Foster City gets hotel proposal

The City Council will review the proposal at a meeting on Tuesday, Jan. 22, though no formal action will be taken then.

Discussion will likely touch on whether Foster City needs another hotel — the city is currently home to three hotels totaling 618 rooms. A hotel market feasibility study submitted by the developer forecasts “robust demand” for more guest rooms in the city based on high lodging occupancy rates throughout the region. That report also expects occupancy rates for the hotel at 70 percent for its first year and 80 percent by the third year.

The developer, MPQ Foster City Metro Center LLC, also owns the project site, located at the southwest corner of Metro Center and Shell boulevards. The 1.36-acre lot has been vacant for decades and MPQ purchased it from Visa in 2017 for $7 million, according to a staff report.

The lot is surrounded by Costco and State Route 92 to the northwest; adjacent nine-story Visa office building and two-level parking garage to the southwest; a townhome complex to the southeast and Metro retail center and Marriott hotel to the northeast. One potential concern is the hotel may affect views from the adjacent townhomes, offices and commercial buildings.

In addition to a restaurant, the 77,479-square foot proposal includes a meeting space, rooftop terrace bar, lobby lounge, fitness room, business center, sundry sales and guest laundry room. The building would be surrounded by surface parking and a new, two-level garage with 90 to 100 parking stalls. New drive aisles, landscaping and a covered outdoor seating area are also included in the proposal.

“The applicant envisions the hotel to serve the local and regional market as an upscale destination, anticipated to be affiliated with Marriott brand AC Hotels or Aloft,” the report states.

The majority of hotel guests are expected to be visiting on business as the hotel is located close to Visa, Gilead and Illumina office buildings.

The project site is zoned general business/planned development district, which allows hotels, restaurants and meeting rooms. The proposed project would not require a change in zoning designation, but it would require a general development plan amendment.

Moving forward, studies on traffic and impacts the proposal my have on city services, including water and sewer, will be prepared.

The proposal will proceed to a Planning Commission study session following the City Council meeting.

zachary@smdailyjournal.com

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