Council gives up on Shoreline hotel

Google to lease all of Charleston area from city in $30 million deal

The city has abandoned its plan to build a hotel on a plot of land near the Shoreline Amphitheater, approving a 53-year, $30 million lease of the land to Google instead.

In approving amendments to the North Bayshore Precise Plan on March 8, and then approving the lease on March 22, the City Council will now lease the entire 45.2-acre Charleston Area -- which is bounded by Permanente Creek, Shoreline Boulevard, Charleston Road and Amphitheater Parkway -- to Google for research and development space as well as offices to accommodate the growing company.

Google headquarters is currently located on the 26.6-acre Charleston West sub-area of the Charleston Area -- south of the amphitheater and west of Charleston East, which is currently vacant.

Peter Gilli, zoning administrator for Mountain View, said that letting go of the plan to build a hotel on the Charleston East sub-area was the "more fiscally responsible option."

Gilli said that putting in a hotel would have cost the city a lot up front and would have taken a long time to pay off. Ultimately, he said, it would not have been as beneficial to the city as the office deal will be.

The lease itself will generate money on top of taxes paid to the city by Google. According to outgoing City Manager Kevin Duggan, about 10 percent of the city's general fund comes from leases.

It is also likely that as more people come to work for Google in the Shoreline area, more money will be spent at local shops and restaurants, Gilli said.

"Both parties are happy that a deal was able to be made," Gilli said.

The city is still considering building a new hotel, he said, just not on the Charleston site.


Like this comment
Posted by Garrett
a resident of another community
on Mar 25, 2011 at 12:04 pm

Get more Companiezs to be based in Mtn View, then most likely you will get a Hotel

Like this comment
Posted by Esther
a resident of Old Mountain View
on Mar 25, 2011 at 1:08 pm

The City owns some land at the intersection of Highway 101 and Moffett Boulevard and is in the process of trying to acquire more. Seems like that might be a good spot for a large hotel and/or other commercial development because of its visibility, easy access to the Shoreline business district, downtown, and nearby highways.

Like this comment
Posted by Alex M.
a resident of Willowgate
on Mar 25, 2011 at 2:40 pm

I don't see why another hotel is needed. There's already a brand-new Hampton Inn on Moffet Blvd that serves visitors to Google (and presumably to NASA Ames), and it nearly always has vacancies, as far as I can tell.

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Posted by Huh?
a resident of Blossom Valley
on Mar 25, 2011 at 3:11 pm

53 years? That's a REALLY long time to lease something out at a rate not indexed to something like the CPI. Hopefully there are some "out" clauses, as a lot can happen in 53 years where the City might prefer an alternate use or a higher income stream.

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Posted by kathy
a resident of Sylvan Park
on Mar 25, 2011 at 5:24 pm

Why does Google seem to run Mountain View? Because it does? Seems fooish to give a single company access to a huge piece of land for half a century???

The middle of Silicon Valley and we do not have a single 'full service hotel' (the Hamptom Inn is not a full serivce hotel), The Cabana in PA is an example of what we need in MV. In addition Michael's at Shoreline, a city venue, is looking shabby, which is a shame, perfect location, but needs to be kept up. The same cracks have been in the slate tiles in the foyer for years.

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Posted by George
a resident of Rex Manor
on Mar 26, 2011 at 9:00 am

Ah, history at work. 35 or so years ago, our (later fired) city manager had grand ideas of a world class hotel out there...

Thank God it never got off the ground.

Face it folks,, even with Google and it's buddy tech companies, Mtn.View is still a small town blue coller place. Let's keep it simple, cuz that's what it is and always will be. And we love it (usually). We do need more home grown talent tho on the council.

Like this comment
Posted by GDM
a resident of Blossom Valley
on Mar 26, 2011 at 12:08 pm

If there was a demand adequate to support a hotel in Mountain View, it would have been built by now. Every one wants a full service hotel, but no one wants to subsidize it.

Sorry, but further commenting on this topic has been closed.

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