What continues to be one of the biggest thorns in the side of retail real estate?
A misguided bureaucratic blight, parking regulations negatively impact retail properties on just about every level.
At one end of the spectrum, you have new retail developments that are forced to dedicate half their construction budget to building towering parking garages or massive subterranean lots.
And at the other end, you have urban strip centers compelled to refuse a whole class of tenants because their use-type will never meet (what often amounts to arbitrary) parking requirements.
Meanwhile, municipalities are laboring under outdated and outmoded urban planning models that fail to take into account seismic shifts in human behavior. Population redistribution, which has brought more residents into urban areas, the expansion of public transportation, the proliferation of ride-sharing services like Uber and Lyft, and scooter rental services like Bird and Lime are all factors mitigating the need for massive parking accommodations. And these shifts demand a reevaluation of traditional parking regulations.
Fortunately, there’s some light at the end of the tunnel. Ever on the cutting-edge of innovation, San Francisco recently announced plans to discard parking requirements and look to innovation to resolve the issue.
The question now: Will other densely populated cities, like, say, Los Angeles, follow San Fran’s lead and revise their take on parking regulations?