Parking Eats Up Valuable Square Footage. Modern Solutions Can Help

As land values soar and density restrictions tighten, developers across the U.S. are rethinking one of the most overlooked components of real estate design: parking.

Once viewed as a static necessity, parking is rapidly evolving into a dynamic profit lever — thanks to the rise of mechanical and automated parking systems.

“Parking can sometimes kill a project,” said A.J. Jenkins, director at The Automated Parking Co. “I’ve seen deals where a conventional parking design sank the entire pro forma. By implementing modern, stacked or automated systems, developers can flip that equation entirely.”

Turning Square Footage Into Revenue

In the economics of development, every square foot matters. Traditional parking consumes valuable space that could otherwise be used for high-value revenue drivers — residential units, office floor plates, amenity spaces or retail.

The Automated Parking Co.’s range of solutions, from mechanical stackers and semiautomated puzzle systems to fully automated parking facilities, turntables and vertical reciprocating conveyors, are designed to reclaim valuable square footage and real estate. The company’s value proposition is simple: maximize parking efficiency to unlock additional sellable or leasable space, Jenkins said.

Founded four years ago by parking industry veterans, The Automated Parking Co. is among a select few firms that both manufacture and install their own systems — serving as a full-spectrum partner from design consulting and engineering to postconstruction support.

“From concept to commissioning, we manage every phase,” Jenkins said. “That vertical integration ensures quality, accountability and on-time delivery.”

When 4 Levels Become One — And Profit Multiplies

Jenkins recalled a multifamily project that illustrates the power of automated design. A developer had planned four stories of conventional parking, but the numbers didn’t pencil. The Automated Parking Co. was hired to rethink the client's design approach by replacing the antiquated conventional parking scheme with automated stacked parking.

“Using our semiautomated system, we reduced four levels of parking down to one,” Jenkins said. “That redesign created enough space for 18 additional condo units, each unit projected to sell for a minimum of $3M. In just two days, our team unlocked $54M in new value, transforming a stalled project into one that’s now fully financed and slated to go vertical in 2026.”

In another instance, a space-constrained developer wanted to add a fitness center but had no available footprint. The Automated Parking Co. compressed the parking layout, freeing up 22K SF for new amenities — including a coveted restaurant.

“When integrating our automated or mechanical parking systems, we often find two primary value adds,” Jenkins said. “Either we capture two to four times the number of spaces within the same footprint as conventional parking schemes or we shrink that footprint by 60% to 80%. Either way, we’re giving the project flexibility and a financial upside.”

He added that beyond developer economics, automated parking also enhances the end-user experience.

“Why should residents or tenants circle up and down five, six, seven or even eight levels of a conventional labyrinthine garage when they can simply pull in at grade, step out, and head directly to their home or office?” Jenkins said.

Expanding Nationwide — And Deep In Florida

The Automated Parking Co.’s portfolio spans major U.S. metros — including New York, Boston, Miami, San Francisco, Seattle and Los Angeles — but it is now gaining traction in emerging markets across the Midwest as land costs climb and density pushes outward from core urban centers.

“Ten years ago, 600-space automated parking projects were rare,” Jenkins said. “Now, that’s become standard. We’re seeing widespread adoption as architects and developers move away from outdated parking schemes and toward smarter, automated or mechanical parking models.”

The company has seen especially strong momentum across the U.S. In the Southeast alone, Jenkins said the company has 27 active contracts. As an original equipment manufacturer and self-performing installer, The Automated Parking Co. controls both product quality and schedule, a key differentiator in a market driven by speed to delivery, Jenkins said.

Marquee partnerships include Related Group, Witkoff, Coastal Construction, Kobi Karp, Arquitectonica, Ytech and more. Among The Automated Parking Co.’s innovations are the ability to install double mechanical stackers on sloped slabs up to 6.5%, a technical capability few competitors can match.

“Our automated parking solutions are driving the industry due to high-end component integration and technology that is unrivaled,” Jenkins said.   

In Miami Beach, The Automated Parking Co. is deploying a semiautomated system with Coastal Construction, featuring both on-grade and shallow subterranean levels. It recently handed over four additional projects in both Broward and Miami-Dade County.  

“Reducing excavation cuts cost and risk for our clients and offers an appeal that most other trades in the construction industry are unable to offer,” Jenkins said. “We offer a faster ROI when you weigh automated or mechanical parking systems against conventional parking schemes.”

Related Group Construction Manager John Deutschmann spoke about his experience working with the company, which recently completed his Casamar project, a luxury oceanfront residence in Pompano Beach, Florida. He said The Automated Parking Co. met his firm's expectations reliably and punctually while keeping the project's unique needs in mind. 

“The Automated Parking Co.'s approach to meeting our parking system needs was flexible to our design specifications and was successfully implemented,” he said. “We look forward to working with The Automated Parking Co. to meet our future multifamily parking needs.”

A Veteran Team Driving Industry Change

Jenkins credits the company’s success to its experienced team of industry specialists.

“I’ve been in this business for a decade, and I can say this is the most capable group I’ve worked with,” he said. “We have senior project managers and field installation crews that excel at their roles. We combine veteran insight with new technical talent — a mix that allows us to tailor the right solution for every project.”

As urban cores densify and developers continue to chase yield, mechanical and automated parking systems are moving from novelty to necessity. 

“Firms like The Automated Parking Co. aren’t just changing how vehicles are stored,” Jenkins said. “We’re reshaping how real estate value is created.”

This article was produced in collaboration between The Automated Parking Co. and Studio B. Bisnow news staff was not involved in the production of this content.

Studio B is Bisnow’s in-house content and design studio. To learn more about how Studio B can help your team, reach out to studio@bisnow.com.