San Jose Hotel Seeks Conversion to Care Facility

The Aloft San Jose Cupertino hotel in western San Jose could become a senior residential care facility, according to documents filed with city planners.

Located at 4241 Moorpark Avenue, the property is managed by Shashi Group, the same company that filed the proposal, according to SiliconValley.com. The filing outlines plans for an 80-unit complex offering assisted living and memory care. The property is owned by the Perusina Family Trust, founded by the late Danford Perusina.

The conversion would involve only limited exterior changes and interior renovations to accommodate the new use. No specific timeline was disclosed.

Industry experts say the move reflects broader shifts in the Bay Area’s lodging sector rather than issues with the Aloft brand, according to the Mercury News.

Alan Reay, principal executive with consultancy Atlas Hospitality Group, noted that many hotel owners are reevaluating their assets as the Bay Area hotel market faces increasing challenges. In some cases, he said, converting properties to specialized uses like senior care could yield higher returns than continuing as a hotel.

“This conversion plan is more of a reflection of the current hotel market rather than problems with the [Aloft] brand,” Reay said.

Other notable hotels in the regional market have completed conversions, including the southern tower of the two-building Signia by Hilton in San Jose. That 264-room building was acquired by Throckmorton Partners and transformed into a 700-bed student housing complex for San Jose State University, which opened in August 2024.

If approved, the Aloft conversion would add to a growing list of adaptive reuse projects, signaling a shift in how owners are reimagining hospitality assets amid evolving market conditions.

Shashi Group manages several other Silicon Valley properties, including the Shashi Hotel in Mountain View, the Aloft Sunnyvale and The Nest Palo Alto.

—Joel Russell