Urban Catalyst Breaks Ground on San Jose Opportunity Zone Development
Urban Catalyst Funds has broken ground on Aquino – a 278-unit multifamily development located in an opportunity zone at 498 W. San Carlos Street in Downtown West San Jose, Calif.
A groundbreaking ceremony on Sept. 3 included city officials, project partners, and investors. Mayor Matt Mahan participated in the event.
Aquino is expected to be completed in late 2027.
The asset is supported by UC Multifamily Equity I Fund, or UCME fund, an IRA conversion fund launched in August 2023 that seeks to raise $67 million from accredited investors. The fund, which the company said will remain open and accessible to financial advisers and their clients until Dec. 31, 2025, has raised approximately $16.15 million as of July 15, 2025.
“The Aquino groundbreaking represents a pivotal moment for the UCME Fund,” said Erik Hayden, chief executive officer of Urban Catalyst. “We are grateful to our investors and supporters for their confidence and interest in participating in this opportunity, which focuses on high-quality multifamily development in a high-demand market.”
According to the company, Aquino is strategically located in a market that has seen some of the highest rent growth in the nation and where no new market-rate multifamily developments have started in the past two years, underscoring the critical need for high-quality housing in Downtown San Jose. The project, when completed, will offer luxury residences and amenities, including a large interior courtyard, fitness center, co-working space, dog walk area, yoga room, sauna lounge, communal kitchen, and a penthouse lounge with a balcony patio.
Emphasizing the city’s push for more housing, Mayor Matt Mahan remarked: “This is the kind of project we envisioned when we introduced the multifamily incentive program last year.”
Urban Catalyst Funds is a real estate development firm specializing in tax-advantaged investments. As developers and fund managers, Urban Catalyst Funds focuses on creating high-impact, ground-up projects while strategically maximizing tax mitigation opportunities.
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