Boston residents are willing to pay a hefty price for prime parking, but just how much do these prices vary throughout the city?
A report by the real estate research site NeighborhoodX breaks down the purchase price of various Boston parking spaces throughout some of the most popular residential areas. The prices range from $50,000 in South End to the most expensive on the list, $390,000 in Beacon Hill.
With Beacon Hill being one of the city’s most sought after residential neighborhoods, it’s no surprise you’ll have to pay top dollar to park there too. The Brimmer Street Garage parking spaces generally range from $250,000 to $390,000.
Back Bay parking follows close behind, with the most expensive spaces on Marlborough St. priced at $305,000, approximately $1,743/sq.ft. There are a few cheaper options in this area as well, with a spot purchased on Newbury Street for $108,500.
Downtown is right in the middle, with a parking space purchase price of $105,000. The cheapest parking spot sales happened in the South End, ranging from $50,000 to $87,500.
As the first quarter of 2016 comes to a close, the volume of sales in the luxury market has continued its upward trend of year-over-year growth. We’ve seen an 11% year increase in luxury sales from December 2015-February 2016 in comparison to December 2014-February 2015. This increase can be partially attributed to the delivery of 22 Liberty in the Seaport. However, a large part is also a result of the increase in existing inventory value.
The demand for new luxury construction in Beacon Hill continues to climb despite the high barrier to entry in this picturesque, historic neighborhood. Since 2012, the average price-per-square-foot for luxury condominiums sold per year in Beacon Hill has increased by almost 35%, further illustrating that luxury real estate today is very hot. It’s also the investment choice of many because it is viewed as a “safer” and “higher return” option compared to investing money in the stock market or in a bank CD.
As more and more buyers purchase real estate in Boston, prices will only continue to increase in this supply-constrained market until new inventory is built or old inventory that is severely dated is purchased, renovated and resold.
New developments are creating exciting investment opportunities as builders continue to move forward with their projects per the market demand. Today, it has become even more important to understand the luxury market and stay appraised of the current offerings in Boston in order to secure a new home or investment property to not only have a comfortable place to live but an investment that will maximize its return later on.
Below are several current investment opportunities in the Beacon Hill neighborhood:
73 Mount Vernon Street – 73 Mount Vernon Street is a nine unit, +/-8,514-square-foot brownstone that offers investors the opportunity to own a rarely available asset with value-add potential. The property features brick construction, elegant window lines, lawn space and unobstructed rooftop views spanning the Financial District to the Charles River. It is situated along the south slope of Beacon Hill, across from the height-restricted horse stable building, which allows for views across the hill and is just steps from Louisburg Square. Working gas lamps and brick sidewalks accentuate the charm of this distinguished residential area, cordially referred to as “Billionaires Row.” With a starting price at $6,500,000, which includes plenty of outdoor space including a large front yard in the most desirable part of Boston, this has the potential to be a very savvy investment.
Maison Vernon – Maison Vernon is a newly developed residence featuring seven luxury condominiums ranging in size from 1,911 square feet to 3,990 square feet. This property overlooks the nation’s oldest public park and is situated at the top of Beacon Hill on the corner of Mt. Vernon Street and Joy Street. Amenities include 24-hour valet parking service, resident storage, concierge service and wine storage. Current units for sale range from two to three to four bedroom floor plans and are priced between $2,995,000 – $5,595,000.
25 Beacon Street – 25 Beacon Street is a six full-floor unit redevelopment right next to the State House. Among these beautiful luxury residences is an $11,500,000 penthouse with bike storage, direct elevator access, a wine cellar, and parking for two. Amenities for the whole building include a 24/7 concierge service, roof deck, and fitness center.
The Whitwell– Located at 32 Derne Street, these 14 luxury homes are just a few steps away from quintessential Beacon Hill shops, restaurants, antique galleries and all that Charles Street has to offer. These homes range in size from 2 to 7+ bedroom residences from 1,850 to 3,250 square feet. The Whitwell also has three large penthouses with private terraces and open floor plans overlooking the State House and Charles River for as much as $12,750,000. Amenities in the Whitwell include direct elevator access to onsite underground deeded garage parking, an onsite concierge and a common rooftop terrace.
Change change change. The face of Cambridge, Massachusetts is changing. From restaurants to residences, Cambridge’s bustling cityscape, home to Boston’s top universities and tech companies, looks very different than even from a few years ago.
Restaurants aren’t the only things changing this cityscape. Cambridge is a haven for education and biotech sector, home to universities such as Harvard University and Massachusetts Institute of Technology and companies such as Novartis and Biogen. The Boston Business Journal cited Cambridge’s inability to keep pace this burgeoning biotech market and its limited availability of office space.
While office space is scarce, luxury developments are filling in East Cambridge. Twenty|20 and The Zinc are prime examples. And this is only the beginning. Curbed.com noted 5 large upcoming Cambridge development projects primarily in the Harvard Square and Kendall Square areas, including a proposed revamp of the Forbes Plaza in Harvard’s central student union. Walking down Cambridge Street in East Cambridge you’ll find new restaurants, such as Loyal Nine, boasting an extensive wine list and East Coast Revival cuisine. Further down Kendall Square you’ll come across the new location of local bar Hops and Scotch featuring craft beer and whiskey.
With new construction, luxury homes, and businesses popping up, so is the price of rent. Boston.com noted “Harvard Square’s rents increased 16.8 percent and those in MIT/Kendall increased 16.2 percent from December 2014 to December 2015,” bringing average rent prices to rival that of downtown Boston. Head of strategic marketing at Zumper, Devin O’Brien, said, “If an area has a new luxury construction, that can bump up the total average of the area as a whole.” In 2015, Boston.com noted that some of the hottest neighborhoods (re: Cambridge) were pushing prices above asking price as low inventory was leading to big bidding wars. This is great news for real estate.
As new developments continue to pop up and new businesses move in, one thing is for certain, Cambridge will continue to change. What will this look like 5 years from now for Cambridge residents and workers?
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