A parking concession primed to net Cincinnati $92 million hit a wall when a judge issued a permanent injunction stopping the ‘Queen City’ from cementing a deal.
Judge Robert Winkler ruled the US Midwest city could not go ahead with a long-term lease of its garage, metered and on-street parking to private consortium ParkCincy.
The decision will mean the would-be parking lease will be put to referendum for the upcoming election in November, letting the public vote for or against the deal.
Meanwhile, the ruling will force the Ohio city to cut personnel from its police force and fire department, according to city manager Milton Doheny and Mayor Mark Mallory.
Cincinnati had published a request for proposal (RFP) last November, asking for $40 million in return for a 30-year citywide parking lease.
The RFP marked the high-profile second parking public-private partnership (PPP or P3) from the ‘Buckeye State’: Ohio State University (OSU) earned $483 million with a 2012 deal.
The Cincinnati lease included a 6,000 space on-street, metered system, and 2,528-space off-street component, as well as a 725-space parking garage.
Consortium ParkCincy – including the Port of Cincinnati Greater Development, Guggenheim Partners, AEW Capital Management, Xerox and Denison – was the winner.
ParkCincy has estimated that meter and ticket revenue could increase from $7.3 million to $10 million in 2014.