When developers convert existing office or retail buildings into residential spaces, they often encounter a parking shortfall that was never part of the original plan. Municipal codes typically require more parking for residential use than for commercial, leaving developers with a structure that cannot accommodate the new demand. This issue recently played out in downtown Walnut Creek, California, in the city’s Golden Triangle district, where a multifamily conversion faced exactly such a challenge.
The building, located a few blocks from shops, restaurants, and the Downtown Trolley, already had a dedicated parking garage. However, it was not built to hold the number of spaces the new residential use required, and there was no adjacent land to expand into. Demolishing the existing structure and starting over would have been expensive and disruptive. Instead, the developer collaborated with KLAUS Multiparking America to find a way to add capacity within the garage’s existing walls.
The solution involved installing MultiBase 2072i automated systems, with one parking level set into a pit and a second stacked above it. This layout added a full tier of spaces without requiring excavation for an entirely new underground level. Christopher Tiessen, President and CEO of KLAUS Multiparking America, emphasizes that such foresight is critical. “The developers who see the greatest opportunities are those who evaluate the parking strategy early,” Tiessen says. “Running the parking numbers before acquiring a property can reveal opportunities to maximize space, improve project economics, and make more informed investment decisions.”
Tiessen points out that the requirement mismatch is easy to underestimate at the offer stage. “Office and retail uses tend to carry lighter parking requirements than residential does in most jurisdictions,” he says. “So a use change can hand a developer a shortfall they weren’t budgeting for, on a site that has nowhere left to grow.” What changes the outcome, in Tiessen’s view, is whether the existing garage gets treated as something to work with or something to remove. “Tearing out a structure and rebuilding underground is the most expensive and most disruptive way to close a parking gap,” he says. “Every level you can recover inside what’s already there is a level you don’t have to excavate, finance, or explain to a lender.”
As more office and retail buildings convert to residential use in built-out downtowns, the Walnut Creek project highlights a pattern that adaptive reuse developers are increasingly encountering before construction begins. The ability to retrofit existing parking structures with automated systems could become a key strategy for unlocking viable conversions and maximizing project returns. This article is based on information provided by the expert source cited above. It is intended for general informational purposes only and does not constitute legal, financial, or real estate advice. Readers should conduct their own research and consult qualified professionals before making any real estate or financial decisions. Disclosure: Individuals or companies mentioned may have a commercial relationship with KeyCrew.
