By Rory Brown

Almanac Staff Writer

Strewn with empty buildings and vacant auto lots, El Camino Real in Menlo Park has a lot of traffic, but not a lot of businesses or shoppers.

Cadillac of Menlo Park and Anderson Chevrolet are the latest businesses to go, and the empty lots serve as reminders of the city’s lost sales-tax revenue. Also, the former Blockbuster Video site and several restaurants have changed hands, and the Park Theater remains deserted.

El Camino Real is one of Menlo Park’s economic and aesthetic challenges, and severs the shops and foot traffic of Santa Cruz Avenue from those of the Menlo Center, the Civic Center and the city’s Caltrain station.

But there are several proposed projects under review, and others recently unveiled, that may change the road’s dreary look.

Two proposals in the works call for housing and commercial space at the northern-end of El Camino, and three new proposals plan for two four-story residential/retail complexes and expansion of the Stanford Park Hotel.

In total, 354 residential units; 74,300 square feet of commercial and office space; and 43,600 square feet of retail space could end up on or adjacent to El Camino Real.

As city staff and the City Council contemplate how to get businesses and shoppers back on El Camino Real and money into the city’s coffers, other cities are joining regional plans to give the “Royal Road” a Peninsula-wide facelift.

But ultimately, city staff and the council will have to determine if and how current proposals that could significantly improve the city’s finances will fuse with long-term efforts to establish regional visions of transportation and design along El Camino Real.

Rezoning to build up

Developers have big — and tall — ideas for building on El Camino Real’s abandoned auto lots, and the most recent batch of proposals has council members thinking that higher-density projects, and the zoning changes that they would entail, are worth considering.

The council reviewed three new proposals for the El Camino Real corridor, two of which would require zoning changes, at a study session February 7. Combined, the two proposals requiring zoning changes would add 200 condos and apartments, plus retail and office space to El Camino Real.

The current zoning on El Camino Real calls for “general commercial” uses — retail, personal services, offices and residencies, according to Arlinda Heineck, the city’s community development director. The height limit for projects in the area is generally 30 feet, although there are some office buildings that are more than 40 feet, she said.

The members of the council, who often don’t see eye to eye, agreed they are willing to consider easing height and density restrictions.

“The ability to follow through with development plans depends on the city’s willingness to change its template,” said Mayor Nicholas Jellins after the study session. He said he was pleased “the council could come together,” as consideration of rezoning portions of the city to allow for high-density projects is “a break from the past.”

Councilwoman Lee Duboc said easing zoning restrictions will allow more development on individual sites, and add incentive for developers to contribute to public projects such as pedestrian or bicycle tunnels. “El Camino can become part of our town — it can become a destination, not just a place people pass through,” she said.

Councilwoman Kelly Fergusson stressed the need for benefits to the community. “If we give away the density without asking for public benefits, then we lose our negotiating power,” she said. She added that developers could be asked to help restore the Park Theater or construct new playing fields.

Two housing proposals

One project, proposed for the Cadillac dealership at 1300 El Camino Real, near Oak Grove Avenue, includes a four- and three-story complex with 145 apartments, 40,000 square feet of retail space and 30,000 square feet of office space.

Jeff Warmoth, who is working as a development partner with the Sand Hill Property Management Co., presented the proposal. The company will acquire the property in April, he said. He told the Almanac the final sale price of the property is confidential.

The complex would be 45 feet tall, and have street-level and underground parking, Mr. Warmoth said.

The apartments would be a mix of one- and two-bedroom units, and the project would provide the city with 22 below-market-rate (BMR) units, he said. He added that he doesn’t know if the units would be for sale or rent.

Mr. Warmoth said he hopes to coordinate the project with the developers associated with a project already under review for an adjacent site; they plan to build 135 rental units and 17,000 square feet of office space on Oak Grove Avenue and Derry Lane. The developer is the O’Brien Group of San Mateo.

The Menlo Park-based Matteson Companies also unveiled a proposal at the study session — plans for 56 condos and 3,600 square feet of retail space at 389 El Camino Real, near College Avenue, the site of the former Anderson Chevrolet truck lot.

The proposed three- and four-story complex would be about 50 feet tall and have an underground parking garage, said John Baer, vice president for the Matteson Companies.

Mr. Baer acknowledged that the homes are typically too small to accommodate families, but do attract “a broad spectrum of buyers.”

He said the ideal tenant for the retail space would be a neighborhood-friendly service, such as a Starbucks or dry cleaners.

Eight of the condos would be BMR units, according to the city’s guidelines.

Anderson car site

The third proposal presented at the study session won’t require zoning changes, but that doesn’t guarantee a fast track to development.

The Stanford Park Hotel is proposing the construction of a conference center on the site’s current parking area, meaning the hotel would have to use a portion of the adjacent land formerly occupied by Anderson Chevrolet at 300 El Camino Real to accommodate parking.

Stanford University owns both the hotel and former dealership lots, and the land is managed by the Stanford Management Co.

But the former Anderson site is leased to Fort Lauderdale-based AutoNation. There are seven years remaining on the lease, and Stanford’s efforts to get AutoNation to pull out “haven’t produced any results,” said Bill Phillips, managing director of real estate for Stanford Management Co. Until an agreement is reached, the hotel is unable to move forward with plans for the conference center.

The city also has two proposed projects for El Camino Real already under review.

The housing/office project on Oak Grove Avenue and Derry Lane adjacent to the former Cadillac dealership is tentatively scheduled to go before the Planning Commission in March, said Ms. Heineck.

The second proposal is for a two-story, 26,800-square-foot office complex and 16 two-story rental townhouses at 1460 El Camino, near Valparaiso Avenue.

The project includes plans for underground parking, and is being proposed by developer John Beltramo. The project has undergone environmental review, and will appear before the Planning Commission this year, said Ms. Heineck.

Both projects would require rezoning and amendments to the general plan.

Ms. Heineck said traffic studies and environmental impact reviews for the projects proposed at the study session would consider the traffic impacts of all projects proposed for El Camino Real.

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