"Many residents have complained that this facility is an eyesore and that it's not neighborhood friendly," said Yeager in a prepared statement. "I'm pleased that we are able to fund these worthwhile improvements."

The tan building has a patchwork paint job that was done to cover up graffiti, and the outside of the building is littered with cigarette butts. Two tenants currently operate businesses on the site--the 7-Eleven and 24K Hair & Nail salon. Part of the site has a chain-link fence and litter covers the fence's perimeter.

Yeager requested the $200,000 in improvements from the San Jose Redevelopment Agency budget during its annual budget review for 2005-06 year.

The funding will be used to provide either an exterior face-lift and landscaping or to help De Anza Properties owner John Vidowich buy out his lease from 7-Eleven.

San Jose Redevelopment Agency Deputy Executive Director John Weis, who has been meeting with residents over the last six years to resolve the appearance problem, said, "I have been working with the residents that have had concerns about the 7-Eleven location for quite some time."

Weis said part of the problem for the owner is that the lease with 7-Eleven has become a complicated issue.

As part of the city council's conditions of approval the redevelopment agency will have to work with Vidowich, no matter which option he elects to pursue.

Weis believes if Vidowich could buy out the lease, he will redevelop the site as mixed-use property.

When Vidowich originally purchased the property he wanted to demolish the buildings, but it's been held up because of the leases, Weis said.

"He was only able to demolish the K-Mart property," Weis added, "and was frustrated with the 7-Eleven situation."

The redevelopment agency hopes its support will aid Vidowich in either resolving the lease problem with 7-Eleven or helping him to improve the existing site.