Non-aeronautical revenue is a critical source of income for airports, and parking is one of the largest of these sources. Yet ongoing and emerging shifts in customer ground access behavior, resulting from the growing use of Transportation Network Companies (TNCs) and eventual adoption of emerging technologies, are posing a significant challenge to airports’ reliance on parking revenue. Some airports are already seeing reductions in parking revenue, and many are imposing or modifying access fees to recover a portion of the lost revenue. While ACRP is undertaking research on the impacts on airport revenues and operations due to TNCs (ACRP 01-35), research is needed to explore in more detail how airports may need to repurpose, renovate, or redevelop airport parking facilities to generate additional non-aeronautical revenue to compensate for the decrease.
The objective of this research is to prepare a guidance document that will identify near-term and long-term solutions to help airports of all types and sizes repurpose, renovate, or redevelop their parking facilities to address the loss of airport parking and other ground transportation revenue. The guidance document should describe how airports might adapt existing parking and ground transportation facilities to make them suitable for alternative, revenue-generating purposes and identify new potential sources of non-aeronautical revenue to compensate for shifting modal preferences, namely TNCs, autonomous vehicles, and other emerging/future technologies.
The guidance document should address operational, facility, and financial impacts related to the shifting consumer preferences and potential solutions.
Strategies to address impacts could include, but are not limited to:
- Innovative parking operation models;
- Innovative rate setting for parking and ground transportation;
- Changes in use of parking and ground transportation facilities to alternative revenue generating uses;
- New considerations and assumptions for long-range financial and capital planning for parking facilities due to modal shifts on ground access (e.g., rail extensions);
- Cooperative land use zoning efforts with communities surrounding airports; and
- Evaluation of potential new and emerging technologies that may contribute or mitigate revenue loss.
The ACRP is seeking the insights of proposers on how best to achieve the research objective. Proposers are asked to develop and include a detailed research plan for accomplishing the project objectives. Proposers are expected to describe research plans that can realistically be accomplished within the constraints of available funds and contract time. Proposals must present the proposers' current thinking in sufficient detail to demonstrate their understanding of the issues and the soundness of their approach to meeting the research objectives. The work proposed must be divided into tasks and proposers must describe the work proposed in each task in detail.
It is anticipated that the research approach will be built upon and coordinated with the data collection efforts to be conducted under ACRP Project 01-35. The research plan should include appropriate interim deliverables, for ACRP approval, that include at minimum:
1. A literature review on: (a) airport parking facilities to identify the key factors that have contributed to recent changes in parking volume/revenue, and the financial and operational impact that airports can expect from a decline in parking fees; and (b) potential non-aeronautical revenue development strategies for airports to replace the income derived from parking through other sources of non-aeronautical revenue.
2. A range of domestic and international case studies to evaluate the feasibility of repurposing, renovating, or redeveloping parking facilities to generate revenues.
3. A framework for potential solutions pertaining to: (a) innovative operational models and marketing strategies for existing parking infrastructure; (b) repurposing existing facilities with minimal physical modification; (c) renovating or adapting facilities to an alternative use; (d) replacing or redeveloping facilities for a higher and better use; and (e) emerging future transportation technologies.
A preliminary framework will be submitted within 6 to 8 months of Notice to Proceed and will be made publically available on the TRB website to be revised with the draft final deliverables.
4. An assessment of the extent to which the examples of non-aeronautical revenue generation are transferable and/or scalable to airports of different contexts.
5. An interim report that describes work done in early tasks with an updated work plan for remaining tasks; and a detailed outline of the final guidance document that will require ACRP approval.
The research plan should include other appropriate checkpoints with the ACRP panel, including at a minimum (1) a kick-off teleconference meeting to be held within 1 month of the Notice to Proceed and (2) one face-to-face interim deliverable review meeting, as well as web-enabled teleconferences tied to the panel review and ACRP approval of other interim deliverables deemed appropriate.
The final deliverables will include: (1) a guidance document that provides key findings and strategies that meets the research objective; (2) a contractor’s final report that documents the methodology of their entire research effort, including any background information and the research team’s recommendation of research needs and priorities for additional related research; and (3) a stand-alone technical memorandum titled “Implementation of Research Findings and Products.”
STATUS: InterVistas is the selected contractor. Research is underway.