The hidden parking spots nobody uses
It’s time to rethink parking space requirements for apartment buildings, new study finds
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Australians are paying for $6 billion worth of parking spaces they don’t need, a new study has found.
Research from RMIT University found that 20 percent of households in apartment blocks were not using all the parking allocated to them, while 14 percent found their allocation inadequate.
Based on earlier estimates by Committee for Sydney that each parking spot has a value of $100,000, the team concluded that’s $6 billion worth of unused space.
The study conducted in collaboration with the University of Western Australia surveyed more than 1,300 apartment residents in Sydney, Melbourne and Perth. Lead researcher Dr Chris De Gruyter from RMIT’s Centre for Urban Research said the study shows regulations mandating parking allowances according to apartment size needed review.
In Victoria, for example, every two-bedroom apartment must be allocated at least one parking spot while apartments with three or more bedrooms are required to have at least two parking spaces.
“We found in our study that people living in larger apartments tend to have an oversupply of parking because of this policy, which means they’re paying for a space they’re not using,” Dr De Gruyter said. “This oversupply is not just an inefficient use of space, it is exacerbating housing affordability issues.
“Meanwhile, apartment households with an undersupply of parking are forced to park on the street, competing with visitors in the area.”
Dr De Gruyter says the solution is to ‘unbundle’ parking spaces to give residents the flexibility to choose as little, or as much, parking space as they need.
“We can choose the number of bedrooms we want in our homes, yet we have no say in how much parking we need,” he said. “We want people to have the option to choose not to have parking instead of it being imposed on them. Similarly, those who wish to have additional parking can have this.”
Allowing residents to choose more or less parking space as required has flow-on effects, Dr De Gruyter said.
“Unbundled parking is going to help with housing affordability, reduce car use and on-street parking issues,” he said. “We’re also going to see better health for residents as there will be more physical activity due to more public transport use, and better air quality from less car use.”
Waldorf Astoria Kuala Lumpur is scheduled to open on 30 October, introducing the Hilton luxury brand to Malaysia with an all-suite hotel in the city’s Golden Triangle.
Located steps from Crows Nest Metro, the near-complete development brings luxury living to Sydney’s Lower North Shore.
Employment fell by 39,300 and unemployment held at a revised 4.7 per cent, giving the RBA more room to pause in November.
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Australia’s labour market weakened in September, reducing—but not eliminating—the case for another Reserve Bank rate rise in November.
The seasonally adjusted unemployment rate was 4.7 per cent, according to the Australian Bureau of Statistics. August was revised to the same level, while September employment fell by 39,300 people. The number of unemployed Australians increased by 8,900 to 732,000.
The weakness extended beyond the headline rate. The employment-to-population ratio fell 0.3 percentage points to 63.6 per cent, participation declined 0.2 points to 66.8 per cent and underemployment edged up to 6.3 per cent. Part-time employment fell by 73,700, partly offset by a 34,400 increase in full-time work.
For the RBA, this is a clearer sign that restrictive monetary policy is cooling demand. Higher unemployment and falling employment reduce wage pressure over time and increase the risk that another rate rise would push the economy harder than necessary.
That makes a November increase less certain. It does not make a hold inevitable. The RBA must balance labour-market softness against inflation, and the September-quarter consumer price index due later in October will carry more direct weight in the decision.
For mortgage holders and property investors, the practical conclusion is not to trade one data release. Borrowers should continue testing repayments at higher rates, preserve liquidity and avoid basing a purchase on an assumed near-term reversal. Refinancing decisions should be assessed against total cost, not simply the advertised rate.
Property markets may initially welcome a reduced probability of another increase because borrowing capacity and sentiment are highly rate-sensitive. But a weakening labour market is not unambiguously positive for housing: job security supports mortgage serviceability, rental demand and buyer confidence.
The September numbers have given the RBA a credible reason to wait. Inflation will determine whether it can use it.
Singapore’s Formula 1 weekend has always looked different. Held beneath floodlights on the Marina Bay Street Circuit, the race transforms the city into a nocturnal spectacle of speed, heat and saturated colour. It is this distinctive atmosphere — and one of Singapore’s most important natural symbols — that has shaped IWC Schaffhausen’s latest motorsport-inspired watch. …
Continue reading “IWC’s purple Formula 1 chronograph pays tribute to Singapore after dark”
Borrowers cannot control the Reserve Bank, but they can control how exposed their household budget is to its next decision. The RBA meets on 29 September with inflation concerns still elevated and major-bank economists increasingly bringing forward their rate-rise calls. Fixed mortgage rates have also been moving, reducing the value of waiting for perfect certainty. …
Continue reading “What mortgage holders should do before the next RBA decision”
