Developers have historically groaned at the entire notion of parking – a “necessary evil”; expensive to provide to tenants; the specific need for parking can vary widely from tenant to tenant.
As downtown Austin nightlife, valet parking for hotels and restaurants, festivals and events throughout the city generate a parking need, developers with well-located parking structures in the CBD and select suburban locations are turning what was a fallow investment after 5pm, into a robust and often times regular cash flow opportunity. And, this opportunity translates to real value – recent CBD trades have seen value attributable to parking revenue contribute well over $100 per square foot to overall valuation.
It’s all in the details – a difference of just a few blocks can matter – but effective management and operation can provide significant returns, both annually and on the exit. Our team at JLL would be happy to talk with you about this in further detail.
Regardless if you are an investor or a tenant, our team has vast amounts of research for Austin parking and can help you with your concerns.
Email Dustin Potter for information on parking.