{"slug": "real-estate-firms-eye-400-plus-homes-at-san-jose-office-building-site", "title": "Real estate firms eye 400-plus homes at San Jose office building site", "summary": "SummerHill Homes and Cypress Equity Investments plan to build 446 homes at 3550 N. First St. in San Jose, replacing a vacant office building with 373 affordable apartments and 73 market-rate townhouses. The project aims to address housing needs near a light rail station, reflecting a trend of office-to-residential conversions amid a weak office market.", "body_md": "**Getting your**\n\n[Trinity Audio](//trinityaudio.ai)player ready...SAN JOSE — Two real estate allies are floating a plan to develop well over 400 homes next to a San Jose train stop, a project that would replace a large empty office building with affordable apartments and market-rate houses.\n\nSummerHill Homes and Cypress Equity Investments are planning to build a 446-unit mixed-density residential community at [3550 N. First St.](https://www.mercurynews.com/2025/02/18/san-jose-office-economy-property-build-tech-real-estate-loan-develop/) in San Jose, said Kevin Ebrahimi, senior vice president of development with SummerHill.\n\nThe two real estate firms have obtained a contract to buy a 5.9-acre site that includes the vacant office building, a surface parking lot and some empty land.\n\nThe housing development would consist of 373 affordable apartments for rent and 73 townhouse-style condominiums that would be for sale at market rates, according to Ebrahimi.\n\n“The apartment component will be 100% affordable housing, serving a range of income levels with an average affordability target of 60% of the area median income,” Ebrahimi said.\n\nIn 2026, the area median income in Santa Clara County was $205,500 for a four-person household and $143,850 for a one-person household, according to [new income limits](https://www.hcd.ca.gov/sites/default/files/docs/grants-and-funding/income-limits-2026.pdf) posted by the state Housing and Community Development Department.\n\nThis suggests the average income limit for the affordable housing at the 3550 N. First site would be $123,300 for a four-person household and $86,310 for one person.\n\nThe housing project site is between Tasman Drive and Baypoint Parkway. It’s across the street from the Tasman light rail station.\n\nLBA Realty owns the property. An LBA affiliate paid $18.5 million for the property in February 2025. That purchase price was 42.9% below the site’s $32.4 million assessed value in January 2025.\n\nJolted by a feeble office market, a growing number of developers are considering ways to convert their office properties to other uses, such as housing projects.", "url": "https://wpnews.pro/news/real-estate-firms-eye-400-plus-homes-at-san-jose-office-building-site", "canonical_source": "https://www.mercurynews.com/2026/06/17/home-san-jose-build-economy-property-house-office-develop-real-estate/", "published_at": "2026-06-17 15:12:47+00:00", "updated_at": "2026-06-17 15:26:25.772825+00:00", "lang": "en", "topics": ["ai-policy"], "entities": ["SummerHill Homes", "Cypress Equity Investments", "LBA Realty", "San Jose", "Santa Clara County", "Tasman light rail station"], "alternates": {"html": "https://wpnews.pro/news/real-estate-firms-eye-400-plus-homes-at-san-jose-office-building-site", "markdown": "https://wpnews.pro/news/real-estate-firms-eye-400-plus-homes-at-san-jose-office-building-site.md", "text": "https://wpnews.pro/news/real-estate-firms-eye-400-plus-homes-at-san-jose-office-building-site.txt", "jsonld": "https://wpnews.pro/news/real-estate-firms-eye-400-plus-homes-at-san-jose-office-building-site.jsonld"}}