neighborhood.”
Machine Investment Group and Centurion Real Estate Partners began seeking buyers for the non-penthouse units in the western tower in the spring, with the first purchase taking place in May.
As of Sept. 30, there were 20 completed sales at an average price of just over $726,600 per condo, a review of the recorded transactions on file in Santa Clara County shows.
Four of the sales of the non-penthouse units topped $1 million, according to records. Fourteen fetched prices that ranged from $500,000 to just under $1 million. Two were sold in the $400,000s.
One of the condos was bought for about $1.27 million, the highest recorded price, in July.
Earlier this year, Machine Investment Group invested $30 million on renovations and upgrades of the towers ahead of the sales, including redesigned lobbies, and a third-floor club with private workspaces, social lounges, a catering kitchen, an outdoor terrace, a 75-foot pool, a hot tub and barbecue areas.
The interior of one of the penthouses was designed by frenchCALIFORNIA. Architect Steinberg Hart led the design of the reimagined lobby, and C2K Architecture provided the overall design of the two housing towers.
“People see the property turning the corner; they see the upgrades in the amenities spaces and they see value in getting in on this,” Tashjian said.
Read more Valley Fair: The 4 new restaurants and when they’ll open at Santa Clara/San Jose mall
About the Author
