Start Thinking About Driverless Cars Today

Autonomous vehicles exist today, and while we are still years away from seeing them rise into total popularity, real estate owners should start thinking about how to adapt their real estate assets to a future with driverless cars. This technology will completely change the way people live, affecting city planning, development, parking and even signage. Some owners are still figuring out how to integrate ride-sharing zones, they should be looking further ahead.

“From a macro perspective, real estate companies should be thinking about how their real estate will be impacted by the ability for tenants, residents and consumers to access spaces without having to worry about parking,” Jeff Berman, a partner at Camber Creek, tells GlobeSt.com. “What does that do to layout? Density? Accessibility? For example, widespread adoption of autonomous vehicles may make individual car ownership less attractive. For single-family home developers, this could potentially eliminate the need to include a garage for every home.”

Driverless vehicles will have a major impact on real estate, but the parking will be the most immediate impact. Driverless cars could reduce or even completely eliminate the need for onsite parking. “Theoretically speaking, a person could be picked up from their home, dropped off at work and their car could return home, or perhaps become an income producing asset for the owner by entering ‘ride share mode’ picking up other passengers before returning to pick up the owner from work,” says Berman. “Parking lot densities should also increase as autonomous vehicles will be able to park in smaller spaces. This may reduce the need for urban parking garages opening up the possibility for redevelopment. Reduced parking requirements should be a boon to developers both from a space maximization and development cost standpoint.”