Proposed Auto Dealership to Replace San Jose Retail Site
The 175,400-square-foot project could force neighboring businesses to reassess the long-term viability of their commercial leases.
Updated on Oct. 28, 2026 in Retail
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A new proposal filed with San Jose City Hall details plans to demolish a retail center to make way for a 175,400-square-foot car sales and service complex. The project, located near the Westfield Oakridge mall, would replace existing retail tenants at Blossom Hill Road and Winfield Boulevard.
Why it matters
The proposal signals a shift in land use for the corridor, potentially reducing available space for multi-tenant retail in favor of large-format automotive commercial space. Business owners in the area should monitor how these zoning changes impact local foot traffic and anchor store stability.
The proposed 175,400-square-foot complex would occupy three parcels currently owned by Perusina Winfield Family LP. Development plans for the site, which encompasses addresses from 942 to 968 Blossom Hill Road, were on file as of late October 2026.
The players
Perusina Winfield Family LP
A private real estate investment entity that holds the three parcels comprising the retail site, gas station, and adjacent restaurant building.
The details
The development plan requires the full demolition of an existing retail center, which previously housed tenants including Big 5 Sporting Goods, Mattress Nation, and Leslie's Pool Supplies. The project site is situated at the southeast corner of Blossom Hill Road and Winfield Boulevard, though it excludes the adjacent Olive Garden property also owned by the developer.
Timeline
October 28, 2026: Development plans were on file at San Jose City Hall.
Market Landscape
The conversion of mid-box retail sites into single-tenant automotive complexes follows a broader regional trend of intensifying land use near major commercial nodes like the Westfield Oakridge mall. This proposal tests the limits of the San Jose Envision 2040 General Plan regarding the balance between diversified retail and automotive services.
Retail operators on the Blossom Hill corridor should monitor the project's progress at City Hall to gauge potential impacts on local zoning and traffic density. Business owners should review their lease terms if they operate within older retail complexes facing potential site consolidation.
The takeaway
Large-format commercial developments often trigger significant changes to local traffic patterns and surrounding property values. Operators in the vicinity should track future San Jose City Council proceedings to understand the timeline for demolition and construction permits.
Further reading
For more on shifting commercial real estate patterns in the city, visit Retail.
Source note: This article includes information reported by San Jose Mercury News.
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