San José Mayor and Councilmember Work to Clean Up City By Increasing Pressure on Negligent Property Owners 

In an effort to incentivize cleanup efforts on blighted property, city leaders are putting forward a memo that would increase fines for failing to comply with municipal code

FOR IMMEDIATE RELEASE

Thursday, August 24

Media Contact:

Tasha Dean, Chief Communications Officer, Office of Mayor Matt Mahan, tasha.dean@sanjoseca.gov  

SAN JOSÉ, CA - Today, Mayor Matt Mahan, joined by Councilmember Omar Torres, local residents, business owners and activists, decried the current state of the historic First Church of Christ, Scientist and announced a plan to further motivate Z&L Properties to come into compliance. Mayor Mahan and Council colleagues will put forward a memorandum that would empower the City to increase the maximum code enforcement fines to $500,000 from the current $100,000 ceiling. 

“Under Z&L Properties’ watch, a historic site has become an eyesore, a safety risk and an embarrassment,” said San José Mayor Matt Mahan. “This church is evidence that the laws on the books do not go far enough to hold negligent property owners accountable, which is why we are taking action now to improve quality of life for downtown residents and businesses.”

First Church of Christ, Scientist was originally built in 1905, and has been owned by China-based Z&L Properties since 2017. Despite their approved plans to restore the church building and build housing on the site, the property has languished with no meaningful maintenance over the last six years – apart from the placement of a tarp covering that has faced significant damage from the elements. The City has urged Z&L Properties to sell the property, as the real estate company has done with other holdings within San José, while simultaneously fining them $1,000 each day they remain out of compliance.

“With our proposal of increasing the maximum and daily fines, our city will take the necessary steps to protect sites that hold cultural and historical significance for our city,” said Councilmember Omar Torres (D3). “We send a clear message that San Jose is committed to preserving its historical treasures and ensuring our neighborhoods are clean and safe! We owe it to our community, to our history, and to the vibrancy of our Downtown San Jose.”

Residents, preservation activists and small businesses have been voicing their concerns with the decay of this site for years. It impacts economic activity in the area, poses a significant safety hazard to passersby, and presents an environmental risk as plastic falls from the building and enters storm drains. 

“I thank Mayor Mahan, Councilmember Torres, and the other members of San José City Council for their hard work to hold purchasers of landmark buildings responsible for their property. I trust this and other similar efforts will make our downtown a vibrant and inviting gathering place again,” said Elizabeth Chien Hale, Former San José Downtown Resident Association President.

The memorandum will come before the Rules and Open Government Committee on August 30th. If approved, the fine cap will be increased to $500,000 and Z&L Properties will be charged $10,000 a day until that limit is reached. Concurrently, the City would explore coordinating with the County and other entities to repurchase the Z&L property at East St. James Street, and with the County, affordable housing developers, and market rate developers to potentially redevelop the property. The full memorandum can be found here

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About the City of San José

With nearly one million residents, San José is the largest city in the Bay Area and one of the nation's most diverse and creative. San José’s transformation into a global innovation center in the heart of Silicon Valley has resulted in the world's greatest concentration of technology talent and development.

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