The owner of the Landmark San Jose apartment tower is preparing for the sale of the apartments
SAN JOSE – The owner of two downtown San Jose towers is launching a major effort to sell high-rise residential properties, a gap that could include more residents and move away from the neighborhood’s past.
The marketing plan includes the towers at 188 West St. James St., near San Pedro Square. Together, the towers contain 640 condominium units.
The Machine Investment Group, the owner of the towers, and Centurion Real Estate Partners, which operates the property, have begun searching for buyers to purchase the condominiums for sale in the complex known as 188 West St. James.
“We have a very well-developed, attractive property in a great location in a city with no real estate,” said John Tashjian, managing partner of Centurion Real Estate. “San Jose has great demand for housing and great purchasing power.”
Machine and Centurion say they have “transformed and reimagined” the property, which includes a 22-story, 337-unit east tower and a 20-story, 303-unit west tower.
“With a fully realized vision now brought to life under new ownership, 188 West Saint James offers something very rare in the Bay Area: affordable homeownership in an iconic residence,” said Paul Zeger, president of residential properties at Polaris Pacific.
As of February 4, 202 of the 303 units in the west tower were unsold, while all 337 units in the east tower, which remains empty, were unsold.
Starting prices for the units are expected to be around $425,000 for studios, $500,000 for one-bedroom units, and $900,000 for two-bedroom residences, according to Centurion Real Estate. For a limited time, two- and three-bedroom penthouse units are being offered for $1.88 million.
“These are affordable market prices,” said Tashjian. “We’re seeing real demand from younger buyers who feel they’re priced out of single-family ownership.”
Centurion Real Estate and Machine Investment believe they can find a market for people who want to own a home but may prefer to live in the city rather than the suburbs.
“This may be a young tech worker who isn’t ready to move to the suburbs of Silicon Valley but prefers to stay in downtown San Jose,” Tashjian said. “They want a healthy city life in a specific location.”
The effort to create a functional and healthy living space comes after years of neglect and misguided strategies for the area by the previous owner, real estate affiliate Z&L Properties.
“The sordid history of this residential project is unparalleled,” said Bob Staedler, chief executive of Silicon Valley Synergy, a real estate firm.
China’s Z&L Properties oversaw the financing, construction, development, and legal affairs of the towers over an eight-year period.
Loan defaults, lawsuits, project delays, construction defects and deficiencies, evidence that some workers were forced to live in the East Bay warehouse, allegations of slave labor, and death plagued the site while Z&L owned it.
Z&L also concentrated its marketing efforts. It sold some units, then switched to other condo rentals. That left a mix of tenants and owners in the west tower, while the east tower was empty.
In June 2025, an affiliate of Machine Investment took ownership in an immediate disclosure that valued the property at $181.9 million. The foreclosure was the result of Z&L defaulting on a $330 million construction loan.
“Selling these units will be a huge undertaking, no matter how low the price,” said Staedler. “Another tower needs to be finished and sold.”
When Machine Investment bought the towers last year, the real estate company promised a new beginning for the site. The facility is investing $30 million to renovate and upgrade the towers, common areas, and amenities prior to condo sales.
Machine and Centurion intend to redesign the resort and provide a third-floor club with features including private work areas, community rooms, a catering kitchen, an outdoor terrace, a 75-foot pool, a hot tub, and barbecue facilities.
“This project is designed to bring inspiration to downtown San Jose,” said Mark Ritchie, president of real estate company Ritchie Commercial. “It is good news that these condos are now being sold with well-organized ownership.”
Tenants who were renting condos are moving out of this building, paving the way for all these houses to be owned.
“Anything is better than empty real estate,” Ritchie said. “A lot of people like to live in downtown San Jose.”
Demand is already significant, according to Centurion Real Estate. The company works with a list of three or four pages of interest. Some current residents want to buy larger units.
“Without question, this will help make this place work,” Tashjian said. “You’re going to have 900 to 1,000 people living at 188 West St. James. If people own it, they’re going to be part of the community. There’s already a lot of energy in San Pedro Square, and that’s only going to grow as we fill the towers with residents.”
