general discussion on parking spaces in London

maxthepolarbear

Background: I bought a new build flat two years ago. At the time of purchase there were no parking spaces available. I have now been told by the developer that I could buy a parking space in the adjacent block of the same development if I want to (there are still no parking spaces in my block - the ground floor is currently occupied by a sales gallery which might be moved in future. Then the current ground floor space might be converted in the parking spaces but there are no confirmations from the developer on this).

It's in London and I am in a borough where the council has stopped issuing parking permit for residents in new builds so I won't get one if I apply.

I have a few general questions - not necessarily expect an answer but I'd just like to know people's opinion in general.

Say you are a potential buyer and you are interested in buying my flat, would you be put off by the fact that my parking space is in a different block?

Would your answer to the question above change if (a) you discover there are actually parking spaces in my block just htat I don't have one (b) there are no parking spaces at all?

The parking space costs £25,000 and I guess my main concern is whether my house price will go up by at least that much. House price currently is at £460k. I know people generally say a parking space will add around 5% to the house value but I'm not sure whether being in London and that the parking space is in a different block will have an impact to the % figure...

kinger101

It sounds like it would be the difference between the owner of the property owning a car or not owning a car. It would be a non-starter for many buyers if there was not parking space. A different block wouldn't bother me if I could be in the car in less than a three minutes.

Consider as well the if you don't own a car, there might be an income opportunity from renting the parking space out.

bouicca21

I would prefer a property with parking to one without. Distance might be a factor (carrying heavy shopping, sorting out children and a buggy ...) but I cannot envisage circumstances that would make me want to shell out £25k. If I did I'd be wanting to be sure there was some way of guaranteeing no one else would use it.

Marvel1

Depends how far it is and what the current situation is without that space and as mentioned what if someone else parks there.

kinger101

I would only be spending £25K for the current owner. Anyone needing a car in the future simply wouldn't look at the property. It's difficult to know the additional value this would add to the property in the future (compared to those without).

I might have a chat with an estate agent who might have more insight into the local market.

maxthepolarbear

Thanks all for your input so far.

I should clarify the parking space is underground and will be gated.

I did ask a surveyor when he came to do a valuation what a fair price of a parking space would be around my area and he said £25k to £30k so I think it is a fair price although I'll try to see if I could negotiate it lower.

The whole development will have around 1000 flats but only 300 parking spaces. I'm hoping this £25k investment will turn out to be worth it...

kinger101

maxthepolarbear wrote: »

Thanks all for your input so far.

I should clarify the parking space is underground and will be gated.

I did ask a surveyor when he came to do a valuation what a fair price of a parking space would be around my area and he said £25k to £30k so I think it is a fair price although I'll try to see if I could negotiate it lower.

The whole development will have around 1000 flats but only 300 parking spaces. I'm hoping this £25k investment will turn out to be worth it...

If you don't use it yourself, you might find out how much income you'd get (pre-tax) here;

https://www.yourparkingspace.co.uk/

AFF8879

How central is it? If in zone 1/2 it's probable that most potential purchasers won't need a parking space. £25,000 seems crazy unless you're talking ultra central.

I have a parking space with my flat in Bow, if it was worth anywhere near that I'd be selling it tomorrow!!

AdrianC

AFF8879 wrote: »

How central is it? If in zone 1/2 it's probable that most potential purchasers won't need a parking space. £25,000 seems crazy unless you're talking ultra central.

This is a key question. Not all London is alike.

lewishardwick

I know Lewisham took the 'no parking permit' route a few years ago for some central developments... Given the proximity of the A2 and A20, I'd still be tempted by a car...

booksurr

25k for a parking space in London seems reasonable (what a statement that is !!!) but at the same time it we have no idea what your development is like or who its target market is. After all a lot of London residents do not have a car so your space would only add value in terms of its potential rental income as a parking space for a commuter. Which brings us back to where are you and what is the local market.

at the end of the day if I could afford 25k i would buy without a second thought on the basis of what you say: 300 out of 1000 puts a heck of a premium on the space and and someone will surely want it and be prepared to pay for it, next block or not.