Housing Crisis in London is Doing Crazy Things to Concrete Garages
It is no secret that there is currently a housing crisis in London. With no rent control and with a weakening economy the residents of London’s money is going less and less far. It has got to the point where room shares are becoming the norm. This is where two people will share a single room that was more than likely built for a single person.
Landlords, unfortunately seem to be capitalising on the locals plight and making money wherever they can.
Concrete garages were obviously originally made to store cars. However they are in fact very versatile structures. They are typically four solid walls made from bricks and mortar. With a bit of effort a good concrete garages can be used for most things. In London, one has even been used for a home.
This might not be so bad, if a proper conversion had taken place then a concrete garage will make do for a temporary home. Admittedly it will be small, cramped and unpleasant, but it would serve a purpose. However in this instance this was far from the case. Little to no work had been carried out. When the local council found out they deemed the property to be uninhabitable and the landlord could face a hefty fine.
It was advertised as a studio flat and the rent was £1000 a month.
On the flip side, some fortunate souls are taking advantage of the increase in property values in a slightly more humane way. As space is currently one of the most valuable things in London any existing structures are worth incredible amounts.
In recent times there has been concrete garages that have sold for seemingly ludicrous sums of money. In separate occasions garages have sold for £360,000, £375,000 and even an incredible £550,000!
Part of the reason for these incredible prices is the location of the garages. The garage that sold for more than half a million was located in Chelsea, which is an ultra-luxurious area of London. So property in this area is already at a premium, with the average price of a terraced property sitting at £4,011,652. So by comparison, the price of £550,000, though still incredible, is in keeping with the area.
However the garage which is valued at £375,000 is located in the up and coming area of Hackney. Though this area is not as luxurious as Chelsea, this particular garage fetched such a high price because of its unusual size. It has a floor space of 750 sq ft. which is very large indeed for a garage. Thanks to its large size it is expected that this particular property will be converted to a two bedroom home, which will increase its value exponentially.
What makes the situation amusing though, is when you compare these prices7 to the construction costs of these structures. Dencroft Garages are one of the oldest manufacturers of concrete garages in the county. Their garages start at around £1500. Somebody, somewhere, is very happy with the small investment they made 30 years ago.