SAN JOSE – Faced with a shaky economy and company-wide layoffs, Google is reassessing the timeline for construction of its massive office development in downtown San Jose.

« What we’ve heard from Google is that they are assessing the timing of the project and figuring out how they will proceed with the project. They remain fully committed to the downtown West project, » Mayor Matt Mahan told KPIX.

According to Mahan, it’s not entirely clear if or how long construction on the project might be delayed. 

City officials said that given the size, scale and complexity of the project, construction was likely to stretch out over a decade or two regardless of any economic slowdown.

Nonetheless, it is not-so-good news for a region still struggling to recover from the pandemic and work-from-home policies.

« There’s more life now. There’s more foot traffic happening. It’s still not like before, » says Mohamad Akkari, owner of Cafe Eden.

Akkari shut down his restaurant during much of the pandemic and has only reopened recently. He told KPIX the return of office workers and overall economic recovery has been slow-going.

« People are coming back. It’s going to take a little bit of time to be like before the pandemic. Hopefully, things are getting better, » he said.

Google Village was never going to be a short-term solution to what is currently ailing many downtown areas including San Jose.

San Jose Downtown Association CEO Alex Stettinski said the downtown core is in the middle of a transformation which includes increased housing and a decreased dependence on office workers.

« It’s a big shakeout for businesses. And a big trying time for business about being relevant, being really desirable, » he said.