Private Parking – The epidemic continues
This is what one Hoboken411 reader had to say:
Just got a lovely letter in the mail from Applied Company (see links above) regarding another parking increase of $25.00 at the South Constitution.
This brings the monthly parking fee to a budget busting $300.00 a month!!! This is the second increase in 12 months. It went from $250.00 to $275.00 last January (2007), and now to $300.00 this January (2008). That is a 20% increase in parking with no legitimate reasons given for the increase. This is an unattended, non-heated parking facility so labor costs and rising fuel costs cannot be cited for increases. This is a pure money grab netting them over $125,000 in additional revenue for what?
When the city mandated that buildings provide parking for their tenants they should have also mandated increases be tied to an index of some sort. I understand this is a private garage but enough is enough already. I am sure the comments will flow in saying if you cannot afford it park on the street, but adding an additional 450 cars to the street would seriously impact everyone’s quality of life. I am willing to pay to park, but it just gets ridiculous after a while. I guess Joe Barry does not have enough money to heat his 10,000 SF condo at the Sovereign.
As President of the condo association why can’t Rich Tremitiedi start earning his $1.00 a year and help his fellow neighbors since he has apparently has no effect at city hall?”
See the previous entry after the jump.
12/14/2006 1:40pm Update:
I know there are arguments regarding capitalism and free market (i.e. cost for pizza), but most often don’t people raise their prices to ensure that they maintain profitability (i.e., their supply costs go up, etc), and not just “because they can”?
A reader today got an offical statement from Applied regarding the increase. The woman he spoke to said that they hired Little Man to do a “parking fee assesment”, and they determined that they were not charging enough. Dave the VP (not Barry) said at first he did not want to raise it, but decided to anyway. So it had nothing to do with costs going up, it is simply supply and demand.
I call it taking advantage of people for personal gain.
To continue the “get rich quick” scheme that developers seem to be doing a lot of lately (including the Archstone unconscionable rent increases), here’s another example (though not as bad).
Here, a resident at Constitution North (an Applied Company) sent this PDF file noting yet the second parking spot rent increase in less than three months. From 245.00 to 255.00 in the fall, now going up to 275.00 at the beginning of the year. That’s over 12% there!
Seeing there are approximately 400 cars in that building alone, it nets them an extra $144,000 per year. Including the South building, they’re getting over a QUARTER MILLION dollars more. For what? Isn’t Applied already making enough money off the residents of Hoboken?
We all know that these developers are required to build x number of spots per location, but there is no limitation to what they can charge. Mayor Roberts and the City Council need to step in to stop this bludgeoning of our residents. Because if they don’t, before you know it, there’ll be floods of cars heading to our already crowded streets.
Is anyone else facing the same ridiculous situation where they park?