May 30, 2024
A big apartment complex being eyed near downtown San Jose may include affordable units.

SAN JOSE — A big apartment complex being eyed north of downtown San Jose and near Japantown is now expected to include affordable units, city documents show.

The residential development would sprout at 380 North First Street in San Jose, according to a city notice that a report is being prepared to assess the project’s impact on the environment.

The 118-unit development would be seven stories, according to city public filings.

7-story, 118-unit apartment complex at 380 North First Street in San Jose, concept. (Studio T-Square)

The project would bulldoze and replace a small office building and a surface parking lot that now occupy the property.

“This site is perfectly located in the middle of an urban residential neighborhood,” said Erik Schoennauer, a land-use consultant for the owner and developer of the site.

Schoennauer added that the project is within walking distance to “light rail, Ryland Park, San Pedro Square, and Japantown.”

Msasa Properties, an entity that is managed by Silicon Valley tech executive Mostafa Aghamiri, proposed the project.

An affiliate managed by Aghamiri bought the property in July 2022, paying $5.3 million for the site, according to documents on file with the Santa Clara County Recorder’s Office.

The site is located on the north side of Basset Street between North First Street and North Second Street, the city documents show. The property totals 0.5 acres.

A city filing regarding the environmental impact report preparation indicated that affordable apartments would be included in the project.

An estimated 18 units would be “affordable to very-low-income, low-income, and moderate-income households,” the city filing stated.

The site is located in an opportunity zone. Opportunity zones are geographic areas that offer tax advantages to people and companies that invest in properties the owners substantially redevelop.