The Â£500,000 parking lot

With room for 14 car to park, this side street in NW1 could prove to be a shrewd investment

Mira Bar-Hillel|Evening Standard5 April 2012

Look Hard. This is London's latest £500,000 property - a parking lot

It may appear to be a rather unremarkable side street, jammed between blocks of flats. But with pressure on parking in London soaring to unprecedented levels it could prove to be a goldmine for whoever buys it.

The alley has spaces for 14 parked cars and with annual parking tickets in the nearest NCP car park going for almost £4,000 a year, it could earn in the region of £50,000 annually if the individual spaces were let out to motorists.

The spaces, located just outside the current congestion-charging zone at the junction of Gloucester Place and Rossmore Road, NW1, will be auctioned on Monday 5 April. The guide price is £450,000 to £500,000.

Felix Rigg, of auctioneer Harman Healy conducting the sale, said: "The spaces are within walking distance of Marylebone Underground and rail stations - as well as Lord's, the London Business School and the Regent's Park Mosque.

"The current owner is a company that has been using eight of the spaces for its own staff and letting the rest for weekday use at £2,600 a year.

"It is now offering the spaces on a 125-year lease."

Mr Rigg said the spaces would naturally attract investors or buyers who were interested in parking in the area.

The auction is further evidence of the lengths drivers will go to to find a regular parking space in London.

Last month the Evening Standard revealed that bays were being snapped up for a record £100,000 each in a development near Harrods.

Peter Bill, editor of the leading property weekly Estates Gazette, said: "This is the inevitable consequence of local councils imposing draconian parking restrictions in areas where many very wealthy people live.

"The prices may seem outrageous but, on the other hand, it is likely to be a good investment - as man's love affair with the car looks like an everlasting one."

AA spokeswoman Rebecca Rees said: "This amazing price shows how desperate some people are to avoid the hassles of finding parking spaces near their homes and the constant fear of traffic wardens, official and unofficial wheel clampers and other members of the anti-car brigade."

The auction will be held at The Portman Hotel, Portman Square, at noon on Monday 5 April.