San Jose’s 88 Garage Could Soon Have a New Owner

San Jose Redevelopment Agency Successor Agency 88 Garage Silicon Valley
88 East San Fernando Street Garage 88 San Jose
Courtesy of Apple

A parking structure that is part of The 88, San Jose’s tallest building that reaches 22 stories in height, may finally have a new owner at the end of this month, as the Successor Agency to the Redevelopment Agency of the City of San Jose decides which of the six bidders on the garage should be able to buy it.

The 330 space public parking garage is located at 88 East San Fernando Street, and it has come to the ownership of the Successor Agency following the dissolution of the Redevelopment Agency in January of 2012. Later that year, Governor Jerry Brown signed into law Assembly Bill 1484, which, among other things, governs the disposition and use of the 97 former redevelopment agency properties—including 88 Garage.

In November of 2015, the Success Agency began a solicitation process to sell the garage on the open market, however that attempt was unsuccessful. On November 19, 2015, the agency started the process anew and solicited over 200 brokers, developers and parking operators notifying them that the garage was once again up for sale. Bids were due by 4 pm on April 1st of this year.

The renewed effort resulted in six bidders, one of which is the City of San Jose. The six bids ranged from $3.575 million offered by MVP San Jose 88 Garage, LLC, to $875,000 offered by Paul Pries of San Jose. Three of the bids are from Northern California parties, one from Los Angeles, one from Las Vegas and one from Northbrook, IL. As required in the solicitation materials, the new owner will be required to maintain the garage as public parking.

The final decision will be made on April 28 when the Successor Agency staff will seek approval from the Oversight Board for the Successor Agency to sell the 88 Garage to the highest bidder, MVP San Jose 88 Garage.

West Coast Commercial Real Estate News