The Planning Board on Thursday will hold a public hearing on a rezoning proposal by M11 Realty LLC for its plan to construct a Mercedes-Benz dealership at 80-82 Cambridge St., the former location of Palomar Medical Technologies. MII Realty is the legal entity created for the project by the developer, Collection Auto Group of Ohio, whose principal is Bernie Moreno. The board will also open a public hearing into a proposal by National Development to construct a a 294-seat restaurant at 15 South Ave., currently the site of an overflow parking lot for AMC Burlington Cinema. The plan also calls for reducing the number of screens in the theater, which is across the street at 20 South Ave. Don Benjamin, Burlington’s senior planner, said scaling back the cinema would reduce the number of seats from 2,400 to 1,800 and would allow the theater to place all its parking on site. National Development seeks two special permits and a minor engineering change for the project, which also calls for restriping the parking lot. The board will open another hearing on an application by Oracle America for a special permit and site plan approval to build a 125,000-square-foot building and a parking garage on Van de Graaf Drive, part of its campus off South Bedford Street. Town Meeting recently approved a zoning change for the site.