In a pivotal meeting on October 1, 2025, the San Jose City Council discussed significant actions regarding the acquisition of a strategically located property at 447 South Almaden Boulevard. This acquisition is part of a broader effort to enhance the city’s downtown area and support future development initiatives.

The property, currently utilized as a parking lot for the Children's Discovery Museum, is being purchased for $13.5 million. City officials highlighted the property's potential to generate revenue and its strategic location between the Convention Center and other key city assets. The acquisition will create a contiguous 32-acre city holding, providing flexibility for future developments, including potential expansions of the convention center and the establishment of a sports and entertainment district.

Jennifer Baker, the Director of the Office of Economic Development and Cultural Affairs, emphasized the minimal risk associated with the purchase, noting that the current real estate market presents a unique opportunity for the city to expand its holdings at a competitive price. The property was previously listed for $35 million, making the city's acquisition price significantly lower at approximately $87 per square foot.

The financing for this acquisition will be facilitated through the issuance of commercial paper notes, with a repayment plan structured over seven years. The city plans to utilize funds from parking and convention center facility districts to cover the costs. Maria Oberg, the Director of Finance, outlined the financing strategy, which requires a two-thirds vote from the council for approval.

During the meeting, council members expressed strong support for the acquisition, recognizing its potential to drive economic growth and enhance the city’s land holdings. Council Member Tor Diaz noted the importance of such strategic land acquisitions in shaping the future of San Jose's development landscape.

In addition to the property acquisition, the council also discussed plans for the Gateway Tower, a workforce housing development aimed at addressing the city's housing needs. This project is expected to provide affordable housing options for individuals and families within the downtown area, further contributing to the city’s goal of increasing its housing stock.

The discussions during this meeting underscore the city council's commitment to strategic urban development and the importance of leveraging real estate opportunities to foster economic growth and community enhancement. As the council moves forward with these initiatives, the implications for San Jose's future development and housing landscape remain significant.