Global Awards News

SAN JOSE: An ageing demographic is triggering a recalibration of the mix within shopping malls.

A large medical office building will replace a number of retail and restaurant spaces that were previously approved for a big mixed-use complex in San Jose.

The switch to medical offices underscores how new shops and dining establishments can take a back seat to health care, biotech, and life sciences projects and buildings in the wake of the economic woes unleashed by the coronavirus.

The new medical offices are slated to be developed on a site next to Evergreen Loop near East Capitol Expressway and Quimby Road, according to plans on file with San Jose city officials.

The proposed healthcare building is part of Evergreen Circle, an 80-acre development that includes 250 homes, sports fields, retail, restaurants, a retail paseo, and small parks.

The medical office building would total 150,000 square feet and be four stories high, the documents filed with city officials show.

Hunter Properties and Arcadia Development are building out the entire mixed-use project as well as the medical office building.

“Provider offices for primary care and specialty care” will be the main activities in the building, according to the city filing.

The medical office building is expected to be four stories high and would sprout on a 4.8-acre site.

The new healthcare hub will have about 697 parking spaces, considered enough to accommodate both patients and medical staffers.

The previous development plans for that site had called for the construction of 55,100 square feet of retail, restaurant, and other commercial spaces.

The economic damage unleashed by the coronavirus has prompted some drastic re-thinking of the future of commercial properties, in particular sites where restaurants or stores are located.

Some developers have scaled back plans to develop new retail or restaurant sites. Others have taken steps to replace existing shops or dining properties with residential sites or buildings that could accommodate some sort of life science or medical activities.