Hines, Morgan Stanley Real Estate Funds Will Develop The Cove At Oyster Point

SOUTH SAN FRANCISCO-A joint venture of Morgan Stanley Real Estate Funds and Hines has secured environmental and design approvals for a major mixed-use project located on 20-acres in South San Francisco. The Cove at Oyster Point will include 600,000-sf of Class A mid-rise office space, a 350-room four-star hotel, and 20,000-sf of ground-floor retail space that is being reserved for prominent retailers. Groundbreaking is scheduled to being spring 2001.

Hines, master developer for the project, will develop the 600,000-sf office space in three buildings, ranging from seven to nine stories tall. The buildings will feature two-story lobbies, floor-to-ceiling glass and a state-of-the-art under-floor HVAC and communications distribution system to allow for individually controlled work environments. Korth Sunseri Hagey of San Francisco is designing the building and The Guzzardo Partnership is handling the landscape design.

“The Cove has the distinguished advantage of being the only Class A development on the San Francisco Peninsula that is situated on both the highway (101) and the Bay,” says Jim Buie, executive vice president at Hines. The project is also unique in that it will be served by both BART and Caltrain, the two major transit alternatives in the Bay Area.

The four acres on which the hotel will sit is currently under contract to Western International, a Dallas-based hotel development company based. Western is working with Marriott International to develop and operate a full service hotel.