Z
&L Properties, a luxury condominium project in Downtown San Jose with numerous unsold units, has shifted its strategy to renting out the vacant spaces. The company's affiliate is now seeking tenants for approximately 200 unfilled units at its 24-story tower on West St. James Street. This move comes as the developer faces lawsuits over unpaid homeowner association dues and other issues.

    The western tower, which was completed in 2021, has been plagued by legal battles with its homeowners association. The HOA filed default notices over unpaid dues, prompting a lawsuit from the developer against bidders who purchased condominiums at an auction for around $32,000. To mitigate losses, Z&L has partnered with Tripalink to rent out the unsold units, offering two months of free rent as an incentive.

    Leases are reportedly moving quickly, according to Bob Staedler, a land-use consultant. Rates range from $8,333 to $10,000 per month. However, the western tower is still embroiled in legal disputes with FPP MB, the Z&L affiliate, over issues such as building flaws and living conditions.

    The developer has acknowledged some of the building's problems, which are being addressed. The company faces a foreclosure threat after failing to pay homeowner association dues for 190 unsold units at the twin tower complex.