A lender says it’s ready to build hundreds of homes on the site of the former Greyhound bus terminal in downtown San Jose—if a bankruptcy judge allows it to move forward with foreclosure, according to recent court filings.

The property in question, located at 60 and 70 South Almaden Avenue, is currently owned by Full Standard Properties, a U.S. affiliate of China-based Z&L Properties. Full Standard filed for bankruptcy in July in an effort to restructure its finances and keep control of the site. Z&L is led by Zhang Li, a developer who proposed several projects in downtown San Jose but completed only one.

The lender, a Texas-based affiliate tied to real estate figures Chris Jiashu Xu and William Wang, is urging U.S. Bankruptcy Judge Stephen Johnson to approve foreclosure proceedings. If successful, the lender plans to develop the site into housing.

Full Standard had proposed a scaled-down plan for mid-rise apartments, calling it more realistic than the original plan for two residential towers with 708 condominiums. However, construction delays have caused the existing city-approved permits to expire, meaning the project would need to go through a new approval process.

Full Standard told the court it was seeking a development partner but didn’t disclose who that might be.

The lender group claims it has extensive experience with real estate projects, including in New York City. It also recently made a major purchase in San Jose, buying most of Eastridge Center mall for $135 million in early 2024.

Full Standard originally bought the Greyhound property in 2016 for $39 million from a group led by Bay Area developer Mark Tersini. In 2019, the company took out a $19.5 million loan from Shanghai Commercial Bank, which was later transferred in September 2024 to the Xu-affiliated lender now seeking foreclosure.

In court filings dated September 15, the lender group said it’s ready to pursue the original large-scale housing project with 700+ units, calling the site “a rotting, empty former Greyhound station” and stating it has the funds to fully develop the property.

The lender also questioned whether Full Standard could carry out any plan while under bankruptcy, noting the lack of payments and revenue.

“This single-asset company has no income, and its only hope is that Zhang Li might contribute funds,” the lender stated. “That’s not a real plan.”