The suspects, whose names are not yet being released, were arrested Saturday morning at a home in the 7000 block of Monterey Road in Gilroy, police said.
The suspects were sought for their alleged role in the death of Jose Barajas Sanchez, 21, whose body was found under a bridge in Chico on Thursday, according to Chico police.
Chico police held $1 million warrants for the arrests of the suspects, and alerted Gilroy police on Friday evening that they were believed to be in the area.
Police, including a SWAT team, were called to serve the warrants at the Monterey Road home at about 7 a.m. today. Due to the violent nature of the crime, nearby homes and businesses were evacuated and roadways were closed, according to police.
Gilroy police also utilized a new BearCat tactical armored vehicle, which they used to protect themselves while calling for the suspects to exit the home.
Several people exited the home and were detained by police, but the two suspects initially continued to disregard the commands, police said.
After about three hours, the suspects exited the home and were arrested without incident, according to police.
Chico police detectives were en route to Gilroy this afternoon to continue their investigation into the murder, a dispatcher at that Police Department said.