Investing in car parks

Investing in car parks is often not the first thing that comes to mind when considering real estate investment. Nevertheless, it is an investment option that deserves our attention. Investing in car parks has a number of unique advantages to offer. This makes it definitely worth considering.

Why invest in car parks?

As with all other real estate investments, you choose to invest in car parks for a number of reasons. It is the combination of these reasons that makes it attractive. For example:

• Budget-friendly: First of all, investing in car parks is fairly budget-friendly. Not everyone has a large budget at his or her disposal. That does not mean that you do not have an option for a real estate investment. They are there. Investing in car parks is one of them. Buying a car park costs only a fraction of, say, buying a house or a flat. While at the same time you are a real estate investor. In many cases, a real win-win situation.

• Rising demand: In addition, it is a well-known fact that there is an enormous shortage of parking spaces. Especially when you head for the centre of larger cities, you will notice that there is not exactly an abundance of parking spaces. This also means that there is a huge demand for a parking space. As a potential investor in this form of real estate, that is of course good news. It means that parking spaces will continue to increase in value in the years to come.

• A good return: Perhaps the most important point of a real estate investment is the potential return it can provide. It is really about how much the parking space is expected to give you in the first year. In general, you can expect a return of between 2 and 3% on a parking space. Of course, in practice this depends on a number of things. But on average, that is what one gets in practice.

• Minimal maintenance: A major advantage of investing in car parks is that they require minimal maintenance. Compare this with a house or a flat, for example. A car park is relatively easy to look after. As long as the place itself looks decent, you don't have to worry about anything else. The convenience of a real estate investment in car parks is therefore on the high side.

What to look out for when investing in car parks?

At the same time, it is not true that investing in car parks is extremely easy. There are a number of things to consider when choosing a car park. For instance, it is essential that you choose the right place. A car park that maximises the chance of a good investment. Therefore take the following into account:

• Choosing the right location: In many ways, it all starts with choosing the right location. After all, the need for car parks is not the same everywhere. In the optimal scenario, therefore, you choose one or more car parks where demand for parking spaces is high. And where the chances are greatest that this will continue to be the case in the future. This is the case, for instance, with car parks in large cities and densely populated areas. There is not always room for free parking spaces. And so people are prepared to rent one and pay extra for it. Is the population growth in these areas on the high side? Then the demand for car parks will only increase further. And so you maximise the chance of good occupancy.

• Good entrance and exit: It is also important that the car park itself is of a high quality. For example, that it is easy for users to enter through the entrance and leave through the exit. This sounds logical, but in practice it is really a point of attention. For example, certain car parks make use of smart barriers. These are all plus points that make the car parks just that bit more attractive than possible alternatives.

• Technology used: Technological progress is noticeable in all sectors of society. Everything is becoming easier, faster and therefore better. For example, it helps enormously to automate certain processes. This is also happening more and more in parking garages. The more user-friendly the technology used, the higher the parking revenue. Therefore, check whether the technology used by the car park you have your eye on is up to date. And whether this is something people like to use. This applies to payment, but certainly also to access.

• Transport alternatives: Finally, it is worth considering possible transport alternatives. The more transport alternatives there are, the less need there is for a parking space. Keep this in mind for any investment you want to make. Are there many buses, trams, trains and/or underground trains in the vicinity? Or is the location more difficult to reach? It all plays a role in the return that you will get from the investment.

There is therefore a lot to look out for when choosing the right parking. It is useful to create an overview. You will then know exactly what the strengths and weaknesses are of each individual investment option. From there, you are free to make a well-considered choice. For example, take a look at what a reliable provider such as Parking Fund Netherlands has to offer.

Invest in car parks with Immotokens

Is investing in car parks something you are interested in? For example, given the limited budget you need for this? Then there is good news for you. Investing in car parks with Immotokens is the most innovative way of investing in real estate. Using blockchain technology, it is possible to invest in real estate from as little as €50. Houses, flats and also car parks. You collect your rental income every month and benefit from any increase in the value of the parking space. Discover the possibilities now and Try it out for yourself!