The parking industry has not seen any period like the present.  Neither 9/11 nor the Oil Embargo of 1973 had effects similar to the current crisis.  A number of companies with large parking operations report the loss of 95% of business volumes.  Even parking locations proximate to essential or residential generators have seen revenues cut by 40 to 70%.  Not surprisingly, many locations have simply been closed or have been forced to change operating techniques normally used for low density/low turnover applications.

  • Most parking companies have not been able to make lease payments.
  • Operators and owners have struggled to find operating standards that can be supported by diminished revenue streams.
  • Parking companies have been rendered far less financially stable both because of the loss of revenues and because of the rapidity of the losses.
  • Significant operating talent and capability is being lost to the industry on a weekly basis.

Dane and Company, Inc. has worked extensively on the fundamental problems during this brief period.  We have:

  • Developed interim budgets for clients and their lenders.
  • Analyzed lease obligations, force majeure clauses and termination provisions.
  • Produced down-sizing plans and strategies for many locations.
  • Assisted in the formation of PPP documentation and applications.
  • Maintained good industry contacts which will be key when re-building of the business commences.

Because we have worked effectively in the past on operator compensation issues and because we understand the present circumstances, we have a unique understanding of the sorts of deal structures that will work going forward.