SAN JOSE, CA-A nearly century-old canning plant here is being converted into loft-style homes and will also feature an adjacent 450-unit apartment community.

San Mateo-based developer The Castle Group is begin this week on a complete conversion of the 95-year-old plant on Bush Street into loft-style homes. Developer AvalonBay Communities is building the apartment units.

Both companies are hoping to capitalize on San Jose’s housing crunch while integrating past architecture with modern conveniences. Castle Group vice president of development Jim Pollart says the project not only preserves the four existing buildings, but also creates an urban neighborhood that appeals to both local planners and potential buyers from the new economy.

Both the apartment community and the lofts will be available in the spring.

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