TO: COMMUNITY AND ECONOMIC FROM: Lee Wilcox
DEVELOPMENT
SUBJECT: Downtown Annual Progress DATE: June 3, 2025
Report
Approved Date
6/9/25
RECOMMENDATION
Accept the annual Downtown progress report, including business and economic development, public life, and arts and cultural initiatives.
BACKGROUND
Downtown San José is experiencing a period of transition and reinvestment as it continues to recover from the impacts of the COVID-19 pandemic while preparing for future economic and civic opportunities. The Fiscal Year (FY) 2024–2025 Downtown Progress Report presents a comprehensive snapshot of key indicators and initiatives shaping the urban core, tracking changes in urban living, employment, real estate, public space, safety, and cultural activation. This annual review helps City staff, stakeholders, and decision-makers assess performance, identify emerging trends, and refine priorities.
ANALYSIS
Over the past year, Downtown San José continued to make visible progress, even amid broader economic headwinds. The return of NVIDIA’s GPU Technology Conference (GTC) brought more than 27,000 attendees Downtown, activating venues and businesses across the core and reinforcing San José’s capacity to host world-class events. Key indicators such as visitor spending, hotel revenue, and event attendance increased year-over-year, signaling sustained momentum. Streetscape enhancements, pedestrian zone expansions, and expanded cultural programming further contributed to a more vibrant and welcoming Downtown environment.
COMMITTEE AGENDA: 6/16/25
ITEM: (d)3
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
At the same time, challenges remain. Office leasing activity continued to lag, and development timelines were extended due to ongoing market uncertainty. Quality-of-life concerns persist, though increased coordination among public safety and outreach teams has improved responsiveness and accountability.
This report begins with an overview of Downtown’s economic, demographic, and cultural indicators, followed by a summary of key initiatives and milestones across sectors shaping Downtown San José's trajectory.
FY 2024-2025 Downtown Indicators through May 31, 2025 (unless otherwise specified)
27,432 jobs in the
Downtown BID
1,239 employers
in the core (1+ FTE)
12.3M ft2 office building
base
$4.37 office asking rent per
square foot
2M ft2 office space built
since 2023
29% office vacancy rate
(+1%)
As shown in Table 1 below, this year’s report analyzed jobs in the business improvement district boundary.
1 While most businesses are small, employment is
concentrated in a relatively small number of larger employers. The data highlights the critical role of mid- and large-sized employers in sustaining jobs Downtown. Ongoing engagement with these companies is essential as the office market evolves.
Table 1: Jobs within the business improvement district boundary Employer
Size
(FTEs)
Number of
Employers
Jobs Share of
Employers
Share of
Employment
1 to 34 1,756 7,151 94.7% 26.1%
35-75 53 2,641 2.9% 9.6%
75 and up 46 17,640 2.5% 64.3%
Totals 1,855 27,432 100% 100%
Urban Living
23,000 residents in
the Downtown
growth area
36,000 Spartans
attending San José
State University
$107,050 median
household income
3,711 residential
units currently
entitled
320 units under
construction
$2,645 average 1-
bedroom apartment
rent
5% apartment
vacancy rate
2,132 new
residential units
built since 2020
1 https://sjdowntown.com/wp-content/uploads/BID-only-map-2024.pdf
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
According to census data, the number of residents in the Downtown Growth Area held steady compared to the previous year. Demographic diversity remains an important feature of Downtown with 27 percent of residents identifying as White Non-Hispanic, 20 percent as Asian, 40 percent as Hispanic, 7 percent as African American, and the remainder identifying as Native American or multiracial.
Arts, Events, Culture
2.1M special event
attendance
+7% year over year
foot traffic in
Downtown Business
Improvement
District from May
2024-April 2025
+17% Downtown
hotel revenue and
visitor spending for
convention facilities
368 permitted
event days
through OCA
(103 day
increase from
previous year)
The nonprofit arts sector supports at least 2,800 jobs, worth a payroll of $173 million and roughly $291 million in total industry spending in San José, according to an economic and social impact study2 released in 2023 by Americans for the Arts . While these figures are citywide, most of the activity is concentrated in Downtown, making it the heart of the city’s cultural and entertainment landscape. Recurring events like Music in the Park, Pobladores Night Market, Starlight Cinemas, Culture Night Market, the Urban Vibrancy Institute’s Block Parties, SoFA Street Fair, and South First Fridays bring thousands of people into public space, enhancing vibrancy and promoting civic engagement. Meanwhile, a range of public and private theater venues from the Center for Performing Arts to City Lights Theater, San Jose Stage to 3Below Theatre, continue to deliver high-caliber programming.
Business Development and Investment
Ground-Floor Commercial: Downtown’s ground-floor commercial ecosystem offers unique food, drink, and service options that support the immediate area and increasingly attract visitors across the region. Below are some notable new business openings from the past year, along with a few coming soon. Almost all were supported by the City’s Small Business Ally and the San Jose Downtown Association’s Business Development team, which assists small business owners with permitting and start-up procedures.
• Historic District: TMC Community Capital, Boys and Girls Club Silicon Valley, Velvet House, MOMENT Post Street, Fuji Sushi (re-opened), CEO Noodles, Hobee’s, Dental Specialties Institute.
• SoFA: Jackie’s Place, Japacurry, Gao Viet (coming soon). 2 https://aep6.americansforthearts.org/local-regional-findings
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
• San Pedro Square: Voyager on St. John, Dumont Creamery, The Pressroom, Nirvana Soul @ Hotel De Anza, MiGi Cera Candles (moved), Kickback Coffee (coming soon), Bloom Eatery (coming soon).
• Paseo de San Antonio: Eos & Nyx, Meimei Dumpling, Sumi Sushi • City Hall area: 6th Street Burger, Asteroid Burgers, Tostadas (re-opened).
The two City-funded retail pop-up nodes along the Paseo de San Antonio and on Post Street, managed by the San Jose Downtown Association in partnership with MOMENT, successfully completed their first calendar year of activity. Ten entrepreneurs have grown their business footprint with this program, including MiGi Cera Candles, who graduated from the program to lease their own retail space at San Pedro Square Market. Businesses at both sites continue month-to-month while project partners consider expanding the program into new parts of Downtown next fiscal year.
Office Market: Commercial office inventory in the Downtown Growth Area decreased slightly from 12.4M ft2 in Q1 of calendar year 2024 to 12.3M ft2 in Q1 of 2025. Office vacancy for the same period increased slightly, from 28% to 29%. Notable new office leases in the past year are shown in Table 2 below:
Table 2: Notable Leases in Downtown Growth Area FY 2024-2025 Company Address Square
Footage
Industry
VTA 70 N 2nd 23,535 Transportation
Thales Group 300 Park Ave 19,735 Tech
ArtHouse 99 Notre Dame Ave 14,000 Education
Pacific
Workplaces
84 W Santa Clara St 12,965 Support Services
Jackson Lewis 160 W Santa Clara St 8.056 Professional Services Hippo
Analytics
1 Almaden Blvd 6,829 Tech
Plug and Play 2 W Santa Clara St 6,243 Tech
Ciena
Corporation
50 W San Fernando St 6,086 Telecom
Commercial sales and development activity remained slow in FY 2024-2025. However, three notable deals include the following:
• 488 South Almaden Blvd: Purchased by the Valley Transportation Authority for $63.7 million ($163 per ft2) for their new headquarters. • 233 W Santa Clara St: The Hotel De Anza was purchased by Hotelier Dhaval Panchal for $11.5 million.
• TownePlace Suites: The Urban Catalyst hotel project in Downtown West opened in April 2025. This is the first new hotel opening since the pandemic and adds 176 much-needed rooms to Downtown’s hotel inventory.
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
Residential market: Out of the 14 entitled projects in the core (approximately 3,700 units), none have gained construction financing amid an extremely difficult and expensive lending environment. However, there was still some significant movement in Downtown’s residential market over the past year:
• 188 W St James: Residential condominiums originally built in 2021, the 640-unit distressed property was recently purchased by Machine Investment Company out of New York with an intention to unlock 500+ homes for sale, increasing the number of new Downtown residents.
• City View Plaza: Jay Paul Co. announced a change in the entitled redevelopment of City View Plaza, converting a portion of the previously planned office space into 320 residential units. The project also includes a new 27-story tower with an additional 360 units, a renovated 15-story building, and 35,000 square feet of retail. Construction is currently underway. • 300 S. First St and 323 Terraine St: Under the City’s new Innovative Project Pathway Program, developer Westbank is advancing two high-rise residential proposals, totaling 1,492 homes. The projects include three 30-story towers at 300 S. First St. and an 18-story tower at 323 Terraine St., paired with data centers. The Innovative Project Pathways Program, approved by City Council in November 2024, is designed to attract investment by streamlining approvals and offering fee reductions for projects delivering exceptional public benefit. • Spartan Village on the Paseo: San Jose State University activated the former South Tower of the Signia Hotel, now Spartan Village on the Paseo, as a residence hall serving over 700 students.
Clean, Safe, and Housed
A consistently high-quality street-level experience for visitors, students, residents, and workers is critical to Downtown’s continued success. While Downtown San José faces unique challenges as the region’s only true urban core, it also benefits from dedicated resources that support cleanliness, public safety, and social services. Several key highlights from the past fiscal year demonstrate ongoing progress in enhancing Downtown’s streetscape:
Clean & Safe Services: Since 2008, Groundwerx has played a vital role in maintaining the cleanliness and safety of Downtown San José. Managed by the San Jose Downtown Association and paid for through property assessments, this essential program delivers enhanced services contributing to Downtown’s overall quality of life.
Each day, Groundwerx staff work diligently to provide cleaning, pressure washing, safety ambassador services, and other key maintenance tasks that help ensure a welcoming and well-kept environment. Businesses, residents, and visitors can report cleaning or safety concerns via the new Groundwerx/Social Impact Team web form at
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
Groundwerx.com or by calling (408) 287-1520. Groundwerx activity since last year’s progress report is shown in Table 3 below.
Table 3: Groundwerx clean and safe activity FY 2024-2025 through May 31, 2025 Task Total Monthly Average
Pan & Broom - Hours 21,020 1,911
Power Washing - Hours 10,709 974
Ambassador Services - Hours 16,305 1,482
Trash Removal - Pounds 871,825 79,257
Graffiti Removed - Number of Tags 27,440 2,495
Biohazards – Number of Incidents 12,367 1,124
Enhanced Security via SJPD Secondary
Employment - Hours 1,864 169
Unhoused Outreach and Connections: Established in 2023 as part of the PropertyBased Improvement District expansion, the Social Impact Team (SIT) was created in response to the collective call from Downtown residents and stakeholders for a dedicated outreach program focused on supporting unhoused individuals. Now entering its third year, SIT continues to play a key role in addressing Downtown quality of life issues. SIT deploys four to five dedicated outreach ambassadors who work directly in the field and whose primary mission is to engage with the unhoused population and connect them with service providers, resources, and assistance - helping individuals find pathways to stability and support. SIT activity since last year’s progress report is shown in Table 4 below.
Table 4: Social Impact Team activity FY 2024-2025 through May 31, 2025 Task Total Monthly Average
Hygiene Kits Distributed 1,309 119
Outreach Contacts 3,478 316
Outreach Hours 3,444 313
Outreach Referrals 1,026 93
Outreach and Housing Navigation: Since 2015, People Assisting the Homeless (PATH) has served as the City of San José’s outreach provider in the Downtown Core through a contract with the Housing Department. PATH’s mission is to engage unhoused individuals, build trust, and connect them with critical services that support long-term housing stability. The outreach team includes case managers, clinical case managers, and a specialized Housing Opportunity Team that assists with public benefits enrollment, employment, and housing navigation.
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
PATH conducts outreach in the Downtown Core and at the Martin Luther King Jr.
Library, which functions as a key access point for services. PATH activity since last year’s progress report is shown in table 5 below.
Table 5: PATH activity FY 2024-2025 through May 31, 2025 Task Total
Unique Clients Served in Downtown Core 645
Total Outreach Engagements 2,200
Individuals Housed 141
Clients Assessed and Entered into CES via MLK Library 232 Of the 141 individuals housed, 70% were placed in transitional housing programs such as the Plaza Hotel, Arena Hotel, and Pacific Motor Inn.
Coordination for the Most Vulnerable Downtown – Collab: During FY 2024–2025, PATH, in partnership with the SIT, the Housing Department, and Santa Clara County Behavioral Health, participated in a coordinated care initiative focused on Downtown’s most vulnerable individuals. Through biweekly case conferences with outreach teams, behavioral health providers, and housing agencies, the group identified 46 individuals with high-risk needs requiring intensive support. Targeted intervention strategies resulted in 18 of those individuals successfully transitioning into housing.
Public Safety: A safe Downtown is foundational for the district’s success. While Police Department staffing resources continue to be stretched, several existing and forthcoming programs augment the department’s coverage. Police and Community Service Officers are staffing Downtown Foot Patrols as staffing allows. In the coming fiscal year, SJPD will manage unpermitted vendor mitigation efforts, building upon the pilot enforcement over the 2024 holiday season and more recent efforts near SAP Center. San Jose State University Police Department plans to conduct additional foot patrols between Spartan Village on the Paseo de San Antonio and the main campus, further increasing the safety presence of Downtown.
The Downtown Safety and Security Committee meets monthly with the Mayor, District 3 Councilmember, City staff, and key Downtown stakeholders. Its mission is to create a clean, safe, and welcoming Downtown that is a strong foundation for economic growth and community vitality. Over the past year, the committee has addressed several critical safety topics, including nightlife safety, preparation for major events, the impact and mitigation of unpermitted vendors, and public health and safety challenges around St.
James Park, resulting in stay-away orders following multiple drug-related arrests.
Additionally, recent updates to the Downtown Pedestrian Facilitation Zone were informed by this committee’s work.
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
Public Realm and Activations
FY 2024–2025 marked a milestone year for Downtown San José’s public spaces, with visible enhancements to parks, plazas, and pedestrian corridors that continue to define the character and connectivity of the urban core. From pedestrian mall expansions and streetscape beautification to community-led park activations and improved infrastructure, these investments reshape how residents, workers, and visitors experience Downtown. The following highlights reflect the City’s ongoing commitment to creating vibrant, accessible, and inclusive public spaces through strategic partnerships, placemaking, and community-driven programming.
Post Street Pedestrian Mall: Following last year’s establishment of the San Pedro Pedestrian Mall, the creation of the pedestrian mall on Post Street resulted from a successful pilot closure launched in the summer of 2023. The pedestrian-only configuration has supported local businesses, improved mobility for people of all ages and abilities, and invited a broader range of San José residents to socialize, shop, and dine there. City staff continue to work closely with Post Street stakeholders, including business owners along the corridor, the San Jose Downtown Association, and nonprofit organizations such as Qmunity to identify opportunities to enhance the space. Planning is currently underway for the installation of a street mural.
Santa Clara Street Beautification: In 2024, the Property Based Improvement District, with supplemental funding from the City, launched a campaign to improve the streetscape on Santa Clara Street from Market to Fourth streets. This initiative is nearing completion with the installation of numerous murals, window treatments, and other facade improvements along the corridor. The final touches of this project have been the installation of dynamic tree lighting along the entire corridor and the installation of an eye-catching mural on the former Chase Bank location between First and Market streets.
Downtown Wayfinding and Digital Signage: Staff worked to install 61 new pedestrian wayfinding signs throughout the Downtown core ahead of this year’s NVIDIA GTC. The state’s Affordable Housing and Sustainable Communities program funded these signs and 31 bike route signs in Downtown. Initial feedback on these wayfinding signs has been positive, and staff are currently developing plans to expand Downtown wayfinding in the coming fiscal year to support 2026 major sports events. In February, City Council approved lease terms with Orange Barrel Media, LLC for placing six, large-format digital signs with off-site advertising at four city-owned sites Downtown.
Downtown for the Holidays: The overall Downtown holiday experience continues to draw major crowds into the city’s center, with Christmas in the Park welcoming over 700,000 visitors, Winter Wonderland drawing more than 300,000 attendees, and the Santa Run engaging 3,000 participants. Additionally, the projection-mapped art on the Cathedral Basilica of St. Joseph returned this past year, providing an animated light show featuring classical holiday music synchronized to custom-designed visuals.
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
Spartan Pride: The installation of a second Spartan head street stamp at the intersection of Seventh and San Salvador streets enhanced Downtown placemaking efforts, joining the original at East San Fernando and Ninth streets. These visual markers reinforce the University’s presence in the city center. San José State University continues to gain national recognition, recently ranking as the #4 top public university in the country and placing among the top ten universities for engineering degrees. San José State has also earned an R2 research designation, signifying high research activity. This designation underscores the university’s expanding role in innovation and academic excellence.
Downtown’s Park Portfolio: In October, the City reopened Pellier Park, completing a long-awaited half-acre refresh of the park at the corner of W. Julian and St. James streets. Notable features include a storytelling wall adorned with historic artifacts, donor plaques, and a spacious community table, all contributing to the park's inviting atmosphere.
In March, Plaza de Cesar Chavez underwent a comprehensive refresh. The improvements, donated by neighboring property owner Jay Paul Co., replaced grass and benches, upgraded landscaping, and added new seating, tallboy tables, games, features, and permanent umbrellas.
Future parks are also progressing. In January, City Council adopted official names for Elisabeth Boyer Park and City Gardens Park, which are planned for the intersection of Bassett and North San Pedro streets. Construction on these two parks will begin in winter 2025. Planning for the redesign of St. James Park continues to progress despite a legal and funding challenge associated with the renovation. In February, the Master Agreement was amended to allow the landscape architecture firm to advance the design drawings to 90 percent complete. The City’s parks team continues working with the Friends of Levitt San José to execute a contract to facilitate fundraising for constructing a Levitt concert pavilion. Finally, the long-planned demolition of the former Ranger Station at Confluence Point was completed in late 2024.
For over a decade, Viva Parks activations and Viva CalleSJ have drawn people to Downtown’s parks and public spaces with free events and accessible activations. In FY 2024-2025, Viva Parks concentrated its activation focus on St. James Park with events such as Starlight Cinemas, Friends of Levitt concert series, Paint the City SJ, Luchadores Wrestling, Yoga in the Park, Wellness Wednesday, dog obedience classes, and other engaging programs. Three FY 2024-2025 Viva CalleSJ events, drawing a total of 150,000 participants, featured activity hubs throughout Downtown. These events also enhanced business-development opportunities by bringing people from outside the area into Downtown, allowing them to explore and discover Downtown’s many offerings.
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
Guadalupe River Park: The Guadalupe River Park Conservancy continues to be a trusted partner for the operation and management of the Guadalupe River Park & Gardens. Over the last year, the nonprofit’s accomplishments included:
• 6,500 volunteer service hours • 9,000 pounds of trash removed • 9,600 program participants • 148 programs
• 2,000 volunteers • 83,000 visitors to Rotary PlayGarden (highest since pandemic)
The Conservancy has been involved in improvements over the last year, including renovating Confluence Plaza and Arena Green West, planning for the 40-acre Prototype Park, updating irrigation in the Heritage Rose Garden, launching supplemental trail maintenance in partnership with Downtown Streets Team and Groundwerx, and producing a new mural in Discovery Meadow with SJ Walls.
Outdoor Special Events: The City Manager’s Office of Economic Development and Cultural Affairs’ Special Events Division has permitted 187 events through May of FY 2024-2025, of which 102 events occurred in Downtown. These 102 events represented a total of 368 days of activation and are expected to draw an estimated 2.1 million attendees into Downtown. Events in the Downtown represent 55% of all events citywide, 67% of event days citywide, and 72% of attendance at events throughout the city. All reported data witnessed an increase in comparison to last year’s report. As evidenced by the number of events and participants, the role of Downtown’s public spaces and public life as a key component of facilitating public life is critical to the continued recovery of Downtown.
The overall increases in the metrics compared to last year are in part thanks to ongoing signature events such as: San Jose Jazz, SoFA Street Fair, Fountain Blues and Brews Festival, the Juneteenth festival as well as holiday events that include Silicon Valley Turkey Trot, Christmas in the Park, Winter Wonderland and Santa Run Silicon Valley.
This year also featured the introduction of new events such as the DJ Fisher and Steve Aioki concerts, both of which transformed City Hall Plaza/Santa Clara Street, and the parking lot between San Carlos and San Salvador streets, respectively, into major festival venues attracting over 20,000 attendees. The Downtown Farmers’ Market returned this year after a two-year hiatus. The most recent iteration of the market is located near the Hammer Theater on the Paseo de San Antonio, is open Wednesdays from 9 a.m. -1:30 p.m., and provides students, workers, and residents fresh produce and prepared food.
Simplified Permitting and Activation: The SJ Places pilot program continues to be offered as staff work to make it an ongoing program. The program provides free, simple, and expedited event permitting at selected locations in Downtown and has increased the number of events taking place overall. Qualifying events are free to the public, limit attendance to under 500 people at any time, and have a maximum length of four hours.
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
In addition to the original free-use locations included in the program (Arena Green East, City Hall Plaza, Fountain Alley, St. James Park, Hammer Theater Plaza, and Parque de los Pobladores), Post Street and San Pedro Street, as well as the Paseo de San Antonio and Evergreen Village Square are locations available for reservation through the program.
Public Art: The Office of Cultural Affairs manages the City’s public art portfolio, which has a substantial collection located Downtown. In the past fiscal year, the Office of Cultural Affairs staff facilitated the completion of 15 public art projects, two of them in Downtown: a mural by Robin Gibson at the Fourth and San Fernando Parking Garage and an installation at the Children’s Discovery Museum. Staff also led the Sonic Runway activation, Sonic Loveway, on Valentine’s Day. The Office of Cultural Affairs is currently working with a donor to receive one of the largest donations to the public art portfolio in the program’s history. The donation, if approved, is valued at $3.5 million and will be located Downtown.
Meetings and Conventions: The McEnery Convention Center continued to show strong recovery and growth. The NVIDIA GTC conference set new records in 2025, with attendance surpassing 27,000. The event saw extensive collaboration between Team San Jose and the City, activating multiple Downtown venues including Plaza de Cesar Chavez, 488 W. Almaden Blvd, and the SAP Center, and convention facilities. Team San Jose also welcomed back longstanding convention partners such as Open Compute Project, Society for Information Display, Fanime, and SPIE (International Society for Optics and Photonics) while attracting new groups such as Meta, GalaxyCon, California Association of School Business Officials, and California School Employees Association. As a result, through April 2025 spending in San José businesses from attendees at the convention facilities increased 17% over the same timeframe of the previous fiscal year.
City-Owned Arts Venues: The Team San Jose-managed theaters continued to outpace pre-pandemic levels in terms of number of events and attendance (through April 2025). Highlights included comedian Hasan Minhaj recording a Netflix special in front of a sold-out house at the San Jose Civic, robust continued bookings from major promoters like Live Nation, Nederlander, Another Planet Entertainment and Outback, and successful seasons by resident partners like Opera San Jose, Symphony San Jose, and Children’s Musical Theater. The experience economy continued to drive visitation by both locals and out-of-town guests. Downtown hotels saw revenues increase by 17% (through April 2025) over the same timeframe from the previous fiscal year.
2026 Sports Events: Looking ahead, staff is preparing for major events and activations associated with Super Bowl 60, NCAA March Madness, and FIFA World Cup. These efforts include the development of Entertainment Zones allowing alcohol purchased in brick-and-mortar establishments to be consumed within designated public event zones
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
in conjunction with a Special Event Permit, an updated Supergraphics policy for the placement of large-format event-associated signage on buildings in Downtown and North San José. Through the special event permitting process, private property event use provisions will also be revised for events in private parking lots, with a goal of increasing allowable event days and consolidating zoning-based limitations into a single section while maintaining residential dwelling considerations.
CONCLUSION
Downtown San José is moving forward with clarity and purpose. With housing and public space investments in the pipeline, strong university partnerships, and a full calendar of civic and cultural activity, the district is increasingly positioned as the region’s center for innovation, community, and connection.
While some indicators, such as office occupancy and daytime foot traffic, remain below pre-pandemic levels, other trends signal strong recovery and momentum. Downtown draws new large-scale events, welcomes new business openings, and benefits from public space improvements that create a more welcoming and vibrant environment.
These trends reflect Downtown’s evolving identity as a vibrant, mixed-use district poised for growth heading into the 2026 major sporting events.
The groundwork laid in FY 2024–2025 sets the stage for continued progress into FY 2025-2026. The City Manager’s Office of Economic Development and Cultural Affairs strategic work plan will strengthen the Downtown core through proactive office and retail attraction, small business support, and outreach to key employers. Ongoing attention to public realm improvements and coordinated safety efforts will continue improving the Downtown experience for businesses, residents, and visitors.
COORDINATION
This memorandum has been coordinated with the City Attorney’s Office, the Department of Parks, Recreation and Neighborhood Services, the Department of Transportation, and the San Jose Police Department.
The memorandum was informed by conversations with Team San Jose, PATH, Guadalupe River Park Conservancy, and the San Jose Downtown Association. /s/
Lee Wilcox
Assistant City Manager and
Acting Director, City Manager’s Office of Economic
Development and Cultural Affairs
COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE
June 3, 2025
Subject: Downtown Progress Report
For questions, please contact Chris Arkley at [email protected] or (408) 535-8579.