There’s no denying the positive stir in Downtown San Jose’s economic scene, as underscored by a report from the esteemed San Jose Economic Development and Cultural Affairs Office. Despite broader economic challenges, significant strides have been made. The area continues its journey of transition and reinvestment, recuperating splendidly from the pandemic’s blow.
In particular, the number of jobs downtown saw a noticeable increase. In the fiscal year of 2025, there were roughly 27,400 jobs, a promising rise of 8.3% from the previous year’s 25,300. Yet, it’s worth bearing in mind the figure stood at 43,000 back in mid-2019 before the pandemic ushered in shutdowns. By mid-2023, that number had plummeted to 33,700.
Downtown’s residential appeal remains consistent. Approximately 23,000 individuals resided downtown in the 2025 fiscal year, a steady figure compared to the previous year, yet a slight increase from mid-2023. The number had danced around the 22,000 mark in mid-2019, swelling to 24,000 by mid-2021 before meandering back to 21,400 come mid-2023.
Intriguingly, foot traffic in the area enjoyed a 7% uptick, as observed over a year leading up to April. Such vibrancy is complemented by upcoming grand sporting occasions slated for the South Bay: the Super Bowl, FIFA World Cup matches, and NCAA men’s college basketball tournament games.
| Indicators | 2023 | 2024 | 2025 |
|---|---|---|---|
| Jobs | 33,700 | 25,300 | 27,400 |
| Population | 21,400 | 23,000 | 23,000 |
| Foot Traffic | – | – | +7% |
The downtown area, intriguingly delineated by some quite notable landmarks, from Google’s Downtown West to the bustling Diridon Station, showcases both commercial and residential charm. However, office vacancies are a bit of a quandary. The rate climbed to 29% in 2025 from 28% the year before.
But let’s not despair, as rental rates tell a brighter tale. Office rents are appreciating, with a rise to $4.37 per square foot mid-2025, a significant 21.7% above the previous year’s $3.59. Encouraging signs indeed!
San Jose State University’s collaboration with downtown offers mutual benefits. Notably, in August 2024, they introduced Spartan Village on the Paseo. This student complex, rising from a former hotel tower, provides a staggering 700 beds.
Such development activities herald a hopeful horizon. Downtown is becoming a magnet for grand events and business ventures, bolstered by enhancements to public spaces. There’s much promise for growth in this vibrant mixed-use district.
For further insights, explore [San Jose Downtown Association](https://www.sjdowntown.com/) and [City of San Jose Economic Development](https://www.sjeconomy.com/).
