Police responded after getting a call about a suspicious person armed with a handgun in the area.
Police said when officers arrived on the scene, the suspect fired in the direction of officers and at least one officer returned fire. The suspect was not injured.
Police said the suspect fled in the opposite direction and jumped a fence into a nearby mobile home complex and was then taken into custody.
San Jose Police Chief Eddie Garcia said the suspect had a lengthy criminal history, and was booked on three counts of attempted homicide. "He's got priors, robbery. He's got priors of assault. He's got priors of narcotics, and he does have a mental illness history as well," the chief said.
Three officers were on the scene when the suspect fired at them. The officer who fired back is a 16-year veteran and will be placed on routine paid administrative leave.
Police say the .45 caliber handgun recovered from the suspect was reported stolen in a 2012 burglary. Chief Garcia said the suspect could have been in the middle of committing another crime when officers arrived. "He may have been casing the store there, the Big 5 sporting goods store," Garcia said.
The Santa Clara county District Attorney's Office and the police department's homicide unit will be conducting a joint criminal investigation.
Anyone with information about this case is urged to call the San Jose Police Department.