Urban mobility challenges demand smart, high-tech solutions. ALUPCO, a trusted Saudi industry leader with deep market knowledge and experience, and Parkolay, a Turkish specialist in automated parking, are setting new benchmarks for innovative parking and urban mobility solutions in Saudi Arabia.

As cities grow denser, one of the most pressing urban challenges is parking – a problem that historically has been overlooked or treated as a mere compliance requirement.

Thanks to the ALUPCO-Parkolay partnership, which was formally signed at Big 5 Construct Saudi in February 2024, the kingdom can benefit from advanced parking technologies that are helping developers reimagine parking not as a constraint, but as an enabler and profit generator.

ParKompakt is an independent fully automated parking system that can be installed above or below ground.

The partnership is bringing state-of-the-art solutions such as ParkMatrix and ParKompakt to Saudi cities, showcasing how technology can maximise land use and parking capacity, enhance safety, and deliver seamless user experiences, all in line with the Saudi Vision 2030’s push towards sustainability, quality of life, and smart city integration.

Gulf Construction’s BINA GOVEAS speaks exclusively with Mahmoud Eita, Country Manager – KSA for Parkolay, to understand how this strategic cooperation is shaping the future of automated parking in Saudi Arabia and why its solutions are proving to be uniquely aligned with the kingdom’s Vision 2030 goals.

“Our philosophy is customer-centric. Developers value the higher parking capacity and commercial returns; municipalities benefit from reduced congestion and shorter search times; and end-users enjoy a seamless, user-friendly parking experience with no time wasted in finding a parking slot,” he says.

PARTNERSHIP ANCHORED IN TRUST

For Parkolay, which boasts over 27 years of expertise in parking systems and more than 200 projects worldwide, entering the Saudi market required a trusted local partner.

“Bringing new technology to any market is always a challenge because of hesitation and resistance to adopt these new systems. The ALUPCO-Parkolay partnership is designed to accelerate the introduction of advanced parking systems in the kingdom. ALUPCO’s strong reputation and trusted relationships with developers and government entities provide the credibility needed to gain early acceptance. This makes our cooperation extremely powerful for the years ahead,” Eita tells Gulf Construction.

“ALUPCO is a well-established brand in Saudi Arabia and is a door opener for us. Simply presenting ourselves under the ALUPCO umbrella creates immediate trust and willingness to engage from customers and stakeholders. We are using this strong network to raise awareness of the untapped potential for automated parking in the kingdom,” he points out.

A fully-automated Parkolay parking system ... maximising parking capacity.

One of the strengths of the collaboration lies in combining Parkolay’s R&D in Türkiye with ALUPCO’s well-established presence in Saudi Arabia. This model ensures that systems are supplied and supported within the kingdom with full integration into the local market, while being backed by global engineering expertise.

“A major strength of the ALUPCO-Parkolay partnership is its strong local presence, with spare parts readily available, and service operations are fully established within the kingdom. This ensures that whenever an issue arises, clients have immediate access to responsive support, reliable maintenance, and certified spare parts. This local footprint enhances system reliability and builds trust with developers, municipalities, and end-users,” Eita states.

Preventive maintenance programmes,  spare part availability, and after-sales support provided by Saudi-based teams give developers and municipalities confidence that Parkolay’s solutions are robust, long-lasting, and future-proof, according to him.

ADDRESSING THE URBAN PARKING CHALLENGE

Eita observes that parking is frequently neglected in real estate development, often regarded merely as a regulatory formality, with developers focused on meeting minimum municipal requirements. Parkolay, however, approaches parking differently, placing customer needs at the forefront and offering solutions that benefit not only developers, but also municipal authorities and end-users alike.

The newly-completed 15-storey parking complex in Makkah featuring a Parkolay system.

“Parking is often overlooked. Most developers only see it as a requirement to meet municipality regulations, ensuring the minimum number of spaces per building. Once that is achieved, it is rarely given further thought. At Parkolay, we see parking not as a constraint, but as a potential profit generator. By doubling or even tripling capacity within the same footprint, developers can create a real value proposition. More parking means more leasing opportunities, which differentiates one project from another,” he points out.

This is particularly relevant in Riyadh, where corporate leasing is booming and competition among new developments is intense. Premium tenants now expect convenience, efficiency, and mobility solutions that go beyond minimum compliance – developers can provide added value with more parking solutions.

“If a municipality requires two parking slots per office, based on the office area, for example, but the tenant company has 10 staff, the result is congested streets every morning, associated with employee frustration. By offering 10 spaces instead of two in the same footprint, a developer gains a competitive edge and provides tenants with a practical solution,” he remarks, pointing out that this can be a key differentiator in leasing properties.

Through Saudi Vision 2030, municipalities are actively promoting automated and mechanical parking solutions.

Work is in progress on Parkolay’s project in Riyadh’s Al-Batha district.

“For developers, the first layer of benefit is clear: maximising parking capacity within the same footprint. But investors can also explore new business models such as build-operate-transfer (BOT) schemes. Municipalities are already issuing tenders for standalone automated parking facilities in congested areas.

“In cities like Makkah, entire buildings are being designed and operated exclusively for parking, addressing intense demand. These projects offer immediate returns: once completed, utilisation starts from day one. Investors can, therefore, benefit from integrating automated systems into new developments such as towers, malls, or hospitals, or developing standalone parking structures in high-demand zones. In both cases, the impact is twofold – reducing congestion and generating strong, sustainable returns,” he says.

ParkMatrix, a cutting-edge technology, is particularly well-suited to Saudi Arabia’s dense urban areas.

INNOVATIVE SYSTEMS

Parkolay offers a portfolio of mechanical, semi-automated, and fully automated systems to the market, which are customised to project type, stage, and client requirement.

Among the solutions that the company provides the Saudi market are:

•   Parkist: a dependent car stacker system, ideal for private villas or mansions.

•   ParKompakt: an independent fully automated parking system installed above or below ground, now being implemented on a project in Riyadh.

•   Parkonfor: a semi-automated and space-saving car parking solution that uses horizontal and vertical movements to park vehicles in a compact, puzzle-like arrangement.

•   ParkMatrix: Parkolay’s most advanced, fully automated shuffling system, capable of increasing parking capacity especially in  ‘dead spaces’ by up to 80 per cent – perfect for dense urban centres.

By maximising space efficiency, ParkMatrix and ParKompakt free up valuable land that can be repurposed for revenue-generating uses, giving developers both flexibility and a stronger return on investment, Eita stresses.

“ParkMatrix, a cutting-edge technology, is particularly well-suited to Saudi Arabia’s dense urban areas. It increases parking capacity by up to 80 per cent and can utilise ‘dead spaces’, such as L-shaped areas, where normal manoeuvring would be impossible. This makes it a game-changing solution in city centres,” he adds.

All Parkolay systems can be integrated with EV charging units.

ALIGNED WITH VISION 2030

Saudi Arabia’s Vision 2030 calls for building smart, sustainable cities and enhancing the quality of life of residents. In Eita’s view, Parkolay directly addresses these goals.

“Saudi Vision 2030 is highly ambitious, built around three main pillars: quality of life, sustainability, and smart cities. Parkolay’s solutions check all these boxes.”

In terms of quality of life, Parkolay systems cut down on time wasted in searching for parking. “Instead of wasting time searching for a parking space – which can account for up to 30 per cent of inner-city traffic in dense urban areas – drivers can park quickly and continue with their daily activities. Even reducing this wasted time by half makes a significant difference,” he emphasises.

On sustainability, automated parking reduces carbon emissions by eliminating unnecessary idling and manoeuvring inside parking structures. “In addition, conventional car parks require large ventilation systems to eliminate the exhaust fumes. These consume energy and contribute to emissions – requirements that automated systems minimise. Additionally, by maximising parking capacity in a smaller footprint, more land can be allocated for green areas or public spaces,” he adds.

Parkolay’s fully automated parking solutions can also integrate seamlessly with the infrastructure in smart cities.

DATA-DRIVEN URBAN PLANNING

Another advantage of fully automated systems is the data and analytics they generate, a feature increasingly appealing to city planners.

“With traditional surface parking, it is very difficult to measure traffic accurately. In contrast, automated parking systems record every check-in and check-out in real time, allowing analysis of traffic flows and usage patterns throughout the day. Municipalities and government entities can use this data for urban planning, infrastructure development, and traffic management,” Eita points out.

Beyond traffic trend analysis, systems also capture detailed information about vehicles – size, weight, type (SUVs, sedans, 4x4s) – helping both developers and municipalities forecast and plan infrastructure requirements.

SAFETY, RELIABILITY, AND CUSTOMER EXPERIENCE

Safety is one of the strongest differentiators of Parkolay solutions. As Eita emphasises: “Safety is our top priority. Not all automated or mechanical parking systems comply with international safety standards, and this creates serious risks, both for vehicles and for users. Parkolay systems are fully compliant with stringent European standards, ensuring maximum protection. Our fully automated systems are equipped with multiple sensors to check every aspect of vehicle safety.”

He adds that the “confirmation room” process provides an extra layer of assurance: “When a car enters the facility, the system verifies that the engine is turned off, no hazardous items are inside, and emissions are not being released. Only after all safety checks are complete does the system accept the vehicle,” Eita explains.

This safety-first design not only reassures end-users but also elevates the value of properties where Parkolay systems are installed, which is a critical factor when attracting premium tenants and buyers.

FLAGSHIP SAUDI PROJECTS

To date, Parkolay has successfully delivered landmark projects in Makkah in Saudi Arabia and in Dubai, UAE, proving the resilience and adaptability of its systems. Its Riyadh project is under execution, with the main mechanical parts installed and planned to go operational in Q4-2025.

In Makkah, the company completed a 15-storey standalone parking complex for 606 cars this year, developed in partnership with a local main contractor and the municipality. Featuring six entry-exit points, the ParKompakt system provides convenient, safe, and efficient facilities for residents and pilgrims alike at one of the world’s busiest religious destinations.

In Riyadh’s Al-Batha district, where basement excavation was not possible due to site constraints, Parkolay innovated an adaptable unique design with a rooftop parking solution for a shopping mall. This ParKompakt fully automated system, which is under construction, will accommodate 375 cars on four parking levels with four entry-exit points and incorporates architectural features such as a glass lift shaft, allowing visitors to watch vehicles being transported, thus creating both a functional solution and a visual design element.

PROFIT GENERATOR

For Eita, Parkolay’s customer-centric approach goes beyond technical delivery: it is about changing the mindset around parking.

“As part of our mission, we see parking systems as enablers that help developers and investors to maximise project returns while enhancing the overall experience for end users. Our goal is to make people’s lives easier, offering seamless and efficient parking that encourages them to return. At the same time, automated parking transforms what was once a ‘pain point’ into a profit generator for developers,” he adds.

Globally and regionally, he sees automated parking becoming a standard feature of urban developments. “As a market leader in this technology, we view it as our responsibility to raise awareness, support adoption, and drive innovation, making parking a strength instead of a weakness – helping shape a smarter, more sustainable future for both the region and the world,” he concludes.

As Saudi Arabia accelerates its Vision 2030 plans, urban mobility challenges – from congestion to emissions – continue to mount. Parkolay’s partnership with ALUPCO offers a powerful combination: world-class technology with local credibility and presence. Together, they are redefining what parking means for developers, municipalities, and end-users alike.

Through flagship projects in Makkah and Riyadh, the partnership is proving that automated parking is more than a technical solution – it is a strategic asset. It improves tenant attraction, reduces traffic congestion, aligns with sustainability goals, and integrates seamlessly with the kingdom’s smart city vision.