SAN JOSE — The sites of the San Jose Stage Company, Camera 12 theaters, a landmark former fire station and a complex in Japantown are on a list of 31 properties owned by San Jose that officials have proposed be sold to the highest bidder.
The properties recommended for sale are among 89 parcels owned by San Jose’s Successor Agency to the Redevelopment Agency that is required to report to the California Department of Finance about its land holdings by the end of February, agency managing director Richard Keit said.
Under a state law passed in 2011 that dissolved redevelopment agencies all over the state, the city can transfer to itself former redevelopment parcels used for government purposes and retain those under contract but the rest have to be sold to those offering the highest prices, Keit said.
“The idea is to wind down the agency,” Keit said.
“Unless (the price) is not in line with the fair market value, we have to sell it,” Keit said. “We are required to maximize the value of property and assets.”
At 280 Jackson St. in San Jose’s Japantown, the city is proposing selling the ground lease to a 109-unit housing complex with retail that the city now charges only $1 a year in rent, Keit said.
City officials said that lease could be worth $5 million but volatile organic compounds from petroleum that leaked underground would have to be removed first, which would take up to two years.