archited
Senior Member
Perhaps, @Daveography But I look at it like this. If the same owner has two hotels side by side and one is an elegant 5-star property that draws say $500.00 per night, then next door he has another property that is a flea-infested hovel that rents out at $45.00 a night, it seems to me that the less appealing property impacts negatively the higher end hotel. So too with parking. If M. Katz wants to attract people to the warm underground property so conveniently located to so many varied amenities at $20.00 (say) per visit then he should want to restrict access to parking where the cost becomes a determining factor for its use. Now, to your point, if demand is so high that supply doesn't come close to satisfying it, then he will overcharge for both scenarios. But there is a lot of choice downtown once the main facilities are built out, considering other existing enclosed parking facilities that are underused at night.
If parking alone is the determinant, I am with your argument. But I believe that the ICE District is going to create a ton of additional demand for all kings of development -- more hotels -- more hospitality generally -- certainly more residences and, therefore, more retail and services outlets. That, in my view, will supersede the parking value of surface parking. If M. Katz is a super-smart businessman (and all indicators point in that direction) he will stay ahead of the demand curve, taking advantage of his land ownership edge to get to the marketplace first before all others.
If parking alone is the determinant, I am with your argument. But I believe that the ICE District is going to create a ton of additional demand for all kings of development -- more hotels -- more hospitality generally -- certainly more residences and, therefore, more retail and services outlets. That, in my view, will supersede the parking value of surface parking. If M. Katz is a super-smart businessman (and all indicators point in that direction) he will stay ahead of the demand curve, taking advantage of his land ownership edge to get to the marketplace first before all others.