Hines Aims to Redevelop Data Center in Downtown San Jose

Hines is looking to convert a nearly 180,000-square-foot mixed-use data center in Downtown San Jose into a mixed-use office complex.

The Houston-based real estate investor has filed plans to redevelop Paseo Place at 150 South First Street, the San Jose Mercury News reported.

The two-story building fronts First, Paseo de San Antonio and South Second Street,

“We look forward to reinvigorating this property with a mix of dynamic uses,” Hines told the Mercury News in an email.

Most of the building is occupied by 121,000-square-feet being used as a data center. Another 9,700 square feet are offices and 41,900 square feet are shops and restaurants. The retail segment would be retained, according to the developer.

Several tenants on the ground floor of the data center have shut their doors because it appears the entire building will close for redevelopment. They include Nox Cookie Bar and Mas Pizza.

“New storefront retail as well as modern office and R&D space that leverages the existing data center infrastructure” are the key components for the project, Hines said.

Hines has begun to craft a dramatic reimagining of the building, documents filed with San Jose city planners show.

“The project consists of a change of use from a data center to a creative office with a new activated roof amenity,” Hines stated in a summary of its proposal to city planners, without spelling out the meaning of “activated roof amenity.”

A revival along Paseo de San Antonio may come with the redevelopment of the long-shuttered Camera 12 movie theaters, which is being revamped as a new retail, restaurant and office complex across the street from the Hines project.