S
AN JOSE — A prime downtown San Jose site, once eyed for hundreds of housing units but left to decay, is now facing foreclosure and potential auction. The property, owned by a China-based affiliate of Z&L Properties, was part of a sprawling real estate empire that included four downtown development sites and a south San Jose ranch.
The impending foreclosure threatens Z&L's ownership of an old Greyhound bus terminal at 60 South Almaden Boulevard and 70 South Almaden. Documents filed with the Santa Clara County Recorder's Office reveal the potential loss of this property.
Z&L Properties' San Jose portfolio has been dwindling in recent years, with several notable sales:
* In 2021, Z&L sold a vacant lot at 323 Terraine Street to Westbank and local developer Gary Dillabough for $11.4 million.
* The company offloaded the 3,654-acre Richmond Ranch in southeast San Jose for $16 million in January 2024, after purchasing it for $25 million in 2017.
* A Z&L affiliate lost ownership of a double-tower residential complex with about 600 units at 188 West St. James through foreclosure in May 2025, valued at $181.9 million.
The latest challenge to Z&L's San Jose holdings comes from Shanghai Commercial Bank, which has filed a notice of default on a $19.5 million loan provided in 2019. If the delinquency isn't resolved through full repayment, the bank intends to conduct a foreclosure proceeding in July.
