Building & Investment (Nov- Dec 2018) November - December 2018 | Page 35

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ĂƌŬŝŶŐƐƉĂĐĞƐĂƌĞƐƵƉƉůŝĞĚĐŽŶƟŶƵĂůůLJ͕ŽǁŶŝŶŐƚŽƚŚĞŵŝŶŝŵƵŵƉĂƌŬŝŶŐƌĞƋƵŝƌĞŵĞŶƚƐ;DWZͿƚŚĂƚ
ƌĞƋƵŝƌĞŶĞǁďƵŝůĚŝŶŐƐƚŽŝŶĐůƵĚĞĂĮdžĞĚŶƵŵďĞƌŽĨƉĂƌŬŝŶŐƐƉĂĐĞƐďĂƐĞĚŽŶĂŶĂƐƐƵŵĞĚĚĞŵĂŶĚ
ĨŽƌƉĂƌŬŝŶŐŐĞŶĞƌĂƚĞĚďLJƚŚĞďƵŝůĚŝŶŐƐ͛ƵƐĞ͘tŚŝůĞDWZĂŝŵƐƚŽƚĂĐŬůĞƚŚĞŝŶĐƌĞĂƐŝŶŐĚĞŵĂŶĚĨŽƌĐĂƌ
ƉĂƌŬƐĚƵĞƚŽƚŚĞŚŝŐŚĐĂƌŽǁŶĞƌƐŚŝƉŝŶƚŚĞĐŽƵŶƚƌLJ͕ƚŚĞďŝŐŐĞƐƚĐŽŶĐĞƌŶǁŝƚŚDWZŝƐƚŚĂƚŝƚƚĂŬĞƐƵƉ
ƐƵƌƉƌŝƐŝŶŐůLJůĂƌŐĞƉƌŽƉŽƌƟŽŶƐŽĨĚĞǀĞůŽƉĞĚůĂŶĚ͘
 ƐƵƌďĂŶĂƌĞĂƐďĞĐŽŵĞŝŶĐƌĞĂƐŝŶŐůLJĐƌŽǁĚĞĚ͕ƵƌďĂŶƉŽƉƵůĂƟŽŶƐĂƌĞĚĞŵĂŶĚŝŶŐŵŽƌĞůŝǀŝŶŐƐƉĂĐĞ͘
WĂƌŬŝŶŐƌĞƋƵŝƌĞŵĞŶƚƐƐƉĞĐŝĮĞĚďLJDWZĐĂŶďĞƉƌŽďůĞŵĂƟĐŝŶĂŶLJƉĂƌƚŽĨĂĐŝƚLJ͕ĞƐƉĞĐŝĂůůLJŝŶƚŚŽƐĞ
ƉƌŝŵĞůĂŶĚĂƌĞĂƐ͕ƐŝŶĐĞŵŽƌĞƐƉĂĐĞƐĂƌĞŶĞĞĚĞĚƚŽĂĐĐŽŵŵŽĚĂƚĞƚŚĞƌĞƋƵŝƌĞĚƉĂƌŬŝŶŐĨĂĐŝůŝƟĞƐ͘/ŶŽƌĚĞƌƚŽĞŶƐƵƌĞ
ĂƉƌŽũĞĐƚ͛ƐĨĞĂƐŝďŝůŝƚLJŝŶƚŚĞƐĞƉƌŝŵĞůĂŶĚĂƌĞĂƐ͕ůĂƌŐĞƉŽĚŝƵŵĐĂƌƉĂƌŬƐĂƌĞŶŽƌŵĂůůLJĚĞƐŝŐŶĞĚĂŶĚďƵŝůƚďĞůŽǁƚŚĞ
ƚŽǁĞƌďůŽĐŬƐ͘ǀĞŶƚƵĂůůLJ͕ŶĞǁďƵŝůĚŝŶŐƐŝŶƵƌďĂŶĂƌĞĂƐďĞĐŽŵĞƚĂůůĞƌĂŶĚƉĂƌŬŝŶŐƐƚƌƵĐƚƵƌĞǁŝƚŚůĂƌŐĞƌĨŽŽƚƉƌŝŶƚ
ďĞĐŽŵĞƐƚŚĞĚŽŵŝŶĂŶƚĨĞĂƚƵƌĞŽĨƚŚĞďƵŝůƚĞŶǀŝƌŽŶŵĞŶƚ(Figure 1)͘
Figure 1: A high-rise building with a large parking podium. (Source: latimes.com)
ĞƐƚŚĞƟĐĂůůLJ͕ďƵŝůĚŝŶŐĚĞƐŝŐŶĂŶĚĂƌĐŚŝƚĞĐƚƵƌĞĂƌĞĐŽŵƉƌŽŵŝƐĞĚ͕ďĞĐĂƵƐĞƵŶĂƩƌĂĐƟǀĞůĂƌŐĞƉĂƌŬŝŶŐĨĂĐŝůŝƟĞƐ
ǁŝƚŚďůĂŶŬǁĂůůƐĂŶĚĞdžĐĞƐƐŝǀĞƐƵƉƉůLJŽĨƉĂƌŬŝŶŐƐƉĂĐĞƐŽǀĞƌǁŚĞůŵƚŚĞƉŚLJƐŝĐĂůůĂŶĚƐĐĂƉĞŽĨƚŚĞĐŝƚLJ͕ƚŚĞƌĞďLJ
ƵŶĚĞƌŵŝŶŝŶŐƚŚĞƋƵĂůŝƚLJŽĨƚŚĞƐƚƌĞĞƚ͘dŚĞƐŝƚƵĂƟŽŶďĞĐŽŵĞƐĞǀĞŶǁŽƌƐĞŝĨƚŚĞŽĐĐƵƉĂŶĐLJƌĂƚĞŽĨƚŚĞďƵŝůĚŝŶŐ
ŝƐůŽǁ͕ĂƐĞŵƉƚLJƉĂƌŬŝŶŐƐƉĂĐĞƐŽƵƚŶƵŵďĞƌĐĂƌƐ͘ǀĞŶŝĨƚŚĞďƵŝůĚŝŶŐŝƐĨƵůůLJŽĐĐƵƉŝĞĚ͕ĐĂƌƉĂƌŬƐĂƌĞŽŌĞŶ
ƵŶĚĞƌƵƟůŝƐĞĚ͗ƉĂƌŬŝŶŐĂƚŚŽŵĞƐƚĞŶĚƐƚŽďĞǀĂĐĂŶƚĚƵƌŝŶŐƚŚĞǁŽƌŬĚĂLJ͕ǁŚŝůĞƉĂƌŬŝŶŐĂƚǁŽƌŬǀĂĐĂŶƚĂƚŶŝŐŚƚ͘
PARKING OVERSUPPLY IN HIGH-RISE DEVELOPMENT
&ŽůůŽǁŝŶŐŐůŽďĂůĞĐŽŶŽŵŝĐĚŽǁŶƚƵƌŶ͕ƚŚĞĐŽƵŶƚƌLJ͛ƐƌĞƐŝĚĞŶƟĂůŚŽƵƐŝŶŐƐĞĐƚŽƌŚĂƐďĞĞŶǁŝƚŶĞƐƐŝŶŐŵŽĚĞƌĂƟŽŶŝŶ
ƐĂůĞƐƉĞƌĨŽƌŵĂŶĐĞ͘dŚŝƐŝƐƌĞŇĞĐƚĞĚƚŚƌŽƵŐŚƚŚĞĐŽƵŶƚƌLJ͛ƐƵŶƐŽůĚŝŶǀĞŶƚŽƌLJͲŝŶϮϬϭϳ͕ƚŽƚĂůŽǀĞƌŚĂŶŐƵŶŝƚƐƐƚŽŽĚĂƚ
Ϯϰ͕ϳϯϴƵŶŝƚƐ͕ďĞŝŶŐƚŚĞŚŝŐŚĞƐƚƐŝŶĐĞϮϬϬϵ͘KĨƚŚĞƐĞƵŶƐŽůĚƵŶŝƚƐ͕ϱϱйŝƐůĂŶĚĞĚĂŶĚƚŚĞƌĞŵĂŝŶŝŶŐϰϱйŝƐŚŝŐŚͲƌŝƐĞ͘
DŽƐƚŽĨƚŚĞƐĞƵŶƐŽůĚŚŝŐŚͲƌŝƐĞƵŶŝƚƐĂƌĞĐŽŶĚŽŵŝŶŝƵŵƐͬĂƉĂƌƚŵĞŶƚ͕ĐŽŶĐĞŶƚƌĂƚĞĚŝŶWĞŶĂŶŐ;Ϯϯ͘ϵϵйͿ͕^ĞůĂŶŐŽƌ
;ϭϴ͘ϳϮйͿ͕:ŽŚŽƌ;ϭϲ͘ϵϮйͿ͕ĂŶĚ<ƵĂůĂ>ƵŵƉƵƌ;ϳ͘ϲϳйͿ͕ǁŚŝĐŚĂƌĞƐƚĂƚĞƐƚŚĂƚĞdžƉĞƌŝĞŶĐŝŶŐƌĂƉŝĚƵƌďĂŶŝƐĂƟŽŶ͕ŚŝŐŚĞƌ
ƉŽƉƵůĂƟŽŶŐƌŽǁƚŚƌĂƚĞ͕ĂŶĚƚƌĞŵĞŶĚŽƵƐŝŶĐƌĞŵĞŶƚŽĨŚŝŐŚͲƌŝƐĞĚĞǀĞůŽƉŵĞŶƚƐƐŝŶĐĞůĂƐƚĚĞĐĂĚĞƐ͘
 /ŶƚĞƌŵƐŽĨƐĞƌǀŝĐĞĂƉĂƌƚŵĞŶƚ͕^K,K͕^K&K͕^KsKĞƚĐ͘ƚŚĂƚĂƌĞƉůĂĐĞĚƵŶĚĞƌƚŚĞĐĂƚĞŐŽƌLJŽĨĐŽŵŵĞƌĐŝĂů
ĚĞǀĞůŽƉŵĞŶƚďƵƚĂƌĞŽŌĞŶŵĂƌŬĞƚĞĚĂƐĂƌĞƐŝĚĞŶƟĂůƉƌŽĚƵĐƚ͕ƚŚĞƚŽƚĂůƵŶƐŽůĚƵŶŝƚƐŝŶϮϬϭϳĂƌĞϲ͕ϵϮϳ͘ƐŚŝŐŚĂƐ
ϵϮйŽĨƚŚĞƐĞƵŶƐŽůĚƵŶŝƚƐĂƌĞƐĞƌǀŝĐĞĂƉĂƌƚŵĞŶƚ͕ĂŶĚŵĂũŽƌŝƚLJŽĨƚŚĞŵĂƌĞĨŽƵŶĚŝŶ:ŽŚŽƌ;ϲϬйͿ͕ĨŽůůŽǁĞĚďLJ<ƵĂůĂ
>ƵŵƉƵƌ;ϭϵйͿ͕^ĞůĂŶŐŽƌ;ϭϳйͿ͕ĂŶĚWĞŶĂŶŐ;ϯйͿ͘
 /ŶƚŚĞĐĂƐĞŽĨƉƌŝǀĂƚĞůLJͲŽǁŶĞĚƉƵƌƉŽƐĞͲďƵŝůƚŽĸĐĞďƵŝůĚŝŶŐƐ͕ƚŚĞƌĞŚĂƐďĞĞŶĂŶĂďƵŶĚĂŶƚƐƵƉƉůLJŽĨŽĸĐĞƐ
ŝŶƌĞĐĞŶƚLJĞĂƌƐ͕ĂŶĚƚŚŝƐŝƐĞdžƉĞĐƚĞĚƚŽĐŽŶƟŶƵĞŽǀĞƌƚŚĞĐŽŵŝŶŐLJĞĂƌƐĚƵĞƚŽƚŚĞƐůŽǁĚŽǁŶŽĨƚŚĞDĂůĂLJƐŝĂŶ
ƉƌŽƉĞƌƚLJŵĂƌŬĞƚ͘dŚĞƚŽƚĂůĂǀĂŝůĂďůĞƐƉĂĐĞŝŶϮϬϭϳŝƐϯϴ͕ϭϬϯƐƋŌ͖ǁŚĞƌĞƚŚĞŵĂũŽƌŝƚLJŝƐĨŽƵŶĚŝŶ<ƵĂůĂ>ƵŵƉƵƌ
;ϭϵ͕ϭϴϲƐƋŌͿ͕ĨŽůůŽǁĞĚďLJ^ĞůĂŶŐŽƌ;ϵ͕ϱϲϯƐƋŌͿ͕:ŽŚŽƌ;Ϯ͕ϬϵϴƐƋŌͿ͕WĞŶĂŶŐ;Ϯ͕ϬϳϬƐƋŌͿ͕ĂŶĚWƵƚƌĂũĂLJĂ;ϭϱϭϯƐƋŌͿ͕
ǁŝƚŚƚŚĞƌĞƐƉĞĐƟǀĞĂǀĂŝůĂďŝůŝƚLJƌĂƚĞŽĨϮϭ͘Ϯй͕Ϯϲ͘ϭй͕Ϯϱ͘ϯй͕Ϯϯ͘ϰй͕ĂŶĚϰϳ͘ϰй͘
 dŚŝƐŝƐŝŶĚŝĐĂƟǀĞŽĨDWZĐƌĞĂƟŶŐƉĂƌŬŝŶŐŽǀĞƌƐƵƉƉůLJďLJƌĞƋƵŝƌŝŶŐŶĞǁƐƚƌƵĐƚƵƌĞƐƚŽŝŶĐůƵĚĞƉĂƌŬŝŶŐ͘tŝƚŚ
ĂďƵŝůĚŝŶŐƐƚŽĐŬĂŶĚƉĂƌŬŝŶŐƐƵƉƉůLJƚŚĂƚĂƌĞ͞ůŽĐŬĞĚͲŝŶ͕͟ƚŚĞƐƵƉƉůLJŽĨƉĂƌŬŝŶŐŝƐĨŽƌĐĞĚƚŽŬĞĞƉƉĂĐĞǁŝƚŚŶĞǁ
ĚĞǀĞůŽƉŵĞŶƚ͘ƐĂƌĞƐƵůƚ͕ƐƉĂĐĞƐĂǀĂŝůĂďůĞƚŽƉĂƌŬĐĂƌƐƌŝƐĞĨĂƐƚĞƌƚŚĂŶƚŚĞĚĞŵĂŶĚĨŽƌƉĂƌŬŝŶŐ͘
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