Future parking: New Quantum Focus confirms the relevance of parking spaces

Hamburg, 22/11/2023 | ‘Car parks will not lose their raison d'être, even against the backdrop of the politically desired mobility transition,’ says Dr André Scharmanski, Head of Quantum Research, referring to findings from the latest edition of Quantum Focus, a study on the future of parking. Electrification and digitalisation, the crisis in inner-city retail, the establishment of home offices and the desired transport and climate transition in cities bring with them challenges, but also opportunities that have the potential to fundamentally change the parking space market. The new Quantum Focus discusses the various development trends and derives potential for users, operators and investors from them.

Car parks: relevance remains, adaptation must come

The car remains the undisputed means of transport in our society. Some experts (including Dudenhöffer 2022) even expect a further increase in the number of cars in Germany by 2050. The logical consequence: parking spaces and car parks will continue to be needed. However, some adjustments are necessary in order to remain competitive, such as the integration of charging infrastructure, the digitalisation of parking processes and infrastructure, or the combination with additional services and sharing offers.

Cars off the streets – but where to?

The car park segment is also being strengthened by public parking policies that are increasingly focused on removing on-street parking from the cityscape and reclaiming space for more compatible uses. In Hamburg, for example, there is only 10 m² of play area per child, while a car takes up an average of 13.5 m² of parking space. Many cities are seeking to improve this imbalance by converting parking spaces into pavements, green spaces, recreational areas or bicycle parking spaces.

Another factor contributing to the success of car park operations can be active cooperation between car park operators and cities and municipalities in order to profitably align their own goals with political objectives. In the future, new opportunities will arise, such as the relocation of resident parking to car parks or dynamic pricing depending on current traffic volumes.

Sustainability and parking

Sustainability has long been a topic of discussion in the parking asset class. The focus is still primarily on ecological sustainability in terms of charging infrastructure, green electricity and greening car parks. Less discussed, but equally important, are social aspects of parking such as safety, accessibility and health. This opens up new opportunities for differentiation that offer advantages not only for customers but also for investors against the backdrop of EU regulations.

The entire publication with further details, background information, graphics and statistics is available for free download in PDF format: Focus No. 40 - Zukunft Parken. (German only)