Arabian Post Staff -Dubai
Dubai’s leading parking management firm, Parkin, has announced a cash dividend of AED 280.9 million for the second half of 2024, slated for distribution in late April 2025. This decision reflects the company’s robust financial performance and aligns with its commitment to delivering consistent shareholder returns.
Concurrently, Parkin is set to implement a Variable Parking Tariff Policy starting 4 April 2025. This initiative, introduced in collaboration with Dubai’s Roads and Transport Authority , aims to optimise parking space utilisation by adjusting fees based on demand during specific timeframes.
Under the new policy, parking charges will vary between peak and off-peak hours. Peak periods are designated from 8:00 AM to 10:00 AM and 4:00 PM to 8:00 PM, during which premium parking zones will incur higher fees. Specifically, parking in these premium areas will cost AED 6 per hour during peak times. Off-peak hours, spanning 10:00 AM to 4:00 PM and 8:00 PM to 10:00 PM, will maintain the existing tariff structure.
The RTA has expanded the classification of premium parking zones to encompass approximately 40% of Parkin’s public parking portfolio, an increase from the previously communicated 35%. These zones are primarily located in high-demand, densely populated areas, including vicinities adjacent to public transport infrastructure. The remaining 60% of spaces will be designated as standard parking.
For multi-storey car parks , Parkin will maintain a fixed rate of AED 5 per hour, applicable 24/7. However, a maximum daily charge of AED 40 will be imposed for stays exceeding eight hours within a 24-hour period. As of the end of 2024, Parkin operated 3,200 parking spaces across six MSCPs.
Approximately 35% of Parkin’s developer parking spaces will now be subject to the Variable Parking Tariff Policy, a significant adjustment from the earlier expectation of 0%. This change is set to take effect simultaneously with the public parking tariff adjustments on 4 April 2025.
Parkin’s financial results for the fiscal year 2024 have surpassed the guidance provided during its March 2024 initial public offering . The company’s average public parking utilisation rate increased by 2.4 percentage points to 28.3%, underscoring a positive trend in demand for parking services.
The implementation of the Variable Parking Tariff Policy is part of Parkin’s broader strategy to enhance the efficiency of parking space usage across Dubai. By aligning parking fees with demand fluctuations, the company aims to improve accessibility and convenience for motorists while supporting the city’s transportation infrastructure.
Motorists are advised to acquaint themselves with the new tariff structures and zone classifications ahead of the changes to ensure compliance and avoid potential fines. Detailed information regarding the updated parking tariffs and zone designations is available on Parkin’s official website and mobile application.
Parkin’s proactive approach in adjusting its dividend payouts and parking tariffs reflects its responsiveness to market dynamics and commitment to delivering value to both shareholders and customers. As Dubai continues to evolve as a global metropolis, such initiatives are pivotal in maintaining the city’s reputation for efficient urban planning and infrastructure management.
The forthcoming changes underscore the importance of adaptive strategies in urban management, particularly in rapidly growing cities like Dubai. By implementing variable pricing models, Parkin aims to balance demand and supply effectively, ensuring that parking resources are utilised optimally.
As the implementation date approaches, stakeholders, including residents, businesses, and visitors, are encouraged to stay informed about the new parking regulations. This awareness will facilitate a smoother transition and help mitigate any potential inconveniences arising from the tariff adjustments.
Parkin’s collaboration with the RTA exemplifies a coordinated effort to enhance urban mobility and address the challenges associated with urbanisation. The Variable Parking Tariff Policy is expected to serve as a model for other cities grappling with similar issues, showcasing Dubai’s leadership in innovative urban management solutions.
In light of these developments, Parkin remains committed to monitoring the impact of the new tariff system and making necessary adjustments to ensure its effectiveness. Continuous feedback from the public will be instrumental in refining the policy to better serve the community’s needs.
The integration of technology in disseminating information about the new tariffs, through platforms like the Parkin mobile app, reflects the company’s dedication to leveraging digital tools for enhanced customer engagement and service delivery.
