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Government policies that distort parking is one thing, prohibiting free-market approaches such as bundling or subleasing spaces is another.

Bundling the spaces has significant efficiencies. It means that a building owner can guarantee parking to a new tenant because the space is not already committed, and for the tenant, there is no need to arrange for parking separately. In a regime without bundling, buildings will either be limited in offering parking to tenants who want it or will have to overbuild parking to make sure there is enough "max" capacity for when tenant demand increases.

Also, if a retailer wants to subsidize parking in order to drive sales, why should there be interference with that? Stores provide subsidies on various things to drive sales (start with credit card users)--why prohibit only this one, particularly when the cross-subsidy is relating to private property, not government provision of parking.

by ah on Oct 22, 2012 2:19 pm • linkreport

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