Over the past five years, a group of developers which included Shapell, Citation, and Keenan have been funding the planning process for Coyote Valley in South San Jose. The Coyote Valley has over the past two decades been considered as a place where companies could build additional campuses, with the latest campus plans belonging to Cisco Systems. Those plans fell apart in 2000, along with another Fremont campus Cisco had planned, after economic conditions changed.

Since then, developers have been funding the planning process to the tune of $17M. Another $2.5M was due to be funded, but in the light of the current housing and economic conditions the project is for now being put on hold because it is not economically viable.

The Coyote Valley plan called for as many as 25,000 housing units along with commercial space for 50,000 jobs. Because the city of San Jose requires that staff time be reimbursed, the developers have been footing much of the bill.

The developers will undoubtedly resurface once housing conditions stabilize, and possibly sooner if a large campus user is able to step up and commit to occupying a large campus in Coyote Valley, but for the time being, either scenario seems to be unlikely anytime soon.