The Impact of Rooftop Parking on Property Value

04.08.24

Increasing a property's value is always beneficial — there are no downsides to enjoying a higher return on investment. Several add-ons can increase a commercial housing property's value, one of those being rooftop parking structures. 

Parking spaces are solid investments for any apartment building owner, and the impact of rooftop parking on property value can be significant. Apartment buildings and commercial housing properties that offer parking for employees, visitors, and tenants can help reduce traffic congestion in the area, enhance the tenant experience, and promote a sense of trust by making tenants feel their vehicles are safe.  

Introduction to Off-Street Parking and Property Value

While off-street parking might seem like a nice-to-have feature — and not a necessity — it offers many benefits for commercial housing building owners and tenants. 

Parking will always be essential. With more than 283 million registered vehicles in the United States, solving the issue of parking is crucial for apartment building owners. And as cities become more densely packed, property owners have to get creative about parking solutions. 

Offering convenient parking options leads to these advantages:

• Convenience for tenants: In bustling cities, good parking spots are scarce, and they typically come at a premium price. Commercial housing businesses that offer off-street parking differentiate themselves from other properties and can enhance the tenant experience. Rather than drive circles around the building looking for a parking spot — knowing they have a trunk full of groceries — tenants can drive home knowing there's a convenient spot waiting for them. 
• Vehicle safety: Installing lighting fixtures throughout an off-street parking area can give tenants peace of mind that their vehicles will remain safe while they relax in their homes. Lights can also help individuals feel safer when walking to their cars at night. Parking areas can also be built to accommodate surveillance cameras and other security features. 
• Differentiation: Offering off-street parking spaces helps differentiate one commercial housing business owner's property from their competition. 
• Potential for high return on investment: Because of the high demand for good parking spaces, especially in densely populated areas, commercial building owners who offer off-street parking can enjoy increased profits. They can charge higher monthly prices for premium spots in exchange for a guaranteed place to park. Additionally, because vehicles are a pretty permanent part of life, the income generated from a parking area is generally quite stable and low-risk.

Does Off-Street Parking Add Value to a Property? 

While it's no secret that driveways can add substantial value to a home, is the same true for commercial housing properties like apartments and condos? In many cases, yes. 

Individuals with cars often prioritize apartment buildings that offer parking, especially in cities where parking may otherwise be difficult to find. Covered parking is a bonus — roofs or parking lot covers keep vehicles safe from elements like hail and offer a solid alternative to garages in areas where there is not enough space for each tenant to have a garage. 

Additionally, many drivers are making the switch to electric vehicles (EVs) and may want to live somewhere that offers charging ports for their vehicles. Off-street parking areas also offer the potential for incorporating solar-powered covers. Accommodating these parking-related needs can increase a commercial property's value. 

Adding Parking Spots to the Top Decks of Parking Garages

Commercial housing properties in large cities often offer parking in the form of parking garages, and a growing number of municipalities are requiring some form of shade over the top deck. Without these shades, tenants may be hesitant to park on the roof because of worries about hail and UV damage. 

However, building an enclosure for the top deck can be very expensive. They also don't do anything for a building's aesthetics. Luckily, there's a solution. 

At VPS, our rooftop parking solutions can protect vehicles from elements like heat and hail at 15%-25% of the cost of a full top-deck enclosure. Our covered parking solutions are also visually pleasing and can be paired alongside accessories like lighting and surveillance equipment for optimal functionality. We can even work alongside a housing property's structural engineer to determine the optimal parking structure for the building.

One excellent option is to install cantilevered structures. Cantilevers do not have columns, which suits rooftop parking garages, allowing for more space without impeding drivers or pedestrians. And to offer even more protection for your tenants, business owners can install covered walkways to ensure tenants remain protected from hail and sunlight on the walk from their vehicle to the elevator. 

The Role of Rooftop Parking in Commercial Properties

Rooftop parking increases a commercial property's value and plays a vital role in space optimization and tenant attraction and retention. 

Space Optimization

Maximizing property usage is always a consideration for builders, commercial property owners, and even municipalities. Rooftop parking can help housing property owners optimize parking garage space: 

• Space-saving: Parking garages make efficient use of limited space in densely populated areas. Covered parking on the roof allows even more tenants to park their cars. 
• Reduced land costs: Business owners who need more parking spaces for tenants will not have to purchase land for a new parking garage or ground-level lot. Instead, they can add spaces to the existing parking garage roof. 

Traffic Flow

Urban sprawl is the rapid expansion of cities and towns. While there are many economic benefits of expansion, there are also challenges to consider, including an increase in traffic congestion and pollution. Rooftop off-street parking can be an effective solution for some of these issues, such as congestion. Parking on the street crowds the road, while off-street parking helps keep roads clear and improves traffic flow. 

Tenant Attraction and Retention

Rooftop parking serves as an extra amenity for tenants. Like other rooftop features — think rooftop swimming pools, terraces, dining areas, and bars — covered parking spaces can attract new tenants and help retain existing tenants. 

Offering covered rooftop parking shows that property owners care about their tenants' vehicles. It emphasizes that they prioritize tenant comfort and convenience, which is appealing to any renter. Additionally, rooftop parking areas are very versatile and can accommodate more than vehicles — although vehicles should remain the primary focus. To optimize the space further, architects can incorporate features like a rooftop garden or an area for enjoying the high-rise view. This adds to the value of the parking area. 

Renewable Energy Integration

Regular parking lots sometimes raise environmental concerns. Large amounts of land must be cleared to make way for them, leading to natural habitat loss. Additionally, traditional asphalt parking lots can raise air temperatures. 

Fortunately, covered rooftop parking structures offer some environmental benefits. Here are a few ways architects can implement renewable energy systems into rooftop parking spaces and appeal to the eco-conscious tenant:

• Optimizing land use: Optimizing existing roof space allows more tenants to park without having to clear away land. 
• Adding solar panels: Large rooftop areas are ideal spaces for adding solar panels. Solar panel-covered parking structures help generate clean energy for commercial buildings and can help building owners save on energy costs, all while keeping vehicles protected from the elements. Building owners could also enjoy state tax incentives for installing solar panels. Solar panel installation can also ensure business owners comply with government mandates, such as Denver's green roof initiative. 
• Having a charging station for electric vehicles: Offering charging ports for people who drive EVs is another excellent way to retain tenants and create a more environmentally friendly commercial building. 

Practical Considerations for Implementing Rooftop Parking

Adding a covered rooftop parking structure is a worthwhile investment. Receiving professional guidance can help businesses navigate the practicalities of implementing rooftop parking:

• Zoning and regulatory compliance: One of the first steps is approaching urban planning authorities to get the go-ahead for the project. An urban planner will help businesses understand state and city building code requirements. They may discuss ways to make the structure sustainable and aligned with the area's environmental initiatives and certifications. You can work with a professional parking structure installer for help in this area. 
• Structural assessments: Industry experts can provide a structural assessment to ensure the existing rooftop has the capacity to hold a covered parking structure and the weight of all those vehicles. This is imperative for safety and the structural integrity of the property. During the assessment, the industry expert will also determine whether the rooftop parking lot has sufficient sloping for draining. Without this, businesses can run into safety and maintenance issues down the line. 
• Accessibility: All tenants should be able to enjoy ease of access to the rooftop parking area, and the parking area must comply with the Americans With Disabilities Act (ADA). Working with a professional ensures that businesses receive a design that features convenient, ADA-compliant access from the ground level up. The aim is for all tenants and visitors to be able to make use of the parking area. 
• Compatibility with other features: Rooftops can be very busy areas even before undergoing renovations. There could already be plumbing and electrical fittings or equipment and air conditioners. Careful planning is needed to build parking structures around existing features while still creating a user-friendly space that has good flow and organization. These factors are also important to ensure the design is visually pleasing.  
• Layout and design considerations: Parking layout is a vital consideration for building an effective space that optimizes traffic flow, pedestrian traffic, and overall user experience. Will traffic be one-way or two-way? Will there be parallel parking options on the perimeter of the lot? Design is also necessary to consider. A well-thought-out design can match the existing aesthetic of the building. 

Covered Rooftop Parking FAQ

Navigate covered rooftop parking structures with answers to these frequently asked questions: 

What Challenges Do Rooftop Parking Spaces Solve for Commercial Property Owners and Tenants? 

Rooftop parking spaces solve several challenges for property owners and tenants. The parking area provides tenants and visitors with the convenience of an exclusive, on-site parking area. Tenants do not have to worry about finding parking on the road. Plus, property owners can add lighting or surveillance equipment to the covered parking solutions to increase tenant safety and keep vehicles secure. Covered rooftop parking solutions also protect vehicles from the elements and offer unparalleled hail protection, so tenants do not have to be hesitant about heading up to the roof for parking.

For property owners, these structures are a far more cost-effective solution than building enclosures. As an added benefit, they are much more visually pleasing than harsh concrete enclosures. They can also encourage tenant retention and attract new tenants. 

What Is the Most Important Consideration for Building Rooftop Garages?

While there isn't one most important consideration for adding rooftop parking to a building, structural capacity, building regulations, and compliance should be primary focuses. Working with a professional service ensures that any added structures comply with local building and safety requirements. 

How Can Businesses Make Rooftop Parking Spaces as Efficient as Possible? 

There are several ways to optimize a rooftop parking area. The first is working with a leader in covered parking structures to find the best solution for the building. Businesses that work with VPS to find covered parking structures for rooftops can explore options that maximize flow, accessibility, and other key factors. Businesses can also make the space more efficient by looking into ways to integrate renewable energy systems, such as choosing solar panel-covered parking solutions. 

Enjoy the Advantages of Rooftop Parking With VPS

There will always be a need for features that help people keep their assets, like their vehicles, more secure. For businesses curious about adding a rooftop parking garage, now might be the best time to consider renovations. The value of off-street parking is likely to keep increasing as inner-city and suburban areas become more densely populated. Off-street parking is a valuable amenity that tenants will always be searching for, and adding parking spaces to the roof of the parking garage offers an excellent way to maximize space. 

Instead of enclosing the rooftop spaces with concrete, work with VPS to install innovative and functional covered parking structures. 

At VPS, we pride ourselves on being industry leaders in covered parking solutions that add great benefits to a commercial property or business. With the manufacturing capabilities to cover thousands of parking spots, we can help you find the best option for your commercial housing property. 

We have over three decades of experience, which equips us to design, manufacture, and install premium parking structures that protect vehicles from the elements, including hail and UV damage. Our facilities are accredited by the International Accreditation Service (IAS), so businesses enjoy peace of mind knowing that we comply with industry standards. Explore our range of covered parking structures for rooftops, or consult with VPS today to discuss rooftop parking needs or request a quote.