Proposed 214-Key Hotel in San Jose Makes Entitlements Progress

TNT Land Development, Terra Hospitality, Top Golf, CORBeL Architects, HMH California, Atlas Hospitality

By Meghan Hall

The Alviso Hotel–a new project pitched by TNT Land Development Services and Terra Hospitality–is making progress. The project was originally proposed at the end of 2019, and the project team has been working to diligently finalize plans for the 214-room hotel, which will be part of a greater development dubbed the “Shops @ Terra.”

The hotel will be located at 4701 N. First Street, according to project documents, and in all, it will total 112,460 square feet. Rising five levels, 234 parking spaces are planned. Other community amenities include a pool and spa, fitness center and on-site restaurant. Plans also indicate that the project team will take advantage of the site’s proximity to the outdoors with connections to the wider Guadalupe Trail system.

The hotel will be designed by Los Angeles-based CORBeL Architects. HMH California will be the project’s civil engineer. The design of the hotel will be largely modern, featuring neutral colors and a wood-like facade.

“This modern hotel can take advantage of future proposed retail and office space located on the adjacent properties,” states HMH’s website.

Upon completion the hotel will be part of a larger, 38-acre Master Planned development on Lot 6. Included in the project is Topgolf, an 83,000 square foot facility with 120 hitting bays, a wine bar, game-watching bar, outdoor patio and conference rooms. Togolf signed a long-term lease for 13 acres  to build and operate the facility back in 2018.

Also on the property will be a second hotel, called Shilla Stay Lot 2. The property covers 6.2 acres and will offer an upscale, modern hotel that will focus on catering to tech industry professionals. Amenities include a pool and spa, amenity deck, yoga, outdoor dining and a gym and restaurant. Terra Hospitality sold the site to an entity affiliated with Miare San Jose in the summer of 2019 for $22.5 million.

Timing for final build out for the development is unclear, but project documents show that the development will create about $100 million in community benefits.

Across California, the number of new hotels in development has continued to decline in 2021, according to a mid-year development survey released by Atlas Hospitality Group. Reports note that the number of hotels under construction decreased 32 percent, from 194 to 132, year-over-year. In planning, however, the number of hotels has remained stable, with about 1,240 projects working their way through entitlements.

In Santa Clara County, where San Jose is located, six hotels with 814 rooms opened. The largest to deliver was the 200-room Shashi Hotel in Mountain View. Another 12 hotels–with 1,870 rooms–are under construction, making the submarket the second most active in California. An additional 77 hotels and 12,118 rooms are in planning.

West Coast Commercial Real Estate News