Across the street from the 99% complete Levi's Stadium is going to be perhaps the largest development project in the history of Silicon Valley. The "City Place Santa Clara" project has expanded and is now expected to cover 8 million SQFT (The size of five Santana Rows) and cost $6.5 billion.
This epic project would include 1 million SQFT of retail (with 2-3 department stores), 30 restaurants, a 350-room hotel, 380 apartment units, a movie theater, a comedy or jazz club, a bowling alley, a performance center, a "European-style" arts district, parks, plazas, and several million SQFT of offices. For all intents and purposes, this project would become downtown Santa Clara.
This would obviously not be built out all at once. City Place would require at least seven phases of construction and take 10-20 years to fully build out. Construction is expected to start in early 2016 and the first phase would open in 2019, helping Santa Clara secure future Super Bowls.
So now the question is how will this impact San Jose, whose border is not even half-a-mile away from this project? Will this create synergy and bring increased regional attention to the South Bay or is this just more competition? The last thing we would want is a repeat of what happened with Downtown San Jose when Valley Fair came around.
I am going to stay optimistic and say that this is a good thing and can co-exist with all of the projects happening right now across San Jose. Given the increasing residential activity and urbanization Downtown, I think it will be safe. Despite the size of this Santa Clara project, it is still dwarfed by the amenities and scale currently in Downtown San Jose, not to mention what is in the pipeline for the next five years.
What do you guys think?
Source: The Merc