Shuttered San Jose drug store site lands a local real estate buyer

A closed drug store site that's one of the anchors of a San Jose retail center has been bought.

SAN JOSE — A shuttered drug store site that’s one of the anchors of a San Jose retail center has been bought by a local real estate investment group.

The just-bought retail building is the site of a former CVS drug store and pharmacy at 1685 Tully Road in San Jose.

VQ5 Properties, a real estate group based in San Jose, bought the building for $10.5 million, according to documents that were filed on Jan. 24 with the Santa Clara County Recorder’s Office.

The buyer is affiliated with Tuong Vy Nguyen, the property records show.

The building totals 26,500 square feet, according to a marketing brochure for the site that was circulated by CBRE commercial real estate agents Rick Shaffer and John Shaffer.

“(The) primary trade area includes two of San Jose’s most affluent communities, Silver Creek and Evergreen,” CBRE stated in the marketing flyer.

The flyer also noted the building has “excellent visibility” since it is near the intersection of Tully Road and King Road.

The seller of the building was Longs Drug Stores California. In 2008, CVS Health bought Longs Drugs. After the transaction, CVS converted the Longs retail sites to stores with the CVS brand name.

A number of restrictions on future uses of the property accompanied the purchase transaction, the county records show.

“No part of the property shall be leased or used for any of the following uses: a pharmacy mail order facility, a drug store, a pharmacy prescription department, or a retail health center,” a document that accompanied the purchase deed stated. A CVS “minute clinic” was listed as a prohibited use.

Among the allowed uses: “physician, dentistry, or other health care offices or practitioners that are separately operated and not located in any retail store or establishment,” the county records state.