Hollywood & Highland parking fee reduction hurts city coffers. (Retail).A reduction of parking fees at the Hollywood & Highland retail/entertainment complex has made shoppers happy, but it's causing a strain on city revenues. After complaints that parking was too pricey Pricey Term used for an unrealistically low bid price or unrealistically high offer price. pricey Of, relating to, or being an unrealistically high offer. An offer to sell a security at $50 when the current market price is $47 is pricey. , the city, which owns the parking garage, reduced fees on May 3. Originally it cost $1 for the first hour and $1 for each additional 20 minutes, up to $10. Now, it has been reduced to $2 for the first four hours with validation See validate. validation - The stage in the software life-cycle at the end of the development process where software is evaluated to ensure that it complies with the requirements. , up to the $10 maximum. The changes helped boost occupancy levels by 19 percent, but it only increased parking revenues by 1 percent, said Alan Willis Wil·lis , Thomas 1621-1675. English anatomist and physician known for his studies of the nervous system and the brain. He discovered the circle of Willis at the base of the brain. , principal transportation engineer with L.A.'s Department of Transportation. Consequently, the city is taking in $440,000 a month in parking revenues at the 3,000-space underground parking garage, but spending $700,000 to operate it and pay off the revenue bonds used to finance the $67 million the city spent on the parking facility, Willis said. Though Trizec Properties Inc. owns the troubled $615 million Hollywood & Highland project, the city contributed $97 million for the parking structure and a portion of the Kodak Theatre The Kodak Theatre is a live theatre in the Hollywood and Highland retail, dining, and entertainment complex on Hollywood Boulevard and North Highland Avenue in the Hollywood district of Los Angeles. . To cover the lot's monthly $260,000 shortfall Shortfall The amount by which the capital required to fulfill a financial obligation exceeds available capital. Notes: Shortfall risk is often combated with an efficient hedging strategy created by a fund, group, institution, or individual. , the city is diverting di·vert v. di·vert·ed, di·vert·ing, di·verts v.tr. 1. To turn aside from a course or direction: Traffic was diverted around the scene of the accident. 2. money from its special parking revenue fund, which is used to develop new parking projects in the rest of the city. Meanwhile, the Department of Water and Power still is a year behind in sending the city Transportation Department its electrical bill for the parking garage. That's because there is no separate electrical meter for the parking structure. Willis said he has set aside $1.4 million in this year's budget to cover that bill. Staff reporter Deborah Belgum can be reached at (323) 549-5225 ext. 228, or at dbelgum@labusinessjournal.com. |
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