HONG KONG – Investors looking for new areas to park their cash in Hong Kong are driving up prices for parking spaces, sparking fears of a bubble in the Asian financial center.
Prices for parking spots in Hong Kong are nearing historic highs, the side effect of government curbs to cool the housing market amid worries of overheating.
Second-hand parking spaces changed hands in the third quarter for an average of HK$640,000 ($82,580). That's up 16.4 percent over the year before, according to research by property company Centaline.
It's also not far off the record HK$660,000 in the fourth quarter of 1997, shortly before the city's property market collapsed.
Analysts said they worried that a bubble was forming.