Experts Advice - Car Park Investment

Hong Kong City Parking mainly operates open space car park in urban area. Parkinghk.com (http://www.parkinghk.com) was created by Hong Kong City Parking as a free car parking information platform to let visitors to express comment and opinion.

It points out Car Parking property market in Hong Kong can be diveded into Residential, Commercial, Industrial, Government or open space. No matter you buy car park property for own use or for invesment. You have to pay attention if this property allows for NON RESIDENT PARKING. From invesment point of view, you want car park open to public to attract more potential buyers. But if it is for own use, then you want car park restricted to RESIDENT ONLY. (Assuming you are resident of the development). Except for some open space car parking in some multi-storey car park, 90% of open space car park are for public. That means visitor parking is allowed.

 

Car park leasing market is completely different from other property markets. Most of them are without tenancy, leasing on monthly basis. Some landlords may require one month advance notice if not renewing leasing. Some landlords do want lease on yearly basis, in such case they will require one to two months rental deposit.

In other article it says most of car park invesment in Hong Kong are for private vehicle car park property. Based on Transports Department record, up to 2010 December there are 414,996 private vehicles registered. But there are already 502,800 private vehicle parking space in year 2006. Supply is obviously greater than demand.

 

But this situation changed dramatically since HK government announced in 2010 November a Special Stamp Duty for residential property investment. Some hot money floods into car park investment for high returns.

 

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30th Mar 2011

 

Hong Kong Economic Times

For reference only. It is not investment advice.