Westbank and Urban Community Secure $74M to Convert San Jose’s Bank of Italy Tower

A joint venture between Westbank and Urban Community has closed on $74.1 million in financing to transform the Bank of Italy tower in downtown San Jose, Calif., into a 109-unit market-rate residential property. Deutsche Bank provided the loan, which was arranged by Cushman & Wakefield on behalf of the Silicon Valley Initiative Partnership. The century-old tower, which has been vacant since 2017, will retain its historic façade and exterior detailing while undergoing interior renovations across 126,000 square feet.

The redevelopment will feature a mix of studio, one-, and two-bedroom apartments spanning from the second to the twelfth floors, supported by amenities including an outdoor terrace, a fitness center, and a lounge. The project benefits from San Jose's expanded housing incentive program, which aims to streamline office-to-residential conversions through tax and fee reductions. Work on the landmark building, which was originally completed in 1926, is currently in the planning and financing phase.