Paseo de San Carlos was developed from 1994 to 1996 by San Jose State University, along with the Paseo de César Chávez and the 9th Street Paseo, as a part of a major campus revitalization scheme.

[1] Paseo de San Carlos was laid out to serve as the primary east–west pedestrian axis through San Jose State University's campus, connecting the university to Downtown and connecting Downtown, west of SJSU, to the Naglee Park neighborhood, east of SJSU.

[2] In 2019, the historic Scheller House, home of the SJSU Associated Students organization, was relocated from its historic location on the Paseo de San Carlos to the northeast corner of campus, to make way for the new sciences building.

It spans across San Jose State University's campus, from the Boccardo Gate in the west to the Lucas Gate in the east.

The paseo is within walking distance of Paseo de San Antonio station and Convention Center station, on the VTA light rail.