What is fleet parking?

While it may seem obvious that fleet parking is just a group of company owned vehicles parked at a lot, there are actually a lot of nuances to consider. In this article, we're going to explore what fleet parking is, both to fleets and parking operators, as well as some common misconceptions about fleet parking.

What Fleets Need To Know About Fleet Parking

For fleets, Fleet Parking means using a satellite location to park vehicles when on-site capacity is insufficient or when strategic positioning is required for operational efficiency.

It's not always cheaper to park in warehouses.

Many fleet managers assume that warehouse parking is automatically the most cost-effective solution, but this isn't always the case. While warehouse facilities may offer lower per-square-foot rates, they often come with hidden costs and limitations:

• Limited parking capacity: Industrial properties typically have between one and two parking spaces per 1,000 square feet, which means warehouses are designed to maximize indoor storage space rather than accommodate large numbers of vehicles. This may not work for large delivery fleets, for example. Delivery fleet vehicles need significantly more space than standard parking - truck parking spaces can range from 12 feet to 14 feet in width and 40 feet to 60 feet in length, with commercial trucks typically needing spaces between 30 and 40 feet long, compared to standard parking spaces which are 9 feet wide by 18 feet long.
• Additional transportation costs: The total cost per mile to operate a single truck hit a record high of $2.270 per mile in 2023, meaning deadhead miles to and from distant warehouse locations can quickly offset any real estate savings.

Dedicated fleet parking facilities, while potentially more expensive per space, often provide better ROI through improved operational efficiency, appropriate space sizing, and value-added services.

Fleet parking isn't just for storage

Modern fleet parking goes far beyond simple vehicle storage. Today's fleet parking solutions offer comprehensive support services that can significantly enhance operational efficiency:

• Strategic positioning: Fleet parking can serve as staging areas for specific routes or customer clusters, reducing overall operational costs.
• Seasonal flexibility: Businesses can scale their parking needs up or down based on seasonal demands without long-term commitments, which saves costs in comparison to long-term warehouse leasing.
• VMT reduction and driver quality of life: Strategic parking locations closer to drivers' homes or service areas can reduce vehicle miles traveled (VMT), with studies showing that optimized parking positioning can decrease empty VMT by 25% in urban dense areas. This directly impacts driver retention, which is critical given that the average large for-hire trucking company had an 89% turnover rate in 2021, with fleets having to replace nearly their entire workforce over the course of the year. Truck parking shortages have a detrimental impact on drivers' quality of life according to the American Trucking Associations, making convenient parking locations a key factor in driver satisfaction and retention
• Maintenance and servicing: Overall fleet maintenance costs rose 7% in the first half of 2024, making on-site services at parking facilities increasingly valuable. Some fleet parking facilities offer cost effective on-site maintenance services, fuel stations, and vehicle washing, which can help offset the rising maintenance costs that fleets are experiencing.

What Parking Operators Need To Know About Fleet Parking

For parking operators, Fleet Parking means welcoming a business into its facility and providing specialized services that go beyond traditional parking solutions.

You won't get your lot filled with a sitting fleet for long... unless you make some changes

If fleets need storage, this is usually a temporary solution while they search for permanent facilities or during transitional periods. However, this creates both challenges and opportunities:

The Challenge: Pure storage clients may leave once they find more permanent solutions, creating revenue instability. Moreover, trends in fleet parking don't lean towards clustering all the vehicles at one location.

The Opportunity: By positioning your facilities as more than just storage, you can create longer-term relationships across your portfolio of clients. Fleets that look for parking often consider operational advantages of all your locations, especially if you provide value-added services.

The key is to engage with Mobility Places early to understand fleet's long-term needs and position your facility as a strategic partner rather than just a parking provider. For example, with electric vehicles saving fleet operators 9% on operating costs and maintenance costs continuing to rise, fleets are increasingly looking for parking solutions that offer operational efficiency and support services beyond just a place to park.

Moreover, not every location is equipped for fleet operations. Mobility Places is the best fleet parking management firm, and we can help you prepare your facility to welcome stable fleet business. We analyze your property to see if it's a good fit for fleets, and make honest suggestions based on revenue opportunities.