Vacant drive-in sale imminent: Buyer unknown for Burlingame Point, but new Class A offices could be coming

Although the sale is still in talks, an entity called “Burlingame Point LLC,” was listed Aug. 11 with the California Secretary of State’s Office as registered to the Palo Alto office of H&Q Asia Pacific. Robert Shen, managing director of H&Q Asia Pacific is listed as the Burlingame Point’s agent.

It would do several good things for Burlingame. One, it would help with Burlingame’s shortage of Class A office space, while at the same time populating most or all of it, said Mayor Michael Brownrigg.

“There’s a lot in it for the community of Burlingame,” said Brownrigg, who went to China this past summer with the nonprofit group called China Silicon Valley to establish relationships that could lead to potential investments. “The path along the Bay would be enhanced. It’s a big positive.”

Millennium isn’t allowed to divulge the potential buyer or the purchase price, said Vice President Sean Jeffries.

However, Jeffries said the company is very happy to see progress on the property it has held since 2006.

“We’re very excited while disappointed that we won’t be developing it ourselves,” Jeffries said.

The original plan had been to work with an adjoining property owner and find a tenant but the office market grew sluggish and the effort shifted to a joint venture and then eventually a sales agreement, he said.

Brownrigg, who also couldn’t divulge more about the potential buyers, said it seems to be a good group of people based on a meeting the city had with the parties.

“We appreciated Millennium introducing the group to us,” he said. “The group we met was extremely impressive.”

There has also been news that the China-based e-commerce giant Alibaba Group will do some kind of a significant lease in the Bay Area given the enormous size of its IPO Sept. 19. An Alibaba representative said the company won’t be commenting on any search for office space at this time. It has been reported, however, that Alibaba is leasing space in San Mateo at 400 S. El Camino Real.

Meanwhile, part of making the Burlingame Bayfront property work for offices will be increasing transit options such as linking new shuttle services with Caltrain, a project officials are just now beginning to study.

“I certainly believe we will do wonders for office space over there and hotels,” Brownrigg said. “A much more robust shuttle service that links Millbrae, BART and Caltrain would be a terrific asset for business visitors, hotel guests and residents.”

Development there would also create a large new population at the southern point of Burlingame. Having a bidirectional service would be helpful to those wanting to get to the area, he said.

“Right now, the shuttle comes very infrequently and only in one direction,” Brownrigg said. “It’s not a very convenient service. Especially during rush hour, that would be great for residents, employees and visitors.”

Burlingame Councilman Ricardo Ortiz expressed concerns about traffic and the fact he thinks Peninsula Avenue needs on- and off-ramps from southbound Highway 101. Still, he is excited about potential development.

“Regardless of who the owners are, we’re ready,” he said.

The site, which housed the Burlingame Drive-In, was demolished about 10 years ago, according to the city’s website.

“We are looking forward to this underutilized parcel being developed,” said City Manager Lisa Goldman.

Michelle Durand contributed to this report.

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