The shooting happened near the intersection of Monterey Highway and Bailey Ave on Monday afternoon, officials said. Shortly after, the former UFC heavyweight champion was booked into the Santa Clara County Jail for attempted murder.
Police said one man was hurt, but is expected to survive. The victim wasn't identified and the motive wasn't revealed.
Velasquez, 39, is being held without bail.
The retired pro fighter was born in Salinas, and trains at American Kickboxing Academy in San Jose, about 25 miles north of where the shooting happened.
Velasquez hasn’t competed since a knockout loss to current heavyweight champion Francis Ngannou in February 2019.
His recent work has been with Lucha Libre AAA Worldwide, based in Mexico City.
Velasquez is a two-time UFC heavyweight champion.