Many of us have preferences as to what hotel we stay in, I get what you are saying but to me it would just be a $500 price increase with zero benefit.
Also, even with a corp rate my experience is that there isn't much around San Jose that you could book for $125/night (four nights for $500). They likely exist but they'd be pretty seedy places. Mid-range around SJC is typically more like $300/night, nice places closer to $500/night (non-suite).