Car park space

The BBC has reported that 5 car park spaces in St Ives, Cornwall, are up for sale with a suggested auction price of £50,000 each.

Located 30 seconds from the town centre, the spaces are on the market for over twice the area’s average wage (£22,000).

Bradleys – the local auctioneer who will be selling the spaces – has turned down an offer for £100,000 for two spaces.

“We’re waiting because we’re hoping we might get even more,” John Harvey, St Ives branch manager told the Cornishman newspaper.
The auctioneer confirmed that around 60 people have expressed interest in the parking spaces for sale and defended the sale stating that, ‘there is simply not enough parking capacity in the town for the number of people that are here.”

In August 2012, one car park space was sold in St Ives for £55,000.

“[People] do not want to spend hours driving around St Ives looking for a parking space and they want a guaranteed space available to them if they go out for the day,” Jerry Harper, director of property developers Trelyon Estate Ltd. stated.

Despite the demand from buyers for car parking spaces in the area, the local community is enraged by the cost of parking.

“It shows the mismatch in St Ives and many other Cornish villages and towns between the local population on low wages and seasonal jobs and second home owners,” Andrew Mitchell chairman of the resources committee commented.

It has been agreed that the demand for expensive, private parking has emerged from the rising number of rich, second home owners in the area, which has inevitably driven up the price of both housing and parking in the area.

Around 80% of Britain’s 26 million residential properties were originally built with a front garden. According to the RAC Foundation’s research, 7 million of these gardens have been transformed into parking spaces.

A rise in the number of homeowners using garages as storage space has contributed to the demise of front gardens, with a third less cars now parked in residential garages overnight when compared with figures from over the past 10 years.

When compared to the 2 million cars recorded in 1950, car ownership has significantly risen over the past 60 years with 28.5 million cars recorded on Britain’s roads in 2011. The RAC Foundation has forecasted that there will be around 32 million extra cars in the next 20 years, calculated on the UK’s continual population growth and current rates of ownership.

The report published by the RAC Foundation, Spaced Out: Perspectives on parking policy written by John Bates and David Leibling, takes an in-depth look into parking trends in the UK.

“Car ownership is set to keep on rising, but where are these vehicles going to go? Unless we want to see more streets clogged up and front gardens disappear then councils need to address the matter. Ministers decision last year to remove the cap on parking spaces at new developments will help,” Professor Stephen Glaister, director of the RAC Foundation commented.

The average car in the UK is parked for 96% of the time, 80% of which is parked at home whilst 16% of time parked elsewhere. The demand for parking spaces in the UK is on the rise, with further pressure on developers to build more spaces to accommodate the rising number of vehicles on the road.

Rarely available to the individual investor, investment in managed car park spaces is on the rise in the UK.
Experience International is currently marketing a full-operational and hassle-free car park investment. Available with a 2 year 10% Net rental assurance, investor can secure a unit which is fully-managed and maintenance-free for just £25,000.

According to the Which? Guide to Parking, there are around 29 million parked vehicles in the UK at any one time.

This combined with the fact that the RAC Foundation (2011) has predicted that there will be around four million additional cars on UK roads in the next twenty years, highlights the continual requirement for parking facilities.

A Car park investment in a strong location can provide investors with high yields, as the parking spaces themselves command a high premium. Covered parking facilities in Central Business Districts and City Centres are convenient for drivers, with surveillance and clear pricing structures offering added security for motorists. These type of car parks are almost always full meaning the management companies can offer assured yields to the investors.

UK Car Park Investment

For investors interested in a car park investment, Experience International has just launched its first affordable car park investment opportunity in the UK, Manchester, providing a 10% Net rental assurance in place for the first 2 years.

As with most commercial property investments location is the key to success.  Named as the UK’s fastest growing city, Manchester’s City Centre alone has a population of 498,800 (Manchester City Council 2010) and is popular with both businesses and tourists.

What’s more, Colliers International’s 2011 Global CBD Parking Rate Survey has revealed that daily parking rates in Manchester are the 3^rd highest in the UK, with only London and Edinburgh ranked above the city.

Since 1997, Manchester has undergone a lot of regeneration with around £700 million invested in transforming the city into one of Europe’s leading cultural and economic hubs. The regeneration has established Manchester as a popular choice for tourists with the city ranked as the 3^rd most popular UK tourist destination by VisitBritain and the Office for National Statistics in 2011.

Generating around a third of the region’s wealth (equal to Liverpool, Sheffield and Leeds combined), Manchester is home to many businesses in the Financial Times Top 100 Companies and is also listed in the world’s Top 50 Conference Destinations.

“A tried and tested investment, we’re pleased to promote our first UK car park investment,” Steven Worboys, MD of Experience International commented. “This investment offers our members a low entry into an established international commercial market and proven double-digit returns.”

Investor can purchase the car park spaces on a 6 year leaseback agreement with an experienced management company that has a proven track record of 100% occupancy with its existing facilities. To add to the investment’s security, your 2-year assured income is deposited in an Escrow Account, with yields expected to grow in excess of 12%.

What’s more, parking spaces require minimal maintenance, reducing maintenance fees for a truly hassle-free investment opportunity.

For those looking to for a low entry option, car park investment is much cheaper than real estate or other alternative investments and offer investors a long-term, stable income stream.

For more information about UK Car Park investment, click here or on the image below.

Our parking facility is part of a commercial business tower in Dubai’s new business zone ‘Business Bay’ which is currently undergoing a $30 billion development that will comprise of residential, commercial, and retail units that will accommodate over 300,000 people upon completion. The car parking facility services the building and allocates spaces to tenants.

A report carried out by Colliers International on 147 global Central Business District (CBD) parking rates states the huge growth potential of parking rates in a Dubai CBD. A year on year comparison of median rates shows that in 2008 Dubai’s monthly average parking cost was at $198.48 and in 2009 rose to $240 – demonstrating a huge 20% rise in just one year.

Dubai is still almost half the price for car parking costs compared to cities such as Oslo, Perth, Stockholm and Copenhagen, and that Dubai will catch up these cities and at least equal their pricing structures heading towards the $1,000 per month cost sooner rather than later.

Covered / underground parking facilities in Dubai are in strong demand due to the extreme humidity and heat, and the high concentration of cars as the main mode of transportation in the
City necessitates their investment appeal.

Our Car Park Investment Exclusive provides an income investing opportunity in a built and fully-functional car park facility that only has 20% parking provision in relation to the building’s tenant capacity, indicating supply for parking in the city is not meeting the current demand.

Car Parks are a low entry level proposition for investors, presenting a more affordable commercial real estate investment opportunity.

Here is a new UK Car Park Investment – to download the exclusive investor report, click here or on the image below.

This type of commercial investment is an ideal the perfect addition for anyone to expand their property or alternative investment portfolio, due to its ability to generate a higher yield than other traditional investments.

Car park investment in a sought after areas offer investors attractive returns, as the spaces themselves command a high premium.

And don’t worry about their small size! According to the International Parking Institute, the parking industry received more than $20 billion annually in gross parking revenues.

What’s more, parking spaces require little maintenance, reducing maintenance fees for a truly hassle-free investment opportunity.
For those interested in purchasing a low entry option, car park investment is much cheaper than real estate or other alternative investments and offer investors a long-term, regular income stream.

What are the benefits of car park investment?

Well this is how Experience International, a specialist niche investment firm based in central London package their unique car part investment opportunity.

Investors purchase individual ‘Car Parking Spaces’ which are then leased back to an experienced car park management company that manages the ‘parking space’ for you. In return investors are rewarded with an initial 4 year income guarantee.

The simple nature of car park investments gives investors a hands-off approach whilst taking advantage of increasing rates of returns and capital appreciation. Investors benefit from yields much higher than most traditional ‘Buy-to-Let’ investments, especially in the UK.

As the asset receives a higher income it becomes more and more valuable and saleability every year, providing owners with the security that when they choose to exit the investment, the asset is just as attractive as when they bought it.

A car park investment is a low cost commercial real estate asset that will deliver high and regular yields, and high potential capital growth.

This form of commercial investment is the perfect addition for anyone looking to expand their real estate or alternative investment portfolio, due to its ability to generate higher yields than more traditional options.

Car park investment in a well located areas offer investors good returns, as the spaces themselves command a high premium.
And don’t be fooled by their small size! According to the International Parking Institute, the parking industry generated more than $20 billion annually in gross parking revenues.

What’s more, parking spaces require minimal maintenance, reducing maintenance fees for a truly hassle-free investment opportunity.
For those looking to enter a low entry option, car park investment is much cheaper than real estate or other alternative investments and offer investors a long-term, stable income stream.

Referring to stats compiled by the mortgage company ING Direct, the newspaper stated that a parking space in the west London borough of Kensington and Chelsea can cost up to £95,800.

Comparing the cost of this parking space to the average property price in the north-eastern town of Middlesbrough where the average property will set you back £82,300, the research highlighted the ever-growing cost of parking in the capital.

Based on a poll of 250 property surveyors, ING Direct estimated that off-street parking adds around 10% to the value of a property. On the basis that the average cost of a property in Kensington and Chelsea costs about £958,000, the value of a car park space in this location is £95,800.

Speaking about the company’s findings, Julian Hartley, mortgage director at ING Direct stated, “In central London locations, where you’ll find some of the most expensive properties in the world, a parking space will bring with it a hefty price-tag.”

Despite the global economic recession, the price of property in London has risen by 0.3% in 2011. According to Hartley, for most Britons a car park space is a ‘must’ when searching for a property.

As the asset receives a higher income it becomes more and more valuable and saleable every year, providing owners with the security that when they wish to exit the investment the asset is just as attractive as when they bought it.

A parking asset is an affordable commercial real estate investment, that will return high and stable yields, and considerable capital growth.