Santa Monica Unveils New Parking Rates to Encourage Longer Stays

On January 12, 2026, downtown Santa Monica’s public parking structures will adopt a new pricing scheme that keeps the first 30 minutes free but raises rates at the three‑ and five‑hour marks.

Downtown Parking Gets a Make‑over

The city’s plan shifts from a 90‑minute free window to a 30‑minute one. After the initial half hour, drivers will be charged, with costs climbing again when a vehicle remains parked for three hours or more. The goal, according to the city, is to “ultimately…pay less than they do currently for the same period of time.”

Incentives for Longer Visits

To reward extended stays, a monthly parking permit will be 20 % cheaper than the previous rate. The city is also offering discounted rebates to businesses, allowing them to provide 90‑minute validations for $1.50 each. These measures are part of an effort to keep shoppers and visitors in downtown for longer periods.

Beach Lots and Meters Get a Price Hike

Starting the same day, parking at beach lots and meters will cost $2 per hour—a 25‑cent increase from this year. The city noted that discounted rates will remain available for seniors and people with disabilities. Flat‑rate beach lots will be $2 to $5 more than before, yet the city still claims Santa Monica’s beachfront lots are among the “least expensive” in Southern California.

Credit Card Fees and Payment Options

Those who use a credit card to pay for parking will face a transactional cost, though the exact amount was not disclosed. Payments made by cash or check will not incur these fees.

Council Approval and Revenue Outlook

The Santa Monica City Council approved the new parking rates in August as part of the city’s realignment plan. Officials estimate the changes could generate up to $9 million a year.

Fiscal Distress Resolution

In September, the council unanimously passed a resolution declaring a state of fiscal distress. This move allows the city to tap state and federal funds and grants to address financial challenges.

Key Takeaways

• New rates take effect Jan. 12, 2026, with free parking only for the first 30 minutes.
• Parking fees increase at the three‑ and five‑hour marks, rewarding longer stays.
• Beach parking rises to $2 per hour, while senior and disability discounts remain.
• Credit card payments incur an undisclosed fee; cash or check payments are fee‑free.
• The council expects the new scheme to bring up to $9 million in annual revenue.

Santa Monica’s updated parking policy reflects a broader strategy to boost downtown activity while generating additional municipal revenue. Drivers, commuters, and local businesses will need to adjust to the new structure, but the city hopes the incentives will encourage longer visits and support the area’s economic vitality.