🐚 KALI27 Β· LAN http://<host>:8800 Β· read-only synthesis Β· draft β€” no sends/deploys

South Bay Sports Training Β· San JosΓ© District 7

🏟️ 10th Street Property β€” Master Report

Two parcels Β· the rezone Β· the violation Β· the easement/parking finding Β· the financing Β· the 6/24 intake

2
Parcels (land+unit)
HI→CIC
Rezone ask
6/24
City intake Β· TBD time
$270–600K
Rezone all-in
~$4.3M
Acquisition (2 parcels)
Aug
HOA board agenda
Prepared Tue, June 23, 2026 Β· synthesized from the _PROPERTY_DEEP_DIVE dossiers (00,01,02,04,06,08,09,10,11) + the existing full report. Read-only on sources. Not legal/financial advice.
🎯 Summary πŸ›οΈ Zoning/6Β·24 πŸ…ΏοΈ Easement 🟫 Land+Bldg πŸ’° Financing πŸ“œ History πŸ‘₯ People πŸ“‚ Docs 🚩 Next
🎯
Executive SummaryThe whole situation in one screen
β€Ί

The situation

Tony owns two adjacent parcels on S. 10th St., operated as one site: the 0.91-ac LAND lot (APN 477-21-075 β€” turf field, cages, containers, gate) and a ~9,644-sq-ft industrial CONDO UNIT at 2127 S. 10th (APN 477-27-030, 1 of 12 in "South of Tenth"). Both bought from Scott Cooley; owner of record South Bay Sports Training LLC (with VAST Properties as the holding entity).

The trigger

Code Case #202510357 hit the LAND parcel β€” the turf/cages/lights/structures are a training-recreation use that isn't permitted in the current HI (Heavy Industrial) zone. The cure: rezone both parcels HI β†’ CIC (Combined Industrial/Commercial), which legalizes the use in place.

The KEY easement/parking finding

βœ… The recorded Reciprocal Grant of Easement and the recorded CC&Rs (Doc #19635855) are both FOUND. The hard truth: the easement grants NO parking rights in the HOA lot ("Parking rights by the dominant tenement are not included") β€” it's an access / loading-dock right only. Your parking right comes from UNIT OWNERSHIP / the CC&Rs, not the easement. Keep the two sources separate. The loading-dock fight is now on the August HOA board agenda.

The financing

Original Enterprise Bank β†’ refinanced to an SBA 504 stack: Celtic Bank (first lien) + TMC/Capital Development Corp (504/CDC). Building 504 note: $1,834,000 @ 4.64%, P&I ~$11.76K/mo, funded 3/11/26. Long-term debt β‰ˆ $4.04M vs β‰ˆ$4.46M assets.

The 6/24 meeting

Virtual intake with a Planning Technician β€” the start of the clock, not a decision. Run by consultant Andrew Crabtree. Meeting TIME still unconfirmed. Before it: confirm time, ask the GPA-vs-rezoning-only question, get legal descriptions + owner signatures, pick the CEQA consultant.

Bottom line

A 19-year community institution, displaced from its prior home (995), found an industrial site that fits its noise/use profile β€” and now needs zoning to match reality. The same physical items (containers, turf, gate, dock) recur across three fronts β€” City code, HOA parking, the rezone β€” and they all resolve the same way: legalize the use cleanly. Fighting them sloppily hurts all three.

Source: 00_TONY_INTEL_NOTES Β· 01_ZONING Β· 02_HOA_PARKING Β· 06_LOAN_FINANCIALS Β· 08_BUILDING_GENERAL Β· 09_ARCHIVES Β· 10_EASEMENT_PARKING.

πŸ›οΈ
Zoning & the 6/24 IntakeRezone path Β· GPA question Β· deadlines Β· costs Β· DO-BEFORE list
β€Ί

⚠️ The #1 strategic question (ask Andrew first)

Is a General Plan Amendment actually required β€” or can we file a conforming Rezoning-only? The site arguably already sits in the City's "Monterey Business Corridor" employment area. If it conforms, you skip the GPA β†’ far faster (months vs to-2028) and far cheaper. This single question drives timeline, cost, and the whole path.

Why CIC fixes the violation

HI (current) bars private instruction / personal-enrichment / recreation (SJMC Β§20.50.100) β€” exactly what the City flagged on the land. CIC (proposed) is a mixed district that allows those uses. The City's own notice points the cure to CIC ("allowed in CIC and TEC, but not in HI").

Tension to resolve: a separate Oct-2025 memo argues the bat/metal/leather manufacturing belongs in HI. Confirm with Andrew that CIC preserves the heavy-manufacturing side β€” "Combined Industrial/Commercial" is designed to hold both, but don't let the rezone outlaw the welding/lathe.

The planner headwind + your counter

Alexandre Hughes (City Planner III, 4/10/26): "Rezoning the property is not likely to be approved. I do not see any code violations on the subject APN." Division Mgr John Tu: staff will struggle under industrial-protection policy FS-4.5. Andrew's odds: ~50/50.

Counter (the integrated two-parcel employment site): the unit + lot function as ONE ~1.08-ac site via the recorded easement β€” employment-generating, fits the corridor. Hughes "sees no violation on the subject APN" only because the case is on the OTHER parcel β€” tying both APNs into ONE rezoning converts that confusion into your strongest point. Surroundings (fairgrounds, cricket stadium, The Plant, Costco, Sharks Ice, VTA) = mixed business corridor, not pure heavy industry.

πŸ’° Costs (Andrew's authoritative numbers)

City planning feeEst.
GP Amendment$26,000
Rezoning$14,000
Conditional Use Permit$25,000
Mitigated Neg. Declaration$9,000
Noticing / Internal / Other$24,500
City fees subtotalβ‰ˆ $98,500
CEQA consultant (separate)β‰ˆ $170,000

All-in pre-construction: β‰ˆ $270K–$350K on the MND path; $450K–$600K+ if an EIR is triggered. Invoiced AFTER filing; full fees due within 14 days β€” have funds ready.

Cost levers: (1) Rezoning-only if conformance holds; (2) Early Consideration (IP-3.11) β€” test Council before the big CEQA spend; (3) a CUP-only path (~$100–200K) if staff allows.

The clock

  • Code Case #202510357 original cure deadline Jan 9, 2026 β€” held off while rezoning is active (Deputy Director allows open operation).
  • June 1 soft deadline passed β†’ filing 6/24 tracks to a 2028 Council hearing (2027 "still possible" if fast).
  • GPAs heard ~once/yr in the fall; CEQA is the long pole (MND likely, EIR possible).
  • City Council = final action, NO appeal.

βœ… DO BEFORE 6/24 (ranked)

1
CONFIRM THE MEETING TIME with Andrew/the City β€” it's not in any email and it's tomorrow.
2
Ask the GPA-vs-Rezoning-only question β€” does the Monterey Corridor designation support a conforming rezoning without a GPA?
3
Get Andrew's 5/23 question answered β€” are forms completed live at intake or submitted before?
4
Legal descriptions β€” BOTH parcels, confirming which APN = which address (fixes the "one record" problem).
5
Owner signatures β€” Tony is ~40.5%; get the other ~40.5% + ~19% on the affidavit; resolve the Cooley-Trust title-of-record.
6
Pick the CEQA consultant (City list of 14) or get a Letter of Intent.
7
Plat map β€” stamped/wet-signed showing both parcels + the easement. Confirm Andrew has it or a surveyor draws it likely blocker
8
Hold page-3 water-well + hazardous-site checkboxes blank until verified (historical monitoring wells flagged).

Source: 01_ZONING.md Β§1–9 Β· Andrew's GPA process & fee memo Β· Gmail zoning thread 19d07898797ad11a (Hughes 4/10, Andrew 5/19) Β· SJMC Ch. 20.50 (web) Β· sanjoseca.gov GP Annual Review (web).

πŸ…ΏοΈ
Easement & Parking β€” the KEY findingParking = unit ownership, NOT the easement
β€Ί

πŸ”΄ The one truth to internalize

The recorded Reciprocal Grant of Easement says, verbatim: "Parking rights by the dominant tenement are not included in this grant of easement." The easement is an access / ingress-egress / loading-dock right β€” NOT a parking right.

Your parking right comes from UNIT OWNERSHIP β€” your undivided interest in the Common Area parking under the CC&Rs (Β§1.39, Β§3.2.A: parking of motor vehicles in the Parking Areas). Lead with unit-owner common-area rights on parking; use the easement for access/dock/gate. Conflating them is the mistake that weakens the position.

Easement #1 Β· HOA β†’ your land

  • Vehicular + pedestrian ingress/egress over the entire common parking lot, for any business/reasonable purpose
  • Emergency-vehicle access
  • ❗ NO parking rights in the HOA lot
  • No relocation/enlargement; survey 50/50

Easement #2 Β· your land β†’ HOA

  • Ingress/egress the width of the property, 100' from S. 10th St (Exhibit B)
  • Limited parking only in designated spaces
  • ❗ No delivery-truck parking in the easement area
  • Terminable only by mutual agreement (Β§5); runs with the land (Β§6)

The dispute β€” what's contested

Lead complainant Jessie Duong (also runs 10th St Cannabis, the "pot club") reopened it June 2026 over the loading dock: she says it belongs on your land, not in the HOA's shared lot, and you "opened 7 spaces for the baseball field" while consuming one shared space. Three live questions: (1) may the dock sit in the HOA lot? (2) are the "7 spaces" yours or encroaching? (3) the unresolved 2025 list (containers, gate, turf in driveway).

Scott Cooley's history (your best framing): the dock/easement was "long ago a trade for a right of way to your lot next door in return for a loading-dock / semi-truck access." Manager Melanie Ferreira put it on the August board agenda (6/22).

βœ… Verify list (before August)

  • VERIFY RECORDING of the easement β€” the scan shows signatures but no visible recorder's stamp/date/doc #. Pull APN 477-21-075 title chain (SCC Recorder) or ask the Saratoga Ave title company. Top priority β€” the whole defense leans on it running with the land.
  • Read CC&R Β§8.5 + Exhibit C for the exact parking-allocation rule (confirm/correct the "12–15 spaces per unit" recollection).
  • Read LOADING DOCK RYR-37-22-DOC__2.pdf β€” possible 2nd dock instrument (located, not yet read).
  • Check your unit deed (477-27-030) for any Exclusive Use assigned spaces.
  • Pin Scordelis's written position on dock / "7 spaces" / gate before the meeting.

How it helps the rezone

Parking adequacy helps the rezone β€” but only from the right source. The "7 spaces" are, to the City, evidence you're adding capacity. The easement is the backbone of the integrated-two-parcel argument. Just don't overstate the easement as a parking solution β€” it's an access solution. Resolving the dock/containers/turf cleanly serves both the HOA fight and the rezone.

Source: 10_EASEMENT_PARKING.md (recorded easement text, CC&Rs Doc #19635855, file index) Β· 02_HOA_PARKING.md (Gmail timeline) Β· 08_BUILDING_GENERAL.md. Flags: easement recording status, CC&R Β§8.5 allocation β€” unverified.

🟫
Land + Building Dossiers477-21-075 (lot) & 477-27-030 (unit)
β€Ί

🟫 LAND · APN 477-21-075

0 S. 10th St~0.91 acHI→CIC
  • $1,800,000 Β· closed Dec 22, 2022 Β· Doc# …9085
  • Open lot: turf field, cages, containers, fence, sport lights, structures
  • Carries Code Case #202510357 (the violation)
  • 2025 As-Is appraisal $1,700,000
  • Chaboya Partition / North Pueblo Tract; 1951 Pepitone deed legacy angle
  • Acreage discrepancy documented: SJ Zoning 1.407ac vs SCC 0.91ac vs GoogleEarth 0.87ac

🏒 BUILDING · APN 477-27-030

2127 S. 10th St9,644 SF1 of 12
  • $2,500,000 Β· closed Aug 5, 2022 Β· Doc# 25353951
  • Industrial condo, built 1979, concrete tilt-up, 28–34' clear, 2 floors, 23.3% office
  • No dock / no grade-level door; 12 allocated parking spaces; fire-sprinklered
  • Interior: retail reception + open warehouse w/ batting cages; 2nd floor all cages
  • 2025 As-Is appraisal $2,320,000 (Kidder Mathews AC25-369)
  • CC&Rs/condo plan "not supplied" to appraiser β€” unit legal description gap

The condominium & the 7th St lease

South of Tenth Business Center Unit Owners Association β€” 12-unit industrial condo (2121–2159 S. 10th). Tony is on the board (signed as VP, Apr 2026); Scott Cooley is President; Jessie Duong the third. Managed by Common Interest Management Services (Melanie Ferreira, current; Tammy Forrest, prior). HOA dues described as "super high" β€” exact figure still OPEN.

Separate 7th St land lease: ~5,800 SF at 2070 S. 7th St from Chaboya Ranch Partners, $1,100/mo, for batting cages β€” held in Anthony's personal name, term ran 6/1/23–5/31/25 (renewal status unconfirmed).

⚠️ Do not conflate three Cooley transactions

ParcelPriceNote
477-27-030 unit$2.5MAug 2022 Β· SBA
477-21-075 land$1.8MDec 2022 Β· land refi
2139 (Hastest)~$2.431MCooley carry Β· not confirmed closed

Source: 08_BUILDING_GENERAL.md (Kidder Mathews appraisal) Β· 06_LOAN_FINANCIALS.md Β· 09_ARCHIVES.md Β· 01_ZONING.md.

πŸ’°
FinancingEnterprise β†’ Celtic / TMC / SBA 504 Β· costs Β· carry
β€Ί

The loan stack, in plain terms

  • 1. Original purchase financing β†’ Enterprise Bank. (principal/rate/payoff OPEN)
  • 2. Refinanced onto SBA 504: Celtic Bank conventional first-lien + TMC / Capital Development Corp as the 504/CDC second-lien; Fidelity National Title handled payoff. Building refi closed ~May 1, 2026.
  • 3. Land separately refinanced ("Zaro on loan" / "with Joseph").
  • 4. 2139 sits on a Cooley seller carry-back (interest-only, ~12–15% down, 7-yr), to be paid off via the SBA.
  • 5. Mike Zaro holds ~19% / ~$698K β€” characterized as "more a loan with collateral" than a true owner; interest paid.

βœ… The executed building 504 note (conformed β€” hard numbers)

Loan #7918349109
Amount$1,834,000
CDCCapital Development Corp ("09-655")
SBA approval / note11/24/2025 / 12/12/2025
Funded3/11/2026
Rate / maturity4.64033% / 3/1/2051
P&I / monthly$10,327.29 / $11,758.57

Collateral assignment of life insurance on Anthony required. EPC/OC structure (holding leases 100% to operating co; OC occupies β‰₯51%).

Debt position on the books (QB, 6/19/26)

TMC SBA $1,810,244 + Celtic Bank SBA #1 $2,167,633 = LT debt β‰ˆ $4,040,840, against β‰ˆ$4.46M fixed assets at 10th St. Tony's read: "asset-rich, cash-thin, over-leveraged."

Annual carry + the rezone spend

Carry (partly OPEN): SBA monthly $11.76K (building), land-refi monthly OPEN, HOA dues "super high" OPEN, SCC property taxes (~$36K/yr modeled for 2139), 7th St lease $1,100/mo (income), Mike interest.

Rezone/violation cost stack (the active new spend): β‰ˆ$98.5K City + β‰ˆ$170K CEQA = $270K–$600K all-in, plus Berliner Cohen legal, surveyor/plat, permit corrections.

Source: 06_LOAN_FINANCIALS.md Β· 09_ARCHIVES.md (conformed SBA Note, QB balances) Β· 00_TONY_INTEL_NOTES.md. OPEN: Enterprise terms, land-refi terms, HOA dues, current tax bills, 2139 close status.

πŸ“œ
History & Why Industrial FitsThe 995 displacement story Β· the rezone narrative
β€Ί

The narrative (a formal doc already exists)

There's already a written "Historic Family Narrative for Use in Zoning & Land-Use Justification" (PDF, 11/22/2025) β€” fold it into the filing. The story:

SBST has been in the community since 2007. Its prior home was 995 [address] β€” 16–17 years building it there. When they tried to buy 995, they were outbid by a low-income housing project that then turned out to be completely mismanaged; the city had to bail out the nonprofit, the CEO left First Community Housing, and the property had to be sold again. After 995, they searched all over San JosΓ© and landed by the fairgrounds β€” the 10th St site β€” which felt right.

Why an industrial zone genuinely fits SBST

Noise (bats, training, lights), active hands-on use, the kind of operation that belongs in an industrial setting β€” not retail/residential. This is a strong argument FOR the site being appropriate where it is: a legitimate employment/community use that suits the corridor. Plus a real manufacturing side (glove/bat/equipment, metalwork, leather) that authentically belongs in industrial.

The rezone framing: a 19-year community institution, displaced by a mismanaged housing project the city itself had to bail out, that did everything right finding an industrial home matching its noise/use profile β€” now just needs the zoning to match reality. Sympathetic + policy-sound.

⚠️ Fact-check before any public use

The dollar figure Tony recalls as "~$20 billion" is almost certainly $20 MILLION unverified β€” and the bailout / CEO-departure / resale details should all be confirmed against the public record before being used in a City filing. Strong story, but verify the numbers first.

Source: 00_TONY_INTEL_NOTES.md (history) Β· 11_CX2_FILE_INDEX.md (Historic Family Narrative doc, 10th St Vs 995). $20M figure + bailout details = UNVERIFIED, fact-check required.

πŸ‘₯
Key PeopleQuick who's-who (full profiles separate)
β€Ί

Tony's team

  • Andrew Crabtree β€” planning consultant, engine of the City strategy, primary City contact (a_crabtree@yahoo.com)
  • Stephen Scordelis β€” land-use attorney, Berliner Cohen; quarterbacks legal; brought in Crabtree (408-286-5800)
  • Adam Varteressian β€” co-founder/co-owner, co-borrower (adam@southbaytraining.com)
  • Jolie Houston (land-use partner) Β· Rosie Moreno (paralegal) β€” Berliner support

City side

  • Karla Caceres (#177E) β€” Code Enforcement; opened Case #202510357; cooperative
  • Alexandre Hughes β€” Planner III; "rezoning not likely to be approved" (the central obstacle)
  • John Tu β€” Division Mgr; staff hard-to-support under FS-4.5

HOA / counterparties

  • Scott Cooley β€” seller of both parcels + 2139 carry lender; HOA President; cooperative; gave the dock/right-of-way history
  • Jessie Duong β€” HOA board owner + runs 10th St Cannabis; the aggressor on parking/dock
  • Terry Hu β€” co-owner, sided with you (tenant won't use the dock)
  • Melanie Ferreira β€” current Common Interest manager (mkferreira@commoninterest.com)
  • Robert T. Tang β€” co-owners' attorney (June 2025 demand letter)

Financing / entity

  • Mike (Michael Paul) Zaro β€” ~19%/$698K investor + LLC managing member; co-borrower on land/SBA
  • Joseph β€” TMC/Celtic-side contact on the land refi
  • Entities: South Bay Training LLC (WY, owner of record) Β· VAST Ventures β†’ VAST Properties (the "Ventures LLC" holding entity, confirm exact name)

Source: 04_PEOPLE.md Β· 02_HOA_PARKING.md Β· 09_ARCHIVES.md Β· 00_TONY_INTEL_NOTES.md.

πŸ“‚
Document IndexLocated files + the MISSING items
β€Ί

βœ… Located (the gold finds)

  • Reciprocal Grant of Easement β€” Loading Dock : Easement Agreement HOA.pdf (Cooley Trust ↔ HOA, affects 477-21-075)
  • Recorded CC&Rs β€” HOA CCR 10-31-2007.pdf, Doc #19635855, 65 pp
  • Historic Family Narrative for Zoning (the 995 story, written 11/22/25)
  • Deeds β€” land short-form deed of trust + building grant deed; signed buyers docs both parcels
  • Parcel reports β€” Property_Information_477-21-075 + _477-27-030
  • Refi chain β€” SBA Note (conformed), Celtic term sheet, Cooley payoff letter, Enterprise Bank transcripts, Fidelity payoff authorization
  • 7th St lease β€” 2070 S 7th Street land lease (draft)
  • Zoning evidence β€” Inspection Notice (Case #202510357), Zoning.pdf, acreage-discrepancy doc
  • Environmental β€” Phase I ESA (Nov 2022), environmental approval letter
  • Construction β€” Remodel 4.pdf, S. 10th St site plan, buildout PNGs
  • Appraisal β€” Kidder Mathews 2127 AC25-369 (Revised)

πŸ”΄ MISSING / to chase

  • Stamped, wet-signed plat map showing both parcels + easement β€” the likely filing blocker (none located)
  • Condo legal description / unit # for 477-27-030 β€” CC&Rs/condo plan "not supplied" to appraiser
  • Easement recording confirmation β€” scan shows signatures but no recorder stamp/date/doc # verify
  • CC&R Β§8.5 + Exhibit C (exact parking-allocation rule) β€” in the 65-pp PDF but unread
  • LOADING DOCK RYR-37-22-DOC__2.pdf β€” possible 2nd dock instrument (located, unread)
  • Enterprise / land-refi terms, current HOA dues, current SCC tax bills

Source: 11_CX2_FILE_INDEX.md Β· 10_EASEMENT_PARKING.md (file index) Β· 01_ZONING.md Β§5/Β§5b Β· 08_BUILDING_GENERAL.md Β§8.

🚩
Open Items / Next ActionsRanked Β· 6/24 priorities up top
β€Ί

πŸ”΄ Before 6/24 (tomorrow)

1
Confirm the 6/24 meeting TIME with Andrew/the City.
2
Ask GPA-vs-rezoning-only + the exact entitlement stack/order; get the 5/23 "forms live or pre-submitted?" answer.
3
Legal descriptions both parcels + correct APN↔address; owner signatures (~40.5% + ~19%) + clean the Cooley-Trust title.
4
Have fee funds ready β€” invoice lands after filing, due within 14 days.

🟠 This week / pre-August

5
Pick the CEQA consultant (or Letter of Intent) β€” drives the whole timeline.
6
Resolve the plat map β€” stamped/wet-signed showing both parcels + easement.
7
VERIFY easement recording (SCC Recorder / Saratoga title co) + read CC&R Β§8.5 β€” before the August board meeting.
8
Decide the loading-dock + "7 spaces" position with Scordelis (lean: move dock onto your land, concede one space β€” Terry confirms it's unused).

🟑 Verify / confirm (data integrity)

  • Fact-check the $20M (not $20B) 995 figure + the bailout/CEO/resale details before any public use.
  • Locate condo legal description / unit #; pull current HOA dues + SCC tax bills.
  • Confirm Enterprise & land-refi terms; reconcile SBA $1.83M (TMC/CDC) vs Celtic $2.17M.
  • Confirm 2139 status (closed? 12% vs 15% down); confirm VAST/"Ventures LLC" exact name.
  • Confirm CIC preserves the heavy-manufacturing uses; keep Karla updated to hold the case.

Source: synthesized open-items from 01,02,04,06,08,09,10,11. Flags carried: easement recording, $20M figure, parking allocation β€” all UNVERIFIED.

🐚 KALI27 Property Master Report Β· synthesized from the _PROPERTY_DEEP_DIVE dossiers Β· read-only on sources Β· DRAFT β€” no emails sent, no files deployed.
Unverified items flagged inline: the $20M figure Β· easement recording status Β· CC&R parking allocation Β· executed Enterprise/land-refi terms.