Berryessa Flea Market
Status Report
Community & Economic Development Committee
March 24, 2025
Item d(2)
Office of Economic Development and Cultural Affairs:
Nanci Klein, Director
Blage Zelalich, Deputy Director
Nathan Donato-Weinstein, Downtown Manager
Jessica Munoz, East Side Economic Coordinator
Background: City Council Direction - June 2021
Vendor Transition Fund
Flea Market Advisory Group
Five-Acre, On-site Urban Market
Economic/Feasibility Studies
Support Berryessa
Flea Market vendors
through the
redevelopment of
the site
Vendor Engagement and Support
2 Vendor Engagement and Support
• Direct stall-to-stall outreach
• Text messaging
• E-mail communication
• Advisory Group check-ins
• Online resource hub at
sjeconomy.com/FleaMarketVendors
3 Vendor Engagement and Support
Mission Asset Fund is a local
nonprofit that helps low-income
and immigrant communities with
zero-interest loans, credit building,
and financial education.
Mission Asset Fund was engaged
to provide these services along
with direct outreach to the vendor
community.
Milestone Through February 2025
Outreach Events 65
Outreach Attendees 267
1:1 Technical Assistance 104
Group Technical Assistance 165
Loan Applications Approved 53
Total Loans Disbursed $131,500
4 Market Studies - Economic and Cultural Impact
• Major economic hub - Berryessa Flea
Market attracts 836K-1.7M visitors
annually and generates $20M-$40M
in sales
• Supports 1,000+ jobs
• Low stall rents facilitate incubation of
several successful businesses
• Diverse offerings and cultural
significance make the Market a key
family-friendly attraction in San José
5 Market Studies – Operational Models
• $5.7M generated annually - low overhead, prime
location, diverse revenue streams.
• Relocation challenges include high land costs,
vendor loss, and replicating success.
• Markets without long-term leases or property
ownership have struggled.
• Future models could include a smaller market at
the current site, a downsized location, or a multiuse space. 6 Market Studies - Alternative Sites Assessment
• Eight locations were analyzed based on trade area, demographics, traffic patterns, facility size, parking, access, and feasibility.
Five-acre market on the current site Evergreen Center
Singleton landfill Former Sears at Eastridge Mall
Remillard landfill Santa Clara County Fairgrounds
Santa Teresa/Great Oaks City-owned land near Morgan Hill • Three most viable options face issues like space limitations, environmental concerns, and ownership restrictions.
7 Market Studies - Alternative Sites Assessment
Former Sears at Eastridge
• Considered for short-term use, but has space and
renovation challenges
• Uncertainty around the current Market's closure and
timing of funding for tenant improvements
• Owner desires an immediate arrangement.
Santa Clara County Fairgrounds
• Transition in Fairgrounds operating personnel
• County's ownership and redevelopment proposals
limit City involvement.
8 Market Studies - Alternative Sites Assessment
Singleton Landfill
• City-owned site best long-term option
• Requires 3-5 years of environmental mitigation
at $3-4 million/acre
• Additional construction costs significantly higher
on landfill sites
• California Surplus Land Act requires prioritizing
affordable housing development
• City seeking an exemption from the Housing
and Community Development Department for
employment and revenue-generating
development
9 Property Owner Status Report
January 2025
• One-year notice of Flea Market closure will come no earlier than July 1, 2025.
• Application for Master Planned Development permit and Tentative Map has not been re-submitted since an initial October 2023 withdrawal.
• No indication of an imminent redevelopment proposal for the site. 10 Vendor Transition Fund
Transition Fund Contributions $7.5 million
Early Funding – Property Owner
City of San Jose
$500,000
$2.5 million
One-year closure noticed issued –
Property Owner
$2 million
Flea Market ceases operation –
Property Owner
$2.5 million
11 Looking Forward
• Next Property Owner Status Report expected
in June 2025.
• Continued evaluation of Singleton redevelopment potential. • Staff work paced around site redevelopment.
• Future CED Committee updates will be
included in OEDCA’s Business Development
Division Activities Annual report.
12 Berryessa Flea Market
Status Report
Community & Economic Development Committee
March 24, 2025
Item d(2)
Office of Economic Development and Cultural Affairs:
Nanci Klein, Director
Blage Zelalich, Deputy Director
Nathan Donato-Weinstein, Downtown Manager
Jessica Munoz, East Side Economic Coordinator