SAN JOSE — A San Jose office building that had been seized through a foreclosure in recent years has managed — for the moment — to avoid a second auction and foreclosure after landing some financing.

The building, located at 826 North Winchester Boulevard in San Jose, had been scheduled to be auctioned off on Jan. 6, but the sale was canceled on Dec. 29, soon after it landed two new loans.

The new loans provided a combined $1.23 million in financing to an affiliate headed up by Kenneth Ryan Koch, a Grass Valley resident.

Tengjun Wang IRA provided about $728,300 in financing for the property and Emerson Vista provided $505,000 in funding, documents filed on Dec. 15 with the Santa Clara County Recorder’s Office show.

A posting by the trustee in the pending foreclosure showed that the auction of the property was canceled as of Dec. 29.

A loan default notice that Socotra Capital, the principal lender for the property, had filed appears to remain in effect, however.

In December 2021, Socotra Capital provided a $6.45 million loan to finance the property. Until several days ago, Socotra was preparing to offer the property for auction or to seize it through foreclosure.

Since the start of the coronavirus outbreak nearly three years ago, the building has had a trio of owners and faced two foreclosure proceedings.

Numerous property transactions show that many investors still hunger for Silicon Valley office buildings despite current economic uncertainties.

Even so, the delinquent loans that have plagued the property are a reminder that more than a few commercial properties in the Bay Area are mired in financial woes.

The current string of owners for the property originated in the spring of 2020, a review of county real estate records shows.

Kenneth Colbert, a Redondo Beach-based real estate executive, paid $8.25 million for the building in March 2020. That was the first month of coronavirus-linked business shutdowns crafted to combat the spread of the deadly bug.

At the time of the purchase, a Colbert-headed affiliate obtained a $6.1 million loan to finance the acquisition.

Eventually, the property’s mortgage became delinquent and the building was auctioned off through a foreclosure proceeding.

In June 2021, a group headed by Los Gatos-based Sridhar Capital paid $2.9 million to buy the office building during the auction.

In December 2021, the affiliate headed up by Kenneth Ryan Koch paid $10.75 million for the property. At the same time, the Koch-led group also obtained the financing of $6.45 million from Socotra for the office building’s purchase.

Koch has not responded to requests from Bay Area News Group for comment regarding the situation.

Two of the recent owners of the property envisioned the 0.6-acre location as a site where housing development could occur.

In 2021, Kenneth Coleman’s group proposed a mixed-use project with ground-floor retail or restaurant uses. Residences would sprout on the floors above, a summary of the planning documents shows.

In May 2022, Kenneth Ryan Koch’s group proposed a five-story mixed-use development that would have included housing.

The two mixed-use projects were never built. The city planning records indicate that neither proposal received municipal approval.

The office center, known as Winchester Professional Building, stands empty and is bordered by a chain-link fence. Graffiti mars multiple walls of the structure.