The self-driving car trend could impact development strategies

Los Angeles /
May.May 16, 2017 12:50 PM

The utopian idea of self-driving cars roaming the streets of L.A. has some real estate professionals scratching their heads.

Many think the trend could lead to massive roadway and traffic redesigns, which could drastically reshape real estate development patterns.

The most significant change could be a reduced need for parking, meaning that developers won’t need to worry about factoring in the costs of including parking spaces in new developments, Curbed reported. Developers such as AvalonBay Communities are already trying to accommodate for the change by building parking garages specifically designed to be convertible to retail or office space once demand for parking space lessens.

It’s also likely that developers will begin partnering with companies such as Uber or Lyft, rather than building out parking spaces, Curbed said.

“Developers will start using the promise of AV and driverless cars to realize net savings,” said Don Elliott, a zoning consultant and director at Clarion Associates. “It’s not necessarily cheaper, but more space can be used for commercial or residential purposes.”  [Curbed]Subrina Hudson


Related Articles

arrow_forward_ios
The San Pedro Fish Market is one of the top-grossing restaurants in the U.S. (Getty, Facebook via San Pedro Fish Market and Restaurant / Photo Illustration by Alison Bushor for The Real Deal)
San Pedro Fish Market plans new “supersize” restaurant
San Pedro Fish Market plans new “supersize” restaurant
The Chateau Marmont (Getty) and protest signs (Unite Here Local 11)
Chateau Marmont workers say iconic West Hollywood hotel misused rescue funds
Chateau Marmont workers say iconic West Hollywood hotel misused rescue funds
Small Business Administration administrator Isabel Guzman (Getty, iStock)
Starved for relief: Restaurants seek $76B, far more than budgeted
Starved for relief: Restaurants seek $76B, far more than budgeted
Goodman CEO Greg Goodman and a rendering of the facility. (Goodman)
Goodman’s massive logistics center will target e-commerce tenants
Goodman’s massive logistics center will target e-commerce tenants
California is waiting to adopt the CDC maskless decision. (Getty)
California still says mask up at office, for now
California still says mask up at office, for now
Hudson Pacific Properties CEO Victor Coleman with 3400 Hillview and 3176 Porter (Getty, HPP)
Hudson Pacific posts profit after 2 straight quarters of losses
Hudson Pacific posts profit after 2 straight quarters of losses
Mariposa on 3rd
CGI Strategies secures $42M loan on Koreatown apartment complex
CGI Strategies secures $42M loan on Koreatown apartment complex
Gov. Gavin Newsom with Doug Ose and John Cox (Getty, Twitter)
Real estate execs among challengers in Newsom recall
Real estate execs among challengers in Newsom recall
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...