A property owner in Stillwater, Minnesota began their parking operation with a Scan-to-Pay system. It was simple, reliable, and a great first step toward modernizing their lot. Visitors could easily pay from their phones, compliance was solid, and the owner avoided the high costs of attendants, gates, and old hardware-heavy setups.
For a while, it worked well. The lot saw steady daily revenue and consistent occupancy. But as demand increased, the owner noticed a growing gap between lot usage and payments. Even with clear signage and user-friendly technology, a portion of visitors simply chose not to pay. This left a significant amount of potential income untapped.
Instead of layering more staff or installing expensive gates, the owner decided to upgrade their enforcement strategy. They transitioned from Scan-to-Pay to a camera-enforced AI License Plate Recognition (LPR) system. This premium solution automatically captured every vehicle entering and exiting, cross-referenced plates with active payment sessions, and issued violations to non-compliant parkers.
Within 90 days, compliance soared from roughly 35 percent to over 90 percent. Monthly revenue increased by about 300 percent, and what had once been a modest revenue stream became a fully monetized, high-performing asset. The new system provided precision and consistency that manual checks or signage alone could never match.
For commercial property owners, parking revenue is more than cash flow—it’s a core driver of property value. By dramatically increasing net operating income (NOI), the owner also boosted the capitalization value of the asset.
The increased NOI translated to roughly $100,000 annually. At a capitalization rate of 8 percent, this represented an estimated $1.25 million increase in property value.
This kind of value uplift mirrors the approach taken by many parking operators who use advanced enforcement to unlock hidden revenue potential.
Scan-to-Pay remains an excellent entry point for many lots. It’s simple, low-friction, and cost-effective. But for properties with consistent traffic and growth goals, upgrading to a premium enforcement solution like AI-powered LPR can unlock significant gains in both revenue and asset value.
The Stillwater owner didn’t just upgrade their technology—they transformed their parking lot into an appreciating investment.