Parking behind a garage door at Bondi Beach costs $1 million. (Source: Google Maps/Domain)
A parking space at Sydney’s iconic Bondi Beach is up for sale and comes with a hefty price tag. Parking can be difficult in Sydney, especially around the biggest hotspots. So if you want to avoid that, just keep a million dollars in your pocket.
This is the asking price for a parking space in the secure parking garage at 2-4 Knotts Avenue. It may sound crazy, but Ric Serrao of Raine and Horne tells Yahoo Finance that space in suburbs like Bondi is only going to get more expensive.
“$1 million today will be $2 million in five years,” Serrao said.
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This spot is being called a “once-in-a-generation experience” by its owners, as it’s as close to the beach as you can imagine.
“Imagine the privilege of arriving at Bondi Beach on a scorching summer day and being spared the stress of finding a parking space. Instead, you can comfortably drive into your private covered garage on the safe shore. ” says the listing.
“This haven not only boasts the closest parking to the beach and icebergs, but also convenient amenities such as power and fresh water at your fingertips.”
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Parking will get you as close to Bondi Beach as possible. (Source: Domain)
In addition to investing $1 million in this space, you will also be required to pay a quarterly levy of $226.88.
Yahoo Finance has reached out to the seller for comment.
That price is much higher than what the same apartment complex sold for earlier this year.
A similar parking space went up for auction in January, and one lucky bidder took home the keys for just $304,700.
On the other side of the beach, an apartment complex sold for $3.75 million in March, and Lane and Horn received a $1 million offer for the property’s garage alone during the campaign.
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“Trying to split the title was going to be too complicated. You’d be surprised how common parking near the beach is, how much demand there is, and how much someone is willing to pay.” ,” Serrao told Yahoo Finance.
A parking space is a long-term investment
Unless you’re driving to the beach every day for the rest of your life, paying $1 million for parking seems like a stupid idea, right?
Well, the demand is always pretty high so they can actually make decent money in the long run.
Judging by Park Hound, parking in Bondi can be rented for $780 per month.
But Serrao believes you can get even more out of it if the space is in a desirable area.
“You can rent that garage for $250 or $300 a week,” he explained, referring to the Ramsgate Avenue property that was sold in March.
Australians buy houses just for parking
Earlier this year, another garage in the upscale Sydney suburb of Woolhalla sold for a whopping $500,000.
The selling agent, Ben Collier of The Agency, told Yahoo Finance that it was the most expensive parking lot ever sold in the city that he can remember.
“For parking, I think you need at least 10 to 12 percent of the total lot per space. That’s on a percentage basis,” he explained. “This gentleman would think that if his property was worth $5 million or $6 million, the parking lot would reflect the added value of his home.”
The value of parking spaces is skyrocketing across Sydney. (Source: realestate.com.au)
The garage was quite unique as it had its own ownership separate from the attached apartment building. Collier said he knows some residents have chosen to buy apartments just to have a parking space.
“There are high-rise apartment buildings that run from Underwood Street all the way to Caledonia,” he told Yahoo Finance.
“When an apartment comes up for sale in that particular building, it’s often the direct residents who buy the apartment, who keep the car space for themselves, but rent out the apartment. It is.”
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