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Be it a residential or commercial area, or any public places like parks and transportation stations, developers need to create parking spaces. These are an inevitable necessity. However, demand for accessible parking space is higher than supply as it is a valuable service. Of course, the intensity of the matter differs from one emirate to another. For instance, Abu Dhabi has a much worse parking problem compared to Dubai and Sharjah.
Parking becomes an even bigger issue for residents who possess more than one car since majority of property owners allot one parking space for one-bedroom and two bedroom units. People living in three, four or five-bedroom apartments or villas can get two or more additional parking spaces. The unavailability of parking spaces discourages guests from accepting invites at places where parking facilities are less or unavailable as they spend a considerable time searching for a parking space particularly during peak hours. A similar situation arises for commercial property owners like roadside shops or offices, thereby affecting their business unfavorably as customers find it tedious. For example, the shopping areas of Deira and Bur Dubai.
Car parking is a huge concern for owners, but not investors. In fact, customers definitely ask about a car park when renting or purchasing properties. Deals can go for a toss if this basic amenity is not provided. For example, units at a tower in Business Bay may become tougher to sell because it does not provide parking spaces. Other parking woes include narrow entrances to parking areas, additional parking spaces that cannot be sold to outsiders, and the fact parking units alone cannot be registered with the Land Department.
Parking is big business in the realty sector. Some developers charge exorbitant rates for parking spaces in parking bays. For example, the fees per parking space at Jumeirah Lakes Towers, Business Bay and Dubai International Financial Centre can go as high as Dh60,000, and in the Burj Khalifa area to as much as Dh125,000.
The need for different solutions to this issue has become quite acute. More parking bays, free parking, underground parking lots, and robotic parking could meet the demand for parking spaces.
• The business of parking has a significant contribution to the realty sector
• Sector has a long way to go in terms of meeting the supply-demand gap
• Underground and robotic parking can help satisfy demand for parking space
Source: Arva Shikari, Special to Properties
The writer is a freelancer