SAN JOSE — A 23-story, 312-unit downtown San Jose housing tower, noteworthy for its blue hues, was sold for $176 million, documents filed on Oct. 13 in Santa Clara County show.
Marking the third deal this month for a downtown high-rise, Beverly Hills-based real estate firm Kennedy Wilson, through an affiliate, acquired the apartment hub at 1 S. Market St., documents show.
It was sold by an affiliate of Lakevision Capital, which is a unit of a real estate firm based in China.
In June 2020, a Lakevision Capital affiliate paid $175 million for the tower.
The deal suggests per-unit values have begun to stabilize and even head higher for apartments in the South Bay.
The price for the tower at One South Market is 46.5% higher than the average per-unit price of $385,000 for completed apartment hub sales in the South Bay as estimated by commercial real estate firm Marcus & Millichap.
In recent weeks, San Jose towers have become magnets for buyers, an indication that investors are seeing an upside in the downtown economy.
The Grad, a 260-unit apartment tower at 88 E. San Carlos St., was bought for $204.8 million, or roughly $787,500 per room, in a deal that was completed Oct. 6.
On Oct. 8, a three-building office campus at 1, 55 and 99 Almaden Blvd. that’s anchored by the world headquarters of Zoom Communications was bought for $82 million.
One South Market, a 23-story residential tower at 1 South Market Street in downtown San Jose, seen on Oct. 13, 2026. (George Avalos/Bay Area News Group)