Art Deco - no parking...

Hi all,

Would be interested in your thoughts/input. I am looking at purchasing an IP in the very near future (crazy market notwithstanding), and there are a couple of properties that I've seen that tick all of the boxes (small Art Deco block, well located for public transport, need a bit of work, etc) bar one, and that is parking (i.e. they have none).

It seems like a lot of these smaller Art Deco blocks have either limited or no parking - so my question is whether I should discount these properties, or whether I should still consider them? Overall I like these kinds of properties (have 1 already that does have parking), as they have a bit of character, generally lower strata fees, and are often a bit more spacious than newer units. The area I'm looking in is Sydney's lower North Shore, and good public transport links are a must have, hence my thinking is that the lack of a car space may not be a complete deal killer...
Virtually every art deco block I see has 0 car parking.

It does not seem to be an issue as this is outweighed by the uniqueness of the character/design and the fact that the land content is much higher in a 4 - 6 pack art deco than a 9-12 pack anything else.

They always commad a premium and as you say often have lower strata fees as many are OO.
If the suburb has a lot of places with no OSP then it wouldn't worry me. Prospective tenants will be very accepting of it.

But if yours is the only place with no OSP in the street then it might well be a deal breaker for some tenants.

You need to accept that most properties will be a compromise - is unusual to have every box ticked.
Thanks for the feedback. There is a good amount of resident's only (1 or 2 hour public) parking on street in the areas I've been looking at, and also quite a number of other properties that don't have off street parking. So I think I will continue to look at these types of properties, even without parking.
If the PT links are good, then that's going to go a long way to address the lack of car park issues. Your target market may not even expect to have a car park because they may not have a car.

Too busy spending their money down at Hugo's ;)
my best capital growth investments have been 2 art deco apartments (Randwick) with no parking. Tenants and OO's love them, and if you have some on SP available nearby, and close to bus stop etc., then you should be OK. Just make sure the block is/has been well maintained, and has the head space, roominess and ambience future tenants and owners look for in these properties...
Find out if you could get a Council parking permit for on street parking. This may make the parking situation easier. I know that, at the time I last lived in North Sydney (2001), the issuing of parking permits to residents was tightening up so maybe the scheme has got harder to access since those days.
Hi all - bit of an update and would appreciate your thoughts...

There is a property that I have made an offer on, but as is the nature of the market at the moment there are a number of interested parties. This type of property is pretty rare (in terms of supply to the market), and ticks all the boxes (lack of parking notwithstanding) - small, well maintained art deco block, etc. If I am to secure the property then the price I'll probably need to pay will mean a likely rental yield around 4%. I know this may seem very low to some, but 4-5% seems to be the norm for the area I'm looking in (lower Nth Shore), and the type of property I am looking at tends to command a premium (hence lower yield but hopefully better CG). Anyway, sorry for the ramble but my question is do I go for this property (I am comfortable with cash flow at this level of neg gearing), or do I continue to try and find something that might give me that 0.5-1% higher yield (less and less likely if/as the market continues to strengthen)? I have been looking for about 6 months (more seriously the last 3 months or so) and have probably seen 3 other similar properties that meet my criteria - so not a lot of choice...
Personally I'd buy it, even at a 4% yield. Prices are still on the rise so IMO you may just end up paying more if you go looking for another 6 months.

You can always increase the rent a bit every 6 months until you are back to a 5% yield anyway.

It is not company title is it? If it is torrens title - go for it, I say.
Thanks Propertunity - I was hoping you would reply : ) No not company title. I have just put in another offer, will see how I go...!