City carparks on market for $75k

Real estate agents say rising demand could make present central Auckland prices cheap in the long term.

Central Auckland carparks are on the market for as much as $75,000 - a price one expert says could prove a bit of a bargain in the long run.

A park beneath the Quay West hotel/apartment building at 8 Albert St, near the Customs St East intersection, is leased for $320 a month.

"This is a simple one," said Barfoot & Thompson agent Jason Buckwell, who is advertising the tiny space.

"A central city carpark. A strip of concrete plus two lines of paint, currently leased for $320 per month."

Chris Dibble, Colliers International Auckland research manager, said the price might look expensive but people needed to think about factors which could change the market.

Auckland has a limited number of unit title carparks and Auckland Council has been pushing for more public transport lately, he said.

Those factors, combined with rising office worker numbers and more apartment residents, suggested that demand for carparks would rise, even though the increasing number of apartment residents do not all need carparks, he said.

And rising demand would mean rising prices.

"All this may push the price of rents up in the future, potentially making this a much more appealing investment," Mr Dibble said.

He provided an international comparison which showed Auckland CBD parking was cheap compared to other major cities. Wellington was more expensive.

Another park, on the corner of Wyndham and Queen Sts, is going for the same price.

Barfoot agent Livia Li wrote: "No need to get stressed as this is your chance to invest in your own car park in the middle of Auckland CBD".

In 2006, Morrinsville dairy farmer John Blakeborough paid $100,000 for a carpark at Auckland's CityLife Hotel, around the time a carpark beneath the 40-level Metropolis apartment block on Courthouse Lane went for $78,000.

The Colliers survey showed the world's most expensive carparks are in London's financial district, at a median monthly rate of $1292.

Mike Richards, sales director at apartment real estate agency City Sales, said his firm had sold four Quay West carparks in February, each for $70,000.

Carparks near Queen St could go for up to $100,000 and even those on Nelson St and Hobson St were going for $40,000 to $50,000.

Parks in the Farmers Carpark on Hobson St were selling for around $25,000 to $35,000, Mr Richards said.

Also worth $75,000
*A round of golf with Tiger Woods. Auckland supermarket owner John Street paid $75,000 to do so.
*A two-bedroom home in Rangitikei, Manawatu, is currently going for $75,000.
*Rent an island in the South Pacific for a week. Renting Fiji's Tokoriri Island will cost between NZ $70,000 to $75,000.
*A night of ultimate luxury at the Royal Penthouse at the President Wilson Hotel in Geneva, Switzerland.