Midtown Urbanist
Superstar
We have another player in Toronto's sharing economy, this time targeting parking spots. It's called Rover Parking and its available on Apple store and soon on Android.
There are some questions of legality regarding this app. The city bylaw office claims that it is illegal and that the homeowner could be liable to a $5,000 fine while the app founder claims that these bylaws do not apply and are outdated anyway.
I find this app interesting as it really demonstrates the role the sharing economy can have in finding economic efficiency in the market place, and demonstrates the challenges we as a city has in confronting the market and industrial changes led by technological progress.
Some discussion questions for UT to ponder over:
TORONTO – The taxi and hotel industries are still reeling from Uber and AirBnB’s arrival, and now Toronto’s lucrative sharing economy has found a new target: empty parking spots across the city. Rover, an app matching drivers with owners’ unused parking spaces, launched in the Apple App Store earlier this month, has already been downloaded more than 1,000 times, its founders said. But the City of Toronto is skeptical of its legality.
Co-founder Tim Wootton said the app functions similarly to ride-hailing company Uber. Users who download the app register by typing in credit card and vehicle information. Then, they search a map for parking spots posted by owners with spots that are empty during chosen time slots.
Rover’s pricing is capped at $2 per hour to ensure the spots’ prices are competitive with street parking and city-owned lots, Wootton said. The developers earn a 30 per cent cut of each transaction, split evenly between the owner and renter.
- http://metronews.ca/news/toronto/1434294/toronto-app-pairs-drivers-with-parking-spots/
There are some questions of legality regarding this app. The city bylaw office claims that it is illegal and that the homeowner could be liable to a $5,000 fine while the app founder claims that these bylaws do not apply and are outdated anyway.
The app works much like the taxi-sharing service Uber and like Uber, it's raised the attention of city bylaw officials. "It's not legal. So I don't think we could enter a discussion about it," said Klaus Lehmann, who works in the city's bylaw office.
Lehmann said it's fine for homeowners without vehicles to rent out the empty space in their garages, but filling a driveway or other space with several cars renting the spots would constitute a commercial parking lot. That could be grounds for a $5,000 fine if the city received a complaint, Lehmann said.
However Wootton said he checked over the bylaws while developing Rover and believes they're in place to prevent drivers from parking on lawns, not on stopping a homeowner from making a little extra money renting a driveway spot for a few hours.
- http://www.cbc.ca/news/canada/toron...f-parking-clash-with-toronto-bylaws-1.3162876
I find this app interesting as it really demonstrates the role the sharing economy can have in finding economic efficiency in the market place, and demonstrates the challenges we as a city has in confronting the market and industrial changes led by technological progress.
"I challenge anyone in Toronto to look around and see how much underutilized space there is out there," said co-founder Tim Wootton in an interview Wednesday on CBC Toronto's Metro Morning show. "There are parking spots absolutely everywhere."
And while Uber remains under fire from city hall for competing with the taxi industry without following the same regulations, Rover's founders said they don't anticipate the same backlash for parking space rentals. After testing the Toronto marketplace for the next two months, they hope to spread the service across the country.
"If we want to be a world-class city, we need to continue to be innovate," said Wootton. "Companies need to innovate or they won't survive."
- http://www.cbc.ca/news/canada/toron...f-parking-clash-with-toronto-bylaws-1.3162876
Some discussion questions for UT to ponder over:
- Legality? The city says that this practice is illegal while the Rover co-founder claims the bylaws are not relevant (referring to parking on lawns, not driveways) and more importantly, are outdated from an age before computers. Is the city being needlessly antiquated here? Alternatively, do you think the city just concerned that this would reduce municipal income from parking?
- Does this app do more harm than good? Some people suggest that it harms neighbourhoods by converting driveways into commercial parking lots and increasing congestion in otherwise quiet streets. Personally, I consider this a NIMBY standpoint. However, in response to the app, the city has claimed that it is their objective to reduce auto-dependency in the core and that this app goes against such initiative. Do you think those concerns have any legitimacy?
- Parking has gotten a lot more expensive in recent years and the Rover co-founder claims that there is tons of underutilized space out there in the form of empty driveways that could otherwise be utilized. He suggests this app is all about finding new efficiencies in the economy by dealing with a substantial supply (of empty driveways) and demand (for parking). Is he right that to be considered a "world-class city" we must find and continuously pursue market efficiencies like this? Is this part of being a "world-class city"?
- Given the recent concerns and civic infighting over Uber and AirBnB, do you expect Rover to cause as much of a stir? What is the future of the sharing economy in Toronto and how do you believe municipal bylaws should update to accommodate and foster progress while protecting citizens?
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