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The Medical Offices Planned Beside Berryessa BART Became Condos

Block I sits on the northwest side of Berryessa Road, about 180 feet southwest of its intersection with Berryessa Station Road, beside the BART and Union Pacific tracks. It is a 2.21-acre parcel. Until this spring, it held the biggest single piece of commercial space approved anywhere near the Berryessa/North San José station.

The Draft EIR for the Berryessa Road Mixed Use Development described 480,000 square feet of commercial space for the project. That was 465,000 square feet of medical office and 15,000 square feet of retail and restaurant space, alongside up to 850 homes and a 0.9-acre park. On May 27, 2026, San José's Director's Hearing approved a Site Development Permit and Vesting Tentative Map for that block. The approved plan is 61 condominium units in nine three-story buildings.

If you're weighing Berryessa because of the BART station, this approval shows how the area around it is actually filling in. Housing near the station is being permitted and built on a real schedule. Most of the jobs and services in the plan are still entitlements and targets that nobody is building yet.

What the May 27 Approval Changed on Block I

Here is what the parcel was approved for before and after the change. The figures come from the City's own environmental filings and the hearing's action minutes.

Block I Earlier entitlement Approved May 27, 2026
Use 465,000 sq ft medical office plus 15,000 sq ft retail/restaurant 61 condominium units
Buildings Commercial block Nine three-story buildings
Affordability Not applicable 13% of units for households earning up to 80% of area median income
Commercial space 480,000 sq ft None

Two documents give slightly different figures. The City's May 14, 2026 notice described 62 townhomes covering about 107,910 square feet. It put the whole development at 912 homes, with "no commercial uses." Its own breakdown lists 615 market-rate multifamily units, 189 affordable multifamily units, 85 townhouses and 24 single-family homes, which adds up to 913. The hearing's action minutes list 61 condominium units at 1665 Berryessa Road, while the notice lists 1655. Either way, the block went from about 480,000 square feet of commercial space to roughly 60 homes.

Only 24 of those homes are single-family houses.

How a Housing Project Replaced an Approved Office Block

The application went in under the Housing Accountability Act's "Builder's Remedy." The City's environmental addendum explains that a preliminary application was filed on October 13, 2023. California's housing department had not yet certified San José's Housing Element at that point, so the addendum concludes that the project qualifies for and is vested under the Builder's Remedy. Under it, 13% of the units are set aside for low-income households.

The approval also included one concession and eight waivers under State Density Bonus Law. These set aside various Berryessa BART Urban Village Plan and Citywide Design Standards for this site. So a filing from two and a half years earlier, made during a specific window in state housing law, carried more weight than the plan's design rules for this site.

The project had already been revised once. On August 12, 2025, the City Council approved PDC25-016. That rezoned the 13.05-acre site, approved a map for 31 parcels and up to 362 condominiums, and authorized a six-story, 260-unit, 100% affordable building on 2.38 acres. The 2025 changes also replaced the original 0.9-acre park with a 1.2-acre passive open space and mitigation-basin area. Block I was labeled "future development" and still carried its 480,000-square-foot commercial entitlement. Between August 2025 and May 2026, that entitlement went away.

Where the Plan's Jobs Stand Now

The Berryessa BART Urban Village Plan was approved unanimously on June 22, 2021. It plans for 22,100 jobs and 6.7 million square feet of "Jobs Area." Those are capacity targets. They do not describe buildings that are funded or on a construction schedule. With Block I converted, the job capacity near the station rests on two sites:

  • The San José Flea Market Southside rezoning, south of Berryessa Road. The City Council approved zoning for up to 3.4 million square feet of commercial uses, up to 3,450 homes and a five-acre urban market. The Master Planned Development Permit and Tentative Map applications, PD21-018 and T21-041, were submitted on October 19, 2021. The City's active applications page shows them still under staff review and not scheduled for a Director's Hearing. It also states that the applications do not authorize demolition or new construction. The City's flea market vendor page points to an October 2025 owner status report. According to the page, the owner said no closure notice would be issued before March 31, 2026, and the urban market concept had not yet entered development review.
  • The later phases of VTA's transit center development. VTA plans mixed-use, market-rate housing and office space for future phases on its station-area site. Its project page gives no square footage for that office space.

The Flea Market and VTA sites are both inside the urban village. They are not added on top of the 6.7-million-square-foot target. As of late October 2026, the only commercial block near the station with a defined building program has been approved as housing. The largest remaining commercial entitlement has been in review for five years with no hearing scheduled.

What Is Being Built Near the Station

The station itself opened in June 2020. The City describes the area around it as having small existing retail plazas, with the Flea Market still operating on the south side after the north side of the original Flea Market site was developed. Here is the construction schedule, in order:

  1. May 27, 2026. Block I was approved for 61 condos.
  2. Late spring 2026. VTA's transit center development broke ground on Phase 1, which is 195 affordable homes. VTA scheduled the groundbreaking for May 29. California's Strategic Growth Council announced it on June 5.
  3. July 2026. A construction-related sidewalk closure began at the VTA site.
  4. Spring 2028. This is the end of VTA's listed Phase 1 construction period.
  5. Fall 2028. The same VTA page says the sidewalk closure lasts until construction is complete in fall 2028.

Every item on that schedule is housing.

Pricing a Berryessa Home Against This Pipeline

There are two practical effects for buyers.

The first is about which amenities to count on. If you're paying for the station area's walkability, base that on what exists today: the BART station, the existing retail plazas and the Flea Market on the south side. A medical office campus or a new retail street a short walk away is not under construction. The parcel that was approved for one now has a housing permit.

The second is about supply. The new homes near the station are almost all attached housing: condos, townhouses and multifamily buildings. The Berryessa Road development, roughly 900 units in total, includes 24 single-family homes, and VTA's first phase is 195 affordable apartments. That matters because the two property types are moving at different speeds across San José. In September 2026, the Santa Clara County Association of Realtors reported these citywide figures. These are not Berryessa-only numbers.

San José, September 2026 Single-family Condo/townhome
Median sale price $1,568,888 $729,000
Average days on market 28 44
Sale-to-list ratio 102% 99%
Current inventory 606 471

In September 2026, citywide condos and townhomes took longer to sell, sold slightly below list price on average and had nearly as many active listings as single-family homes. The station-area pipeline adds more of that attached housing. It adds very few detached homes to compete with Berryessa's existing 3–5 bedroom houses.

For someone buying a single-family home a mile from the station, the pipeline brings more neighbors and more nearby attached-home inventory. It does not bring new detached homes that would compete with the house you're buying. For someone buying a condo or townhome near the station, the pipeline adds supply in the segment that was already the slower one citywide in September.

Frequently Asked Questions

Is any commercial space still approved near Berryessa BART? Yes, on paper. The Flea Market Southside zoning allows up to 3.4 million square feet of commercial uses. Its development permit and map applications have been under review since October 2021 and have no hearing date on the City's applications page.

Did the City lose the park in the Berryessa Road project? The 2025 changes replaced the planned 0.9-acre park with a 1.2-acre passive open space and mitigation-basin area.

Will VTA's site ever include offices? VTA lists office development as part of its future phases on the transit center site. It has published no square footage or schedule for those phases.

If you own near the station or are thinking about buying there, it helps to know how the Block I approval and the VTA construction schedule line up with your own block. DeTar Team follows these Berryessa filings closely and can show you how recent sales near your address compare with the attached-home supply coming online. Start with an instant home valuation, and we'll walk through what the station-area pipeline means for your price.

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