The Mills Park development project in San Bruno would have provided 427 housing units, but remains on hold while its developer waits to see how the economy shakes out.
It’s one of several developments in a similar situation. The others are Glenview Terrace and two vacant lots at 160 and 271 El Camino Real. This worries city officials because of the economic benefit and its need to plan for 3,165 housing units by 2031 because of state mandates. City Manager Alex McIntyre said the delay has multiple impacts.
“We are not immune to housing and as soon as they break ground and get developed, all of these have affordability components … just having the people that will be living in those homes, it will have a positive impact on the schools, community, retail and jobs,” McIntyre said.
The project at Mills Park shopping center, located at 601 to 799 El Camino Real, was unanimously approved in July 2020, but construction still hasn’t broken ground. G.W.Williams Vice President Sean Williams said the current state of the economic market makes it difficult to build. In September, it filed for a two-year extension on its development agreement.
“We want to make the city a better place to live in and we want to make a beautiful development there, so one day, we are hoping to do that,” Williams said.
Most development proposals take two years for city approval, Williams said, but this one took four. if it was approved earlier, it would have been completed, he said.
Years of deliberation and a narrow rejection followed Councilmember Marty Medina casting a sole dissenting vote to kill the project due to concerns around height and a proposal to include a grocery store in its ground floor.
It was a tumultuous process and the city went back and forth on its decision to add a grocery store on the ground level, Williams added.
The plans are for one building with 184 units and another with 243 units. Both buildings are five stories tall as initially proposed. There are 65 affordable units designated for those earning between very low and moderate incomes. It would provide 676 vehicle parking stalls and 477 bicycle parking stalls. The commercial space at the street level is reserved for businesses such as eateries, retail outlets, fitness centers, personal service or offices. Plans include 669 parking spaces in a two-level garage, with one portion partially underground. The developer also offered $10 million in benefits to the city.
“We like what was designed but we have options, we won’t build it if it doesn’t pencil,” Williams said.
The developers will look into the project again in a year to see if economic uncertainties iron out, Williams said.
Glenview Terrace, located at Glenview Drive and San Bruno Avenue, was approved in June of 2022. It consists of 29 for-sale single-family units, four of which are affordable. However, Peter Gilli, Community Development Administration director, said he believes the developers are considering changing the project to provide more units.
A project at 160 El Camino Real at the corner of San Luis Avenue was approved in May 2021 and would transform a vacant lot with overgrown weeds and a chain-linked fence into a 28-room hotel. However, the property has been for sale for about a year, and is listed on Redfin for $1.46 million for 9,809 square feet. The most recent use of the lot was a ceramic store, which was demolished in 1999, according to a city report.
Medina said the city wants to see development at the site.
“We all want things to change from a vacant lot to a developed property,” Medina said.
The Planning Commission approved the plans for a three-story, 23 condominium development with 50 parking spaces in 2021, but the vacant site has been for sale for about a year. The 0.6 acre lot that has been vacant for 15 years following the closure of Lee’s Buffet in 2007, and the restaurant’s demolition in 2015. The listing agent declined to comment on the reason the owners decided to sell the property with full entitlements. The owners are asking $5.69 million for the site with entitlements, according to LoopNet. The selling agent was unavailable at the time of publication.
Medina said he believes it’s possible some of the developments have changed its plans due to uncertainty of the economy and the increasing cost of materials and labor.
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