The Parking Advisors team has provided parking investment advisory services across the Austin area for existing assets and new developments. The team is recognized for having Austin's leading parking consultants. We are familiar with the market's parking demand drivers and trends.
Austin's Leading Parking Consultants
Parking Advisors is a national parking consulting firm that has done extensive work in Austin Texas.
Key Demand Drivers
Parking Advisors analyzes the supply and demand fundamentals of each parking facility it works on to understand the potential risks and upside opportunities. Some of Austin’s primary demand drivers are listed below:
- South by Southwest – South by Southwest, also known as SXSW, is an annual festival of film, interactive media, and music festivals that takes place in March. The event typically lasts for 10 days: film for nine days, interactive media for seven days, and interactive media for five days. In 2019, the event drew in roughly 417,400 total attendees. The SXSW website advertises the City of Austin’s website which will outline the various parking options in Austin for the event goers.
- Circuit of the America’s – This motor racing track is host to the Formula One United States Grand Prix, the IndyCar Classic, and the Motorcycle Grand Prix of the America’s, and more. The track has a capacity of over 120,000 fans. The track has multiple 3-Day parking options to accommodate fans; however, there is parking demand that overflows into nearby facilities.
- ACL Music Festival – The Austin City Limits music festival is one of the largest music festivals in the United States. Taking place in Zilker Park, ACL Festival spans over two weekends, where over 130 bands/performers perform on one of eight different stages. There is no parking provided in the neighborhoods around the park and street parking is minimal; therefore, attendees are directed to park downtown. This music festival results in a large spike in parking demand for downtown facilities.
- Convention Center – The Austin convention center is located in the heart of the downtown area. The venue has a capacity of 3,200 and is host to events including: Jurassic Quest, FinCon, the Annual Conference & Trade Show, and more. The convention center offers parking at two associated parking facilities located within a couple blocks. These garages have over 1,650 parking stalls; however, larger events may cause demand to overflow into other facilities that offer a competitive rate.
- Night & Weekend Traffic – The city of Austin is known for its bars and nightlife, specifically on West 6th Street and Rainey Street. These bars are known to have live music that will draw in large crowds. These attractions in downtown Austin will contribute night and weekend parking demand to the facilities located close to the bars.
According to the Austin Business Journal, there was 13.6 million square feet of real estate developed in 2021 compared to 13.4 million square feet developed in 2020. This trend is assumed to persist with multiple large developments under construction that will affect overall parking demand in the market:
- Moody Center – The University of Texas and the Moody Foundation contributed over $550 million to develop a new basketball arena for the Longhorns. Moody Center will have a capacity of 10,000 fans for University of Texas basketball games and will be able to fit 15,000 for other events. The stadium is expected to have on-site parking; however, there will be demand overflowing into surrounding parking facilities. This development is expected to open in 2022.
- Innovation Flagship Tower – Part of the former Brackenridge hospital campus, the Innovation Flagship Tower will be a 17-story, 324K square foot office building. The development will be located just West of the Interregional Highway on 15th Street and is a centerpiece in the overall redevelopment of the Medical District. The development is noted to include a parking garage capable of occupying 900 vehicles. This development is projected to open in the spring of 2022.
- Capitol Complex – The state government is investing nearly $900 million into a project that will bring in more than 3,000 workers into the heart of downtown Austin. The development will include 4 office buildings totaling roughly 1.5 million square feet, a pedestrian-friendly promenade that will host public gatherings and festivals, and a below-grade parking facility that will have capacity for over 3,000 vehicles. The development is separated into two phases; the first phase is scheduled to deliver in May 2022 and the second phase is projected to deliver in 2025.
- Austin American Statesman Site – This is a massive development located on the 18.9-acre tract at 305 S. Congress Avenue. The development includes six or seven office buildings, from office towers as high as 40 stories to condominiums or apartments, one or two hotels, retail and restaurant space, and possibly a grocery store. The development also includes a substantial amount of parking. There will be roughly 3,700 parking spaces underground and 300 above ground. There are a few buildings that have been approved in this development; however, there is no timeline when everything will be completed.
Austin has two main public transportation options, the Capital Metro Bus System and the Metrorail. The buss system downtown offers 82 different routes with roughly 1,600 buses operating at a given time. Passengers will download the CapMetro app to pay $2.50 for a day pass. The Metrorail is a 32-mile line that stretches from Leander to downtown Austin next to the Convention Center. The train operates six days a week, with service until around 7:00pm Monday through Thursday, 1:30am on Friday, and 2:30am on Saturday. A day pass will cost passengers $7.
The current parking tax rate in Austin, TX is 8.25%. The sales tax breakdown is as follows: 6.25% for the state of Texas and 2.0% for the city of Austin.