Yesterday, the New York Times published an article about parking spaces for sale in the basement of a condominium development at 246 West 17th Street in Manhattan, for a mere $225,000 U.S.
This made me think about all the people in Toronto that complain that they paid $22,000 for a parking space with their new $275,000 condo.
The alternative? Don’t drive.
I deal with a fair amount of leases in downtown Toronto, and almost everybody who leases, whether for $1300/month or $3000/month wants a parking space.
Underground parking in a condominium costs anywhere from $100 – $250 per month depending on the building. If you’re lucky, smart, or have an experienced Realtor working on your behalf, you’ll find a condo that has parking included in the price. This is one surefire way to save a few bucks.
Alternatively, if you don’t need parking, and your condo comes with it, you can rent it out for additional income to help pay your monthly lease.
What about all those people that don’t want to RENT a parking space, but rather BUY one? How much does this cost?
Well, in the resale condominium market, a parking space is included in the sale of the condominium. I paid $277,500 for my King Street condo this year, and my P3 parking space was included in the price. Good thing, because I saw one for sale privately on the building bulletin board for $27,000!
Where buyers really get hit for parking is in the pre-construction condominium market where the advertised price of the condo is for the bare minimum, and things like parking, locker, and a toilet in the bathroom are all extra…
When I bought my unit at West Side Lofts in the fall of 2005, it was a cool $19,000.
What a deal!
Take a look at “Festival Tower,” the new luxury condominium project at King & John. They have gone so far as to charge different prices for different levels of parking! This makes me feel even smarter for negotiating a parking space “no more than six spaces from the elevator on the first parking level” at my West Side Lofts condo.
Festival Tower Parking:
- Level P6 – $30,000
- Level P5 – $30,000
- Level P4 – $32,000
- Level P2 – $36,000
- Level P1 – $40,000 (reserved for penthouses only)
What I find even more amazing, or “absolutely ridiculous” in my mind, is that the smaller, cheaper units below the $350,000 threshold are NOT allowed to purchase parking! Since when is $350,000 considered chump change? Do the people who purchased these units have to take the stairs too? Are they allowed to use the pool?
(Hmm….I think I’m going to write an entire blog entry on “Festival Tower” tomorrow. This has gotten me somewhat worked up…)
In any event, prices for parking spaces in downtown Toronto have skyrocked over the past few years, much like the real estate market itself. With prices set to surpass the $50,000 mark by late 2008, you have to look at the Manhattan real estate market, which Toronto has been slowly resembling and following, and begin to wonder how long it will take until we are “thankful” to be “lucky” enough to purchase a $225,000 parking space like those in downtown Manhattan.
In the meantime, we can look at the “deal” people are getting in Harlem by paying only $50,000 for their parking spaces, and consider ourselves lucky….for the time being…
