AirGarage is expanding its paid parking footprint near downtown Tempe. The company wants a use permit to add 55 spaces at First United Methodist Church of Tempe to its managed inventory, bringing more of the church's parking lot under paid management.
The request goes before the Tempe Development Review Commission on June 9. The church, at 213 East University Drive near Ash Avenue and about two blocks from Mill Avenue, already has AirGarage managing a portion of its lot. Drivers visiting the church can call a number to validate their parking.
Adding capacity, not converting free spaces
AirGarage already manages parking at this location. This use permit would expand the arrangement to 55 designated spaces — likely spaces that were previously underutilized or reserved for overflow use. Rather than eliminating free parking, the expansion brings more of the lot into the paid inventory, making those spaces available to downtown visitors who might otherwise circle blocks looking for a spot.
The church retains the ability to validate parking for visitors.
How AirGarage operates
AirGarage is a full-service parking operator, not just a payment app. At managed lots, it installs license plate recognition (LPR) cameras that track every vehicle entering and exiting. Drivers pay through a web-based platform — no app download required — and the system checks each plate against payment records.
If a vehicle hasn't paid, AirGarage handles enforcement internally, flagging suspicious vehicles to local law enforcement as needed. The company also manages on-the-ground operations: trash removal, cleaning, landscaping, and maintenance are included in its service.
AirGarage uses dynamic pricing, adjusting rates in real time based on occupancy. Rates rise during peak hours to capture more revenue and drop during slow periods to drive traffic.
Revenue split
Under the AirGarage model, the property owner receives a share of the parking revenue. The company takes a fee for technology, management, and enforcement. The specific terms of the FUMC arrangement are not part of the public agenda materials.
Why a use permit is required
Commercial parking is not a by-right use in the City Center (CC) zoning district. Property owners need approval from the Development Review Commission, which evaluates whether the use is compatible with surrounding properties. The commission can impose conditions on hours, signage, lighting, and operation.
Downtown parking dynamics
This would not be AirGarage's first downtown Tempe location. The company already operates at 255 East University Drive, on the opposite end of the block. Adding 55 managed spaces closer to Mill Avenue increases the supply of paid parking near the commercial core — spaces that previously sat empty during the week or were used only sporadically.
The June 9 meeting is open to the public. The commission may approve the permit, approve with conditions, or deny it.