Chicago Finance Committee approves $2.53 billion parking meter sale

The Chicago City Council’s Finance Committee has approved a proposal to advance the sale of the city’s parking meter system. The transaction involves a $2.53 billion acquisition of the asset from Morgan Stanley by the investment firm Stonepeak Partners.

The agreement includes terms intended to provide additional benefits to taxpayers following the criticism of the original 2008 lease agreement. Under the proposed deal, the city would receive an upfront payment of $75 million, a 5% revenue share for the remaining 50 years of the contract, and a 2% share of the sale price if the meters are sold again in the future.

Finance Committee Chair Pat Dowell characterized the move as an opportunity to provide “real, tangible benefits for taxpayers” and to address past mistakes. While some alderpersons supported the measure, noting that revenue could be directed toward pension obligations, others expressed dissent. Budget Committee Chair Jason Ervin and Alderman William Hall voted against the measure, with Ervin suggesting a better deal could be reached and Hall raising concerns regarding representation.