The priciest places to park

By BusinessWeek

Rising gas prices aren't the only thing affecting drivers' wallets lately. The cost of parking is also on the rise in cities across America. Nationwide, daily parking rates jumped 10.1% in the past year, to an average of $15.28, according to a new survey released by real estate services firm Colliers International. Average rates for a monthly unreserved parking space rose 4.4% in the same period, to $153.19 per month.

Busy downtowns

Monthly unreserved rates in the 49 U.S. markets included in the survey ranged from a high of $887.80 in midtown Manhattan to a low of $20 in Memphis. And even though Manhattan's parking prices exceed the average monthly rents for housing in many U.S. cities, parking can cost plenty in many international cities. A spot in London's West End now costs about $898 a month, with a daily rate of $58.80. And in Tokyo, drivers pay about $84.20 per day to park, while a monthly spot costs $702.

The good news? Rising costs for both daily and monthly parking are a general reflection of a healthy economy and high consumer confidence. Monthly parking costs reflect the rising demand for downtown office space, while daily parking rates are a function of strong retail sales and tourism.

Walk to work

Colliers predicts that even an economic slowdown won't slow the rise in parking prices, since demand for parking continues to outpace supply. And building new garages isn't the answer, according to Ross Moore, director of Market & Economic Research for Colliers. "The numbers just don't work," he says. Land values in major cities continue to rise, and the condo craze that's hit downtowns of late has driven up the cost of already expensive land.

Also, construction costs have risen sharply over the past few years as international demand for steel and concrete -- particularly in China -- has put pressure on materials suppliers. That makes it harder for parking garage owners to recoup their costs.

As parking prices continue to rise, cities are looking at other ways to manage the demand, including encouraging people to leave their cars at home. David Feehan, president of the International Downtown Association, said most cities are expanding public transit while developing partnerships with car-sharing firms and creating programs that encourage commuters to bike or walk to work.

Median parking rates across the U.S.

City	Daily	Monthly	City	Daily	Monthly
Atlanta, Ga.	$10	$90	Milwaukee, Wis.	$22	$100
Austin, Texas	10	100	Minneapolis, Minn.	11	159.5
Bakersfield, Calif.	6.5	40	Nashville, Tenn.	7	130
Baltimore, Md.	12.5	132.5	New York, N.Y. - Downtown	32	500
Boise, Idaho	12	79	New York, N.Y. - Midtown	40	574.12
Boston, Mass.	31	420	Oakland, Calif.	22.5	165
Chicago, Ill.	25	332	Orlando, Fla.	12	77.5
Cincinnati, Ohio	10	85	Philadelphia, Pa.	22	325
Columbia, S.C.	10	65	Phoenix, Ariz.	7	35
Columbus, Ohio	9	95	Pittsburgh, Pa.	14.6	247.1
Dallas, Texas	9	65	Portland, Ore.	12.5	166
Denver, Colo.	12	140	Raleigh, N.C.	17.5	75
Detroit, Mich.	7	155	Reno, Nev.	15	45
Fresno, Calif.	10	55	Sacramento, Calif.	16	200
Ft. Lauderdale, Fla.	16	70	San Diego, Calif.	22	160
Hartford, Conn.	19.25	190.8	San Francisco, Calif.	24	335
Honolulu, Hawaii	30	190.5	San Jose/Silicon Valley, Calif.	18.75	87.5
Houston, Texas	12	145	Seattle, Wash.	24	250
Indianapolis, Ind.	8	105	St. Louis, Mo.	12	105
Jacksonville, Fla.	13	110	Tacoma, Wash.	12.25	118
Kansas City, Mo.	11	100	Tampa, Fla.	12	110
Los Angeles, Calif.	24	190	Walnut Creek, Calif.	15	35
Louisville, Ky.	10	100	Washington, D.C.	14	230
Memphis, Tenn.	6	57	West Palm Beach, Fla.	7.5	65
Miami, Fla.	13	100	Average	$15.28	$153.19

Source: Colliers International (Monthly costs for unreserved parking.)