Office of Economic Development + Cultural Affairs
Business Development Division
Activities Annual Report
Community and Economic Development
Committee
April 28, 2025
Item (d)1
Blage Zelalich, Deputy Director
Victor Farlie, Small Business Team Lead
Small Business Empowerment Day
May 2024
East Village Renaming and Mural Project Celebration
August 2024
OEDCA’s Business Development Division
strengthens San José’s economy through
business outreach, collaboration,
development assistance, grants, economic
analysis, and communications.
Structured to serve multiple segments of
the City’s business community.
Expected starting July 2025:
12 permanent, 3 time-limited
staff focused on:
Small Business and Neighborhood
Commercial Corridors
Corporate Outreach
Downtown
Business Development Division | Who We Are & What We Do 2 +6.8%
Consumer
spending,
compared to
January
2020, Santa
Clara County
30%
Business
generated Sales
Tax in 2024
Business Ecosystem Vital Signs |
22.5%
Citywide
office
vacancy rate
13.5%
Citywide
R&D
vacancy rate
3.5%
Citywide
industrial
vacancy rate
4.5%*
Citywide
retail
vacancy rate
Real Estate Indicators
4%Citywide
Unemployment
Rate
415,000
Total jobs based
in San José,
December 2024
60,000
Businesses with
1+ employee and
registered with
the City
-1%
local sales tax in
2024 but 18%
above pre-COVID
levels
Jobs lost in 2024
20,000
Sources: Cushman & Wakefield/CoStar (CRE data) as of Q1 2025; tracktherecovery.org, Lightcast, Calif. EDD, work2future, CDTFA, City of San Jose Department of Finance 3 Consumer & Business Spending
Highlights / Key Achievements
First year of the Small Business
Advisory Committee
Two new Business Improvement
Districts: Tully Road and Monterey
Road Corridor
Flea Market Advisory Group
Free Legal Services launched
Prosperity Lab Women in Business
Entrepreneurs Program
Holiday Shop Local campaign
| Small Business & Neighborhood
Commercial Corridors
MEE Program Graduates
4 | Neighborhood Commercial Corridors
5 Business Development Activity
14,000
Business clients annually assisted
through the BusinessOwnerSpace
collaborative.
Of businesses who
received a
Storefronts
Activation grant in
last 7 years remain
open.
Jobs created via 39start-ups in the Women in
Business Entrepreneurs Program.
130
$450K+
New Business
Improvement
Districts
established in
the Tully Road
and Monterey
Road business
corridors.
11 Neighborhood
business districts
promoted
through Holiday
San José
campaign.
97%
65 Storefront activation
grants awarded to
San José business
owners.
Business owners assisted by the City's
Small Business Ally service through Feb.
2025.
2,500
6 50
Small Business owners
benefitting from the new
free legal service.
Looking Ahead
The Alameda CBID on April 29, 2025
and Story Road in Fall 2025
Alum Rock Business Association and
East Village moving forward with
Business Improvement Districts
Launch of new online digital one-stop
shop
New Start-up and Neighborhood
grant programs in Summer 2025
| Small Business & Neighborhood
Commercial Corridors
The Alameda Business District 7
Business Development Activity
200+
Corporate
Engagements
$2.80:$1
Ratio of revenue to spend, OED
Business Development Salary
Overhead
~7,000
Jobs retained/attracted
Years of Foreign
Trade Zone 18
50 $25B+
In activity generated
by Foreign Trade Zone
in the past year
600+
Businesses
assisted with
permitting
8 Highlights / Key Achievements
Expansion of team
50 years of the Foreign Trade Zone: #2
in CA, $25B of activity
Infinera and Western Digital secure
CHIPS grants and tax credits
Relationships with top employers and
key partners
Expanded AI ecosystem
| Corporate Outreach
Council recognition of the 50th Anniversary of Foreign Trade Zone 18 9 Looking Ahead
Engage top revenue generators
Attract new investment
Expand partner & broker relationships
Manufacturing roundtable
More AI
| Corporate Outreach
10 Mayor Matt Mahan with NVIDIA and SJSU, recognizing a new AI-focused collaboration between the three organizations, December 2024 Enhanced Vibrancy
MOMENT pop-up program
launched in May 2024
2025 NVIDIA’s GTC conference
attracted 25,000 people
Post Street Pedestrian Mall
Unpermitted Vendor pilot program
Safety and Security Committee
| Downtown
MOMENT Paseo Launch May 2024 11
1. Retain/grow jobs and revenue
and promote innovation from
large- and medium-sized
businesses in key sectors such
as manufacturing and artificial
intelligence.
2. Foster small business resilience
and create thriving business
districts.
3. Accelerate a thriving Downtown.
| Economic Strategy Work Plan
San Pedro Pedestrian Mall 12
Objectives #1, #2, #3
(Business Development)
Business Development Division
Deputy Director
Blage Zelalich
Downtown
Chris Arkley
Small Business & Neighborhood
Commercial Corridors
Vic Farlie
Salvador Alvarez
Juan Borrelli
Jessica Muñoz
Anh Nguyen
Minh Tran
Corporate Outreach
Joe Hedges
Doug Moody
Noëlle Rábago
Communications
Carlos Velazquez
13