New Hotel Eyed to Replace Aging Motel in Redwood City

A modest, picket-fenced motel in downtown Redwood City could make way for a new chain-brand hotel as the forecast for the hospitality industry continues to look healthy.

A proposal recently submitted to the city seeks to demolish the existing two-story Garden Motel at 1690 Broadway and in its place build a five-story hotel flagged with the Holiday Inn Express & Suites brand.

The project would feature 92 rooms and total 80,441 square feet, according to city Senior Planner Jennifer Savage. The hotel would also have a total of 84 on-site parking spaces—55 below grade and 29 on the surface level.

The project is still in the planning-application process and has yet been scheduled for a hearing, Savage said. The project lists Viren Patel as the developer and applicant.

Project representatives could not immediately be reached for comment.

On its Web site, the Garden Motel is described as “a cute little family-owned motel … under the same ownership for over 25 years.”

The motel is “perfectly situated” in downtown “within walking distance to everything you need” such as Kaiser Permanente hospital and a Caltrain station, the Web site also noted.

But compared to an outdated motel, a new hotel could take better advantage of the location. The mid-priced Holiday Inn Express chain caters to business and short-stay travelers. It offers free breakfast, high-speed Internet access, 24-hour business services, a fitness center and other amenities. The franchise is part of the global hospitality company InterContinental Hotels Group.

The hotel proposal reflects surging hospitality activity in the area amid continued robust economic conditions. Other hotel projects nearby include the four-story, 204-room Residence Inn in San Carlos and the 11-story, 250-room Marriott Autograph Collection in Menlo Park. The Marriott hotel will be part of the 16-acre mixed-use development called Menlo Gateway.

A market forecast by commercial real estate services firm Marcus & Millichap indicated that room demand across California is expected to grow as key industries expand and payroll rises, leading to increased business travel for meetings and events as well as leisure trips by new employees.

According to the Marcus & Millichap report, hotels statewide this year will see occupancy rise 100 basis points to 75.7 percent, the average daily rate paid for rooms sold go up 5.8 percent and the revenue per available room advance 7.3 percent.