The Financial Viability of Motorway Rest Areas

Abstract

Most motorways authorities generate revenues—additional to tolls if they are applied—from the operation of motorway rest/service areas (MRA). The article identifies the key factors related to their financial viability, such as number of vehicles that stop in such facilities and amounts spent by drivers and passengers for services and goods. Thus, models for the estimation of the MRA traffic volume and the generated revenue are developed with data from Greek MRAs. These could assist the potential MRA developers in making decisions about relevant investments. Also, they could provide a tool to explore options related to the use and structure of the MRAs, which are influenced by the motorway authority ownership status (public, private, or under concession). An application of the models to a MRA, which was conducted to prove their validity, has produced good results, enabling the motorway authority and the private investors to make the appropriate decisions.