San Jose Buys Historic Knox-Goodrich Building for $3.6 Million

The City of San Jose purchased the historic Knox-Goodrich building for $3.6 million from an affiliate of the real estate firm Urban Catalyst. The 1889 Romanesque Revival structure, located at 26 through 36 South First St., was acquired as part of a deal linked to the municipal approval of The Gifford, a planned 276-unit apartment complex at 470 West San Carlos St.

Urban Catalyst originally bought the building for $9.1 million in 2019 but halted development following the COVID-19 pandemic and a drop in commercial real estate demand. City officials now plan to activate the building's ground-floor storefronts for commercial or cultural use to support downtown revitalization.

While the city approved The Gifford project in July, a neighborhood group has appealed the decision. The final outcome now rests with the City Council. Councilmember Anthony Tordillos advocated for the acquisition, stating the deal is a "slam dunk for the city" and noting that the municipality needs all the housing it can get to meet mandates.