Chicago Parking Meters LLC also known as ParkChicago [1] is an American company [2] with several investors [3] that owns the parking meters in the city of Chicago, Illinois. The company has gained notoriety for its roots in the sale of the City of Chicago's parking meters to private investors, considered a financial disaster for the city.
During the 2008 financial crisis, the City of Chicago faced a major budget deficit, which prompted then-Mayor Richard M. Daley to propose the sale of city-owned parking meters. Brokers affiliated with Morgan Stanley then formed an LLC called "Chicago Parking Meters LLC" to facilitate a potential deal with the city over the sale of the meters. [4] By December 3, 2008, a deal was made to sell all 36,000 [5] [6] of the parking meter spots in the city for 75 years for $1.15 billion. [7] [8] The deal was approved and finalized on December 4, 2008. When the deal went through, prices increased and many meters were vandalized in the initial rollout. [9] As of 2023, the investors in CPM LLC have recouped their investment plus $500 million, and still have 60 years left on the deal. [10]
The contract has been widely criticized as a negative example of privatization. [11] Part of the deal is that if any of the metered parking spots are not available as such, for any reason—i.e., parades, street maintenance, electrification for electric vehicles, bike lanes, [12] or outdoor seating—then the city has to compensate the LLC for their projected losses. [13] Because compensation costs are so expensive, it had been criticized for limiting development of city infrastructure. [14]
The investors in the LLC according to the City of Chicago are listed below. [3] Matt Taibbi in Griftopia claims that Deeside investments owns 49.9% (and possibly a controlling share [15] ) and Redoma S.a.r.l. owns 50.1%. [16]
Investor | Percentage interest in disclosing party | Country | Direct or indirect ownership |
---|---|---|---|
Morgan Stanley Infrastructure Partners LP | 11.415 | USA | direct |
Morgan Stanley Infrastructure Partners A Sub LP | 38.032 | USA | direct |
Morgan Stanley Infrastructure Partners A Chicago Meters Blocker, LLC | 31.403 | USA | indirect |
Morgan Stanley Infrastructure Partners A LP | 31.403 | USA | indirect |
Morgan Stanley Offshore Infrastructure Partners A LP | 24.061 | USA | direct |
Deeside Investments, Inc. | 49.9 | USA | direct |
Redoma S.a.r.l. [17] | 24.9999 | Luxembourg | indirect |
Tannadice Investments, LLC | 24.9001 | USA | indirect |
Abu Dhabi Investment Authority | 24.9001 | UAE | indirect |
Allianz Lebensversicherungs – Aktiengesellschaft | 21.249915 | Germany | indirect |
Allianz Deutschland AG | 24.9999 | Germany | indirect |
Allianz SE [18] | 24.9999 | Germany | indirect |
The United Arab Emirates is a high-income developing market economy. The UAE's economy is the 4th largest in the Middle East, with a gross domestic product (GDP) of US$415 billion in 2021-2023.
Richard Michael Daley is an American politician who served as the 54th mayor of Chicago, Illinois, from 1989 to 2011. Daley was elected mayor in 1989 and was reelected five times until declining to run for a seventh term. At 22 years, his was the longest tenure in Chicago mayoral history, surpassing the 21-year mayoralty of his father, Richard J. Daley.
The Abu Dhabi Investment Authority is a sovereign wealth fund owned by the Emirate of Abu Dhabi in the United Arab Emirates, founded to invest funds on behalf of the Government of Abu Dhabi. It manages the emirate's excess oil reserves and is estimated to manage $968 billion. ADIA is one of the largest sovereign wealth funds in the world.
Tishman Speyer Properties is an American multinational coorporation based at 45 Rockefeller Plaza in Midtown Manhattan. The conglomerate invests in high-profile real estate properties, has developed multiple buildings around the world, and has owned famous buildings and land plots, including the Chrysler Building.
The Abu Dhabi National Oil Company, known by its acronym ADNOC, is the state-owned oil company of the United Arab Emirates (UAE).
Fortress Investment Group is an American investment management firm based in New York City. It was founded as a private equity firm in 1998 by Wes Edens, Rob Kauffman, and Randal Nardone.
Hargreaves Lansdown plc is a British financial services company based in Bristol, England. It sells funds, shares and related products to retail investors in the United Kingdom. It is the largest investment platform in the UK. The company is listed on the London Stock Exchange and is a constituent of the FTSE 100 Index.
Mubadala Investment Company PJSC, or simply Mubadala, is a state-owned global investment and asset management company that acts as one of the sovereign wealth funds of the government of Abu Dhabi. The company was established in 2017 when then-named Mubadala Development Company and the International Petroleum Investment Company (IPIC) merged. Headquartered in Abu Dhabi, Mubadala also has offices in London, Rio de Janeiro, New York, San Francisco and Beijing.
Abu Dhabi is the capital city of the United Arab Emirates (UAE). The city is the seat of the Abu Dhabi Central Capital District, the capital city of the Emirate of Abu Dhabi, and the UAE's second-most populous city after Dubai.
Khaldoon Khalifa Al Mubarak is an Emirati Government official and business leader. Al Mubarak holds senior positions within the Government of Abu Dhabi, including as a member of the Executive Council since 2006, a member of the Supreme Council for Financial and Economic Affairs, and as the founding chairman of the Executive Affairs Authority. He fulfills responsibilities for the UAE Federal government and has served as Presidential Special Envoy to the People's Republic of China since 2018.
The Abu Dhabi National Energy Company, PJSC (TAQA) is a government controlled energy holding company of Abu Dhabi, United Arab Emirates.
Rhône Group is a global private equity firm with approximately $11 billion of assets under management, specializing in mergers and acquisitions, leveraged buyouts, recapitalizations, and partnerships with particular focus on European and trans-Atlantic investments. Rhône also offers financial advisory services, strategic alliances, joint partnerships, and business valuation services. Rhone Group was listed in 2013 to 2014 by Preqin as the 'Most Consistent Performing Private Equity Fund Manager' based on both its multiple and IRR of all 3 funds in the top quartile ranking.
The three cities of Abu Dhabi Emirate within the United Arab Emirates – the coastal city Abu Dhabi itself as well as the inland oases Al Ain and Liwa – receive their drinking water supply entirely from desalinated seawater.
Turkey and the United Arab Emirates share extensive cultural, military and economic ties, but relations have substantially deteriorated since Arab Spring, and later started to recover in the recent years.
Derek M Quinlan is an Irish businessman prominent in the field of real estate investment and development. A former tax inspector at the Irish Revenue Commission, he formed investment syndicates with high-net-worth individuals to acquire investment properties across the world. His principal investment vehicle was Quinlan Private, a private equity firm with offices in Dublin, London and New York.
Amanda Louise Staveley is a British business executive. She is notable chiefly for her connections with Middle Eastern investors. She helped a Saudi consortium take over Newcastle United in a deal completed in October 2021 and has joined the board of directors.
Ardian is a France-based, independent private equity investment company, founded and managed by Dominique Senequier. It is one of the largest European-headquartered private equity funds. The company was originally set up by Dominique Senequier in 1996 as the AXA Group's private equity division, but later gained independence in 2013, and rebranded itself as Ardian. The name Ardian (ar・di・an) was inspired by an ancient European language in which 'hardjan' mean strength, durability, and boldness. Ardian manages assets worth US$150 billion in Europe, North America and Asia, and has fifteen offices. The firm offers a funds of funds, direct funds, infrastructure, private debt and real estate, and manages a direct portfolio of more than 150 companies. Its fund of funds segments owns stakes in over 1500 funds. Ardian's 880 investors include institutional investors, funds of funds, government agencies, sovereign funds, family offices, pension funds and insurance companies). The firm has been ranked one of the largest companies by amount raised in equity by Private Equity International, and was named "Company of the Year" 2013 by the readers of Private Equity International.
The Abu Dhabi United Group for Development and Investment is a United Arab Emirates (UAE) based private equity company. It is owned by Sheikh Mansour bin Zayed Al Nahyan, member of the Abu Dhabi Royal Family and Vice President of the UAE. Leaks of internal documents show that the Abu Dhabi government manages the accounts belonging to ADUG. ADUG insists it is separate from the Abu Dhabi government.
Group 42 Holding Ltd, doing business as G42, is an Emirati artificial intelligence (AI) development holding company based in Abu Dhabi, founded in 2018. The organization is focused on AI development across various industries including government, healthcare, finance, oil and gas, aviation, and hospitality. Tahnoun bin Zayed Al Nahyan, UAEs national security advisor is the controlling shareholder and chairs the company. Because G42 had strong ties to China, U.S. authorities have been concerned that G42 serves as a channel through which sophisticated U.S. technology is diverted to Chinese companies or the government. As of February 2024, G42 divested its stakes in China.
twofour54 is a UAE state-owned media and entertainment production company located in Abu Dhabi, United Arab Emirates. Many major Hollywood productions have done production work in twofour54's facilities.