Dubai’s Parkin to expand operations in shopping malls, airports and new development areas

Parkin, the public limited company tasked with operating and managing public parking spaces in Dubai, is considering expanding its services to privately owned developments, including shopping malls, airports and other high-traffic facilities, the company said on Tuesday.

Leveraging its experience and technology, Ahmed Hashem Bahrozyan, Chairman of the Board of Directors of Parkinsaying:

“We are planning to expand into developments and private properties as part of our expansion plans. We have nearly 30 years of experience and end-to-end solutions. “We have the right to compete for parking services in shopping centers and other private developments.”

Parkin, which was created as PJSC in January this year, has a 49-year concession agreement with RTA to manage and operate

“All existing and new public car parks in Dubai”.

Parkin currently operates around 179,000 paid public parking spaces and has seven contracts with private developers to manage approximately 18,000 parking spaces, “with significant potential for expansion in existing and developing areas.”

BahrozyanHowever, he clarified that the decision to implement paid services in shopping centers or hypermarkets will remain in the hands of real estate developers.

“If shopping centers want to charge for parking or (for the service) to remain free, it will be their management’s decision,”

told reporters during Parkin’s announcement about the launch of an initial public offering (IPO) and listing on the stock market. Dubai Financial Market (DFM).

In December last year, Salik – Dubai’s first entity Roads and Transportation Authority (RTA) which became PJSC in June 2022, announced the implementation of “barrier-free paid parking services” at Dubai Mall that will come into operation in the third quarter of 2024. The mall has more than 13,000 parking spaces, which are free at the moment.

Other shopping centers and hypermarkets already apply parking fees, but they all use a barrier system. At the Mall of the Emirates, for example, parking is free only for the first four hours of Monday to Friday (Monday to Friday). After that, a parking fee applies for each additional hour or part of an hour: from ADH 20 for five to six hours of parking, up to ADH 350 per night. Parking is free on weekends and holidays.

Expanding operations

Parkin CEO Mohammed Al Ali reiterated that the company is actively exploring multiple opportunities to expand agreements with private developers across Dubai.

He stressed

“It is feasible for the company to expand its operations in shopping malls, given that Parkin manages 91 percent of all parking operations (public and private) in Dubai.

He added in a statement:

“Parkin will operate at the heart of the city’s exciting and ambitious growth plans. Powered by market-leading technology with robust digital infrastructure and a highly experienced management team, we will continue to improve and expand our ability to provide seamless, sustainable and innovative mobility solutions and services to make every trip in Dubai a memorable experience. world class for decades to come.

Al Ali He noted that 90 percent of Parkin’s transactions are digital. It offers six payment channels, including parking meters and payment through RTA App; AppClip (via QR code); WhatsApp; Seasonal parking cards and SMS. Payment for parking can also be made with ApplePay, as well as Nol, debit and credit cards; and cash.

Parkin also digital surveillance and smart parking inspection to scan cars. It is also implementing completely digital and paperless fine notification and payment.

Parkin also uses artificial intelligence tools to estimate parking availability for electric vehicle (EV) customers and parking availability for people of determination.

Tariff adjustments

As part of the concession agreement,

“Parkin has the right to submit applications to the RTA to accelerate the launch of new parking facilities within existing and busiest developing areas in Dubai”

There is also a well-defined mechanism to protect Parkin against future impacts of inflation, requiring the Company to formally request a rate adjustment every two years to reflect the cumulative impact of inflation.

The Dubai Executive Council reserves the authority to approve any requested changes to fees to ensure that the revisions protect investors; are aligned with Dubai’s social objectives; and form a fair framework for customers.

News Source: Khaleej Times