The city's Downtown valet parking pilot has cut back its stations, days and hours since launching in January, even as a small survey of Downtown businesses shows positive feedback, city officials told City Council on Tuesday.
Erik Lue, the city's public parking services manager, presented a six-month update on the Park Riverside Downtown Valet program during the council's discussion calendar. The item required no vote; council members received and filed the report.
City Council approved the pilot Nov. 4, 2025, in a $334,597 agreement with ACE Parking III LLC that includes options for two one-year extensions. The council also authorized the city manager to make minor, non-substantive changes to the contract, held a public hearing amending the city's master fees and charges schedule, and adopted an ordinance adding a new Valet Parking category to the municipal code's parking fee schedule.
The program officially launched Jan. 16 at five stations: southbound Market Street near the Food Lab, eastbound Mission Inn Avenue near Mission Galleria, northbound Lemon Street near the Riverside Municipal Auditorium and two stations on University Avenue, near The State and near Dragon Marsh. A soft launch was held the night before along University Avenue with Club RIV and Estrella serving as destination venues.
In February and March, the city made weekly adjustments based on business feedback, station performance and traffic patterns; final changes were completed in April. The number of "core" stations dropped from five to three, and operating days were reduced from Friday through Sunday to Friday and Saturday only, from 7 p.m. to 3 a.m. The three current core stations are on westbound University Avenue near Dragon Marsh, in the Cal Tower/Garage 3 alleyway between University and Mission Inn avenues, and on southbound Orange Street near Tilden Coil. For ticketed shows, the Orange Street station is relocated to serve the Fox Performing Arts Center or the Riverside Municipal Auditorium instead.
The program also supported several daytime events, including the Lunar Festival, the Tamale Festival and the Insect Fair, but Lue said utilization was extremely low, and daytime valet service is not expected to continue.
Financially, the pilot remains short of its cost-neutrality goal. The city budgeted $334,597 in expenses against $144,000 in revenue, projecting a $190,597 net loss over six months. Updated figures show expenses of $272,520 and revenue of $37,986, a net loss of $234,534, about $43,937 worse than budgeted. Operating costs came in below budget, but monthly revenue fell about $17,669 short of the $24,000 target. Because the program is funded through the city's enterprise fund, the shortfall can be absorbed, Lue said.
A survey developed by Parking Services and ACE Parking, and distributed by the Riverside Downtown Partnership, drew 11 responses in its first week and remains open for more feedback. Among respondents, 91% said they were aware of the valet program and 67% said their customers' experience had improved because of it. Forty percent reported a moderate revenue increase of 5% to 10%, and 20% reported gains of more than 10%. Sixty-six percent said the program had a significant or moderate impact on customer access and convenience.
Lue said most survey respondents want to join the city's business validation program, which lets businesses prepay for discounted valet service or pay per vehicle. Businesses can buy blocks of 100 validations for $1,800, or $18 per vehicle, a 10% discount off the standard $20 rate, or pay as they go at the standard $20 to $30 per-vehicle rate. A $1,000 monthly option lets businesses advertise on valet customer amenities such as bottled water. Businesses are waiting to see whether the program continues past the pilot period before committing, Lue said.
Parking Services has also fielded inquiries from the cities of Encinitas and Newport Beach about replicating the program, Lue said.
Councilmember Philip Falcone, Ward 1, said he had not heard complaints about evening parking Downtown.
"The anecdotal evidence, for what it's worth, is that people are pleased with the operations of it," Falcone said.
More information: The Park Riverside Downtown Valet program operates Friday and Saturday, 7 p.m. to 3 a.m., at three core stations Downtown, with additional stations activated for events at the Fox Performing Arts Center and the Riverside Municipal Auditorium. Valet costs $20 to $30 per vehicle. Details are available at riversideca.gov/valet or by contacting Parking Services at parking@riversideca.gov.
