SAN JOSE — A development site at 51 Notre Dame Ave. in downtown San Jose is up for sale through a marketing package that offers a drastically different housing vision than first proposed.

Initially conceived as a 21-story tower that would have included 12 floors of residences, commercial real estate firms Kidder Mathews and Newmark now say a much smaller residential building is planned.

“The site was originally envisioned as, and is fully entitled for, as of June 2022, a 21-story, mixed-use development comprising 290 residential units and five floors of office,” Jay Cross, Newmark managing director, and John Layvas, Kidder Mathews executive vice president, stated.

A new proposal has emerged that would produce about half of the housing units, according to real estate executives John Pringle and Dennis Randall, who are leading the group attempting to sell the property.

“The site has been re-imagined as, and is ideally suited for, a mid-rise luxury, multifamily mixed-use development,” Kidder Mathews and Newmark stated.

Amenities include a penthouse roof lounge, a pool area and lounge, an 8th-floor roof deck lounge, ground-floor fitness center, and residential and retail lobbies, according to a marketing flyer. Ground-floor retail is expected to total 4,700 square feet.

“51 Notre Dame Avenue is available to purchase today at a guidance price of $12.5 million, just a fraction of its June 2023 appraised value of $35.7 million,” the sellers stated. “Importantly, a lender has already been identified that can deliver a $10 million loan with favorable terms.”

The development has faced financial challenges, including a loan default notice issued in August 2024. Santa Cruz County Bank, the lender, rescinded the default notice in October 2024.

Despite the uncertainties, the seller asserts that the 0.7-acre property is in an ideal San Jose location.

“51 Notre Dame Avenue offers residents the perfect balance, a superb residential experience in a vibrant, walkable neighborhood,” marketing materials state.