Why is the parking situation worsening in Brisbane?

Brisbane parking spaces are being rented for up to $1000 a month as sales of apartments and units with only one car spot surge, echoing trends in Sydney and Melbourne.

Units with single parking spaces are becoming more abundant, forcing many residents in high-density areas to rent parking from other people in their building or nearby.

The Housing Industry Association believes town planning laws and lifestyle choices of people such as downsizers or empty-nesters moving to the city are the cause.

Now, parking sites and apps advertise car park spaces to purchase for up to $50,000 in suburbs such as Spring Hill.

Some spots were advertised for rent for anywhere from $185 a month for an outdoor lot space on Boundary Street, up to $980 a month for secured, covered and reserved parking on Albert Street.

Prices across the CBD range from $180 up to about $1000, depending on whether spaces are secured or covered or the location. Credit: Park Hound

In comparison, one of Brisbane’s major car parks, King George Square near City Hall, costs $500 a month.

Lack of parking and high costs are expected to worsen, with Domain data showing Brisbane units with just one space remain the most popular, at 70 per cent of the proportion of apartment sales, while units with two car spaces make up about 20 per cent.

Units with one space have seen the most growth in the past two years, increasing 24 per cent since early 2020 to the start of this year.

Parking problems are most notable in inner suburbs such as West End, Fortitude Valley and South Brisbane.

Adding to pressure are people renting residential permits in suburbs such as New Farm and Teneriffe, allowing motorists who do not live in the suburb to park there.

Residents in Teneriffe and Newstead struggle to find car parking and regularly rent spaces.Credit: Michelle Smith

Why is parking like this in Brisbane?

Housing Industry Association Queensland regional executive Mike Roberts says the city is divided into different tiers that give developers minimum or maximum car parking limits.

Roberts says in Brisbane the decision has become political, with local government looking to push public transport to ease congestion.

City planning tiers

• City core: Inner city where planners have a maximum number of car parking spaces they are allowed to provide. For a one-bedroom unit, developers are only allowed to provide half a space. So, not every one-bedroom unit will have a space. For a two-bedroom unit, it is one space, and for a three-bedroom unit, it is one and a half space. In the city core area, developers must provide one visitor space for every 20 dwellings.
• City frame area: Slightly bigger area in the city. Limit is changed to have minimum parking, instead of maximum. Developers must provide 0.9 of a space per unit. Roberts says most developers would provide one space per one bedroom unit in this instance. For a two-bedroom unit it is minimum 1.1 space and for a three-bedroom unit, 1.3 space. For visitor parking, developers must provide 0.15 spaces per dwelling.
• Wider, suburban areas: For one-bedroom units, one space must be provided, two spaces for two-bedroom, and a minimum of two spaces for a three-bedroom property. For visitor parking, 0.25 spaces should be provided per dwelling.

“Brisbane City Council has a preference that car parking space is provided underground, or at least hidden. They don’t like what we call ‘at ground car parks’,” he says.

“They prefer a basement, but that’s expensive for developers to deliver, so that adds to the cost of the unit.

“If you’re buying a unit that’s got a car parking space attached to it, you’re probably looking at $60,000.”

Roberts says there’s a belief inner-city occupants don’t need a car, particularly if they are an office worker based in the city.

“From the development industry’s perspective, we’d like a bit of flexibility because that’s sort of an agenda and policy direction of the local government.”

What this means for residents and people renting their car park

Newstead resident Micheal Single, 26, struggled for months to find a place to park. The area often has limited parking, with vehicle owners regularly posting online to either find spots or rent out theirs during certain hours.

Over the years there have been calls for more parking spaces at proposed apartment complexes.Credit: Chris Hyde

“Originally, I thought I would park at work and find available street parking a block or two near my apartment at night. Even this would end up being a task as I was not the only one desperately looking for somewhere to park come 5pm,” Single said.

“Asking around, I realised people were taking full advantage of the expensive cost of parking, charging $60 to $80 a week, sometimes more, something I just couldn’t afford.

“I almost sold my car at one stage, but I needed it to meet with clients still.”

Single said he realised there was no way out of the situation and after six months, secured a spot in his building.

“Considering the amount of people that share units these days due to rising cost of living, I’d hope that property and building managers could at least manage available car parks in a way that would help out all tenants.

“Seeing a constant half-empty car park in so many of these complexes while people are struggling with costs and street parking availability is disappointing and easily mitigated.”

For those whose tenancy includes a space but who have no car, QUT consumer expert Gary Mortimer said offering a spot could be an option for additional income.

“I’ve got a couple of friends who live in that Teneriffe, New Farm area in apartment blocks, but they work elsewhere, so they get in their car and drive their car to work and there’s this empty car space from 7am in the morning to about 6pm when they get home,” he said.

“It’s a great way for consumers to avoid exorbitant car parking.

“I had a colleague who was living in Ann Street and she was renting hers out for maybe about $20 a day, which is probably less than half of what parking was around that area. So that’s $100 a week.”

What does the real estate industry say?

REIQ chief executive Antonia Mercorella said apartments with a second car space in inner-city areas in Brisbane were rare and in high demand.

REIQ chief executive Antonia Mercorella.Credit: Glenn Hunt - Fairfax Media

“According to REIQ real estate agents, apartments with a second car space are more appealing in areas where residents cannot apply for a council parking permit to utilise the available metered street parking,” she said.

“Other inner-city suburbs such as Newstead and Teneriffe are quite unique due to their gentrification from industrial centres to upmarket urban areas.

“For example, in Teneriffe, the character of the woolstore buildings was retained while converting them into heritage-listed apartments, with onsite car parking potentially restricted as a result,” she said.

“Some would argue the benefit of living closer to the city with supporting public transport, amenities and infrastructure outweighs the expense associated with paying for the privilege of the car space and owning a second car.”