Less housing, wasted money: study reveals impact of city parking mandates

The study found that 71% of carless households in the United States pay for a parking space they don’t use.

1 minute read

October 11, 2026, 10:00 AM PDT

By Zachary Whalen


A row of cars parked next to a building. One car drives perpendicular to the parked cars.

The researchers found that when dense cities with public transit repealed parking mandates, cities built 40 to 70% less parking. | Tricky_Shark

Most cities in the United States require new homes and businesses to also provide parking spaces — a new study from UCLA has revealed the high financial impact of these requirements. The study found that 71% of carless households in the United States pay for a parking space they don’t use, and that required parking spaces can raise construction costs for small apartments by 38%. 

“Underground parking costs $73,000 per space, on average, nationwide. At UCLA’s Weyburn Terrace, it added $35,000 to each apartment,” California YIMBY reports. “After Oakland required one parking space per apartment in 1961, new homes per project fell 36%, even though the zoning code still allowed the same density. The pattern holds in other cities. In New York, every 10% increase in parking requirements corresponds with a 6% drop in housing density.”

The study also found that when dense cities with public transit repealed parking mandates, cities built 40 to 70% less parking. Seattle’s repeal of the mandate saved the city “an estimated $537 million in construction spending on parking over five years,” California YIMBY writes.

Tuesday, October 6, 2026 in California YIMBY

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