There are approximately 253 million registered vehicles in the U.S.† – or roughly two per household.‡‡ For investors, parking may provide a host of benefits, including:
Hedge against inflation
Should inflation rise, parking facilities can react more quickly than other real estate assets, as rates can be adjusted daily, or even hourly.
- Low operating and maintenance costs
- Minimal labor expense, especially as automated services grow
- No expensive tenant improvement or leasing commission costs
- Potential for long-term capital appreciation
- Redevelopment opportunities
- Fragmented Industry
- Heavy demand – population growth in U.S. cities*
- There are approximately 13,010 parking facilities in the United States**
- There are approximately 253 million registered highway vehicles in the United States.†
- From 1990 to 2009 the number of state motor vehicle registrations has increased by approximately 30 percent.††
*According to 2010 U.S. Census data, the U.S population is projected to increase by 131 million people in next 40 years
**See 2012 U.S. Census and Federal Statistics – published in “Anything Research” annual publication.
† U.S. Department of Transportation, Highway Statistics, annual. See also, www.rita.dot.gov/bts/sites/rita.dot.gov.bts/files/publications/national_transportation_statistics/html/table_01_11.html
†† U.S. Federal Highway Administration, Highway Statistics, annual.
‡‡ U.S. Census Bureau