How to manage the competition for curb space in an era of e-commerce and electrification

The Seattle SMART project, led by the University of Washington’s Urban Freight Lab and the Seattle Department of Transportation (SDOT), examines how digital technologies can enhance the efficiency of the “last mile” of urban deliveries. Funded under the US Department of Transportation’s Strengthening Mobility and Revolutionizing Transportation (SMART) program, the project explored how curbside space for freight (especially Commercial Vehicle Load Zones (CVLZs)) could be digitized to improve accessibility, equity, and sustainability in dense urban areas, such as Seattle’s Belltown and Denny Triangle.

About 11% of Seattle’s downtown curb space is reserved for commercial loading. These CVLZs can be used by carriers holding an annual permit ($250) or by paying per use. The project aimed to modernize the analog permit system by introducing Vehicle-to-Curb (V2C) technology, which records usage data in real-time. The study combined multiple data sources, including 30 years of SDOT permit and citation records, direct curb observations, carrier interviews, and surveys of over 100 delivery companies. The results reveal how freight interacts with city curbs—and how policy can be reformed to manage it more effectively.

The number of CVLZ permits has declined sharply since the late 1990s, from over 6,000 to less than 3,000 in 2023, though most permit holders renew their licenses annually. The permit system remains Seattle’s primary source of curb-management revenue, generating approximately 57% of total CVLZ income, with fines and pay-per-use fees accounting for the remainder. Even so, enforcement remains limited: an average CVLZ saw only about 14 citations per year, and nearly 60% of total curb use was unauthorized—meaning vehicles parked without paying or holding a permit.

Observation data showed that commercial vehicles—both with and without permits—prefer CVLZs because they are closest to customers. Permit holders parked more efficiently and for shorter periods, while non-permit vehicles stayed longer, often double-parked or using unauthorized spaces. Passenger vehicles, particularly ride-hailing and delivery services, occupied more than half the available curb time, often in freight zones. These findings underline the growing competition for scarce curb space among delivery vans, service providers, private drivers, and mobility platforms.

Interviews with firms like UPS, Columbia Distributing, and local wholesalers revealed shared concerns: limited CVLZ capacity, competition from non-commercial vehicles, and construction disruptions. For small businesses using personal vehicles, the lack of predictable loading access forces inefficient workarounds. Survey results confirmed these disparities: 83% of respondents were permit holders, typically larger firms with long purchasing histories and fleet coverage of 70% or more. They conduct more stops per route and operate mainly during daytime, while non-permit users (often in retail or small logistics) work longer hours and at night, facing a higher risk of fines or delay.

When asked about pricing, most respondents demonstrated clear price sensitivity: demand for annual permits dropped sharply as prices rose, indicating that small operators could be priced out of compliance if rates increase without alternative options. Many supported more flexible models, such as pay-per-use or digital dynamic pricing, provided that enforcement and access information become more transparent.

The study concludes that digitizing curb management can make freight logistics more predictable, provided it is paired with effective policy design. Data-driven enforcement, integration with mobility platforms, and differentiated pricing could balance access across users. The findings also highlight the need for digital “curb twins”—real-time maps that visualize available loading space and facilitate the coordination of deliveries.

Seattle’s experience illustrates a broader challenge for cities worldwide: how to manage the competition for curb space in an era of e-commerce and electrification. By coupling data analytics with practical pilots, the SMART project sets the stage for a second phase focused on real-time curb management, equitable access for small carriers, and emission-free urban logistics. It shows that digital tools can make the last mile not just smarter, but fairer and more sustainable.

Source: University of Washington Urban Freight Lab

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