Residents in six prominent Dubai neighborhoods will soon encounter an increase in paid parking spaces, accompanied by higher fees for premium spots.
Paid Parking Expansion in Dubai
Parkin Company obtained a contract to handle the management of over 7,000 parking spaces throughout Dubai following a successful initial public offering (IPO).
For the next four years, 7,456 parking spaces will be overseen, managed, and enforced by Parkin. This encompasses the sole authority to levy penalties for infractions of parking regulations. Civil work, including the installation of parking meters, signage, road markings, and bollards if needed, will be required to make these adjustments. The goal for Parkin is to have complete command and regulation over these areas by the month's end.
Operational Hours and Tariffs
The new parking spaces will be operational from 8 a.m. to 10 p.m., Monday through Saturday. The introduction of these spaces will come with specific tariffs for each location, providing residents with a structured and regulated parking system.
Eng. Mohamed Abdulla Al Ali, CEO of Parkin, regards this agreement as a pivotal element in the company's growth strategy. He emphasizes the potential for significant revenue growth and the chance to demonstrate the company’s operational and technological expertise.
According to Al Ali, Parkin has a great deal of room to expand into private developer areas where there is paid parking, even though developer-owned parking only makes up around 10% of their overall revenue. Our well-known operational excellence, technology expertise, and enforcement capabilities can be showcased in this opportunity.
Earlier, Parkin had announced a reduction in the number of developer-owned parking spaces managed during the first half of 2024, from approximately 17,800 to around 10,000. This decrease was attributed to changes in the terms of an agreement with a developer in the Al Sufouh area. The developer decided to reallocate off-street spaces previously managed by Parkin to cater to its commercial tenants.
The implementation phase will involve necessary civil engineering tasks to prepare the parking spaces for use. By the end of the next month, Parkin aims to have the full operation, management, and enforcement system in place. The new parking spaces are expected to enhance the convenience and orderliness of parking in these key areas, ultimately benefiting both residents and the company.
Parkin Company's new agreement to manage over 7,000 parking spaces in Dubai represents a significant step in its growth strategy. With the introduction of higher fees for premium spots and an emphasis on technological and operational excellence, Parkin aims to enhance its revenue streams and establish a more regulated parking system in the city. Despite the recent reduction in managed spaces due to reallocation by a developer, Parkin remains focused on expanding its presence and showcasing its capabilities in the Dubai market.