No free parking: Cars cost New Yorkers $1,000,000
A condo development in New York City's SoHo neighborhood is charging $1 million for a parking spot.
The New York Times reports the 10 underground spots at 42 Crosby St. will cost more per square foot than the apartments upstairs. The parking spots will run between $5,000 and $6,666 a square foot.
The three-bedroom apartments will cost around $8 million to $10 million, or about $3,100 a square foot.
Brokerage firm CEO Shaun Osher says there are "few to no options" for parking in SoHo, just northeast of the World Trade Center site. He says his firm is "looking at setting the benchmark."
The million-dollar parking spots will be offered to buyers at the 10-unit luxury apartment building being developed at Broome and Crosby Streets, itself the former site of a parking lot. The parking spaces will cost more than four times the national median sales price for a home, which is $217,800, according to Zillow.
The Times reports that median sales price of a Manhattan apartment reached $920,000 in the second quarter of 2014. Apartments at the ultrahigh end have been selling for more than $90 million.
Were looking at setting the benchmark, Osher told the newspaper. In real estate, location defines value and parking is no exception to that rule. In SoHo, Osher said, there are few to no options for parking, let alone a private spot in your own building.
Those who pay $1 million for a parking spot at 42 Crosby St. will not actually own it, either, according to The Times. The condo is selling 99-year licenses for each spot. A license entitles buyers to use the space as long as they are residents of the building and requires that it be sold in the event of a move.