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Posted inLocal News

San Jose prepares fines after Vietnam Town managers miss code compliance deadline

by Brandon Pho, San Jose Spotlight January 7, 2026January 5, 2026

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Vietnam Town business owners are fed up with what they say has been years of mismanagement by their plaza management board. (Brandon Pho/San Jose Spotlight)

SAN JOSE OFFICIALS are cracking down on alleged mismanagement in Vietnam Town. But the plaza’s landlords aren’t budging.

City code enforcers last month ordered the managers of Little Saigon’s iconic commercial center to address multiple building violations that vexed business owners. That included the removal of a haphazard dumpster barricade that kept cars from parking in most of the main parking garage — constricting parking options for customers.

But officials say the plaza management group, known as the Vietnam Town Condominium Owners Association, did not follow the city’s orders by the required Dec. 18 deadline. Restaurant owners said the barricade remains on the ramps to the parking garage’s upper floors, while the first floor is open.

“Nothing has been done,” Jason Tran, owner of Pho This Way, told San José Spotlight.

The city’s understaffed code enforcers had been investigating the plaza for a year, but did not take action until San José Spotlight first reported on business owners’ complaints. On top of the parking issues, merchants have filed a lawsuit accusing plaza management of unfairly levying fines on eateries for using outdoor common areas — while favoring certain businesses with discounted monthly association dues.

The lawsuit and this news outlet’s reporting sparked debate online about whether Vietnam Town’s potential is being squandered as a dynamic community gathering space for San Jose’s Vietnamese population — the largest in any U.S. city outside of Vietnam.

The city will assess new fines on plaza management for not complying with their order, according to a spokesperson for the Building, Planning and Code Enforcement Department. On top of the garage closure, officials also dinged plaza management for installing two trash compactors in the parking lot next to the garage without permits, as well as the installation of electrical infrastructure on the property without permits. Merchants raised those issues in their lawsuit, complaining that management was wasting business improvement funds on unnecessary equipment.

The department will prepare the case for its appeals hearing board, which will set a new compliance date, along with a per-day fine for every day the plaza is confirmed to be out of compliance.

Appeals hearing expected this month

“The board will have discretion to uphold or modify staff’s recommendation. The department expects the case to be heard by the appeals hearing board in January,” code enforcement spokesperson Marika Krause told San José Spotlight.

Deon Vu, president of the Vietnam Town Condominium Owners Association, declined to comment on the lawsuit. He argues that his organization isn’t entirely to blame for the parking issues.

“The garage has been closed because the elevators and sprinklers aren’t working,” Vu told San José Spotlight. “We’re getting permits from the city. You’re telling me the city wants it opened — that’s kind of strange, because we’re waiting for their approval.”

“The board will have discretion to uphold or modify staff’s recommendation. The department expects the case to be heard by the appeals hearing board in January,”
Marika Krause, San Jose code enforcement spokesperson

He could not say when the garage’s needed maintenance might be complete for reopening. Krause didn’t respond to requests for information about Vu’s claim.

Tran said he isn’t buying Vu’s reasoning.

“We’ve been complaining about this for a year and they haven’t done anything. They probably still wouldn’t without the media attention now,” Tran said.

While the first floor of the parking garage doesn’t require an elevator to access it, Tran questions why it would stay open if sprinkler defects affect the whole garage.

“Furthermore, the plaza cannot open or sell Vietnam Town (commercial spaces) without available parking,” Tran said. “If the parking garage is defective, then how come the builder keeps selling units? I’m not sure how the argument fits.”

Contact Brandon Pho at [email protected] or @brandonphooo on X.

This story originally appeared in San Jose Spotlight.

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Tagged: business disputes, code enforcement, commercial real estate, Little Saigon, Local Government, San Jose, San Jose Spotlight, shopping malls, small businesses, Vietnam Town, Vietnamese American community
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