WHAT can you buy for a million dollars in Hong Kong? A parking space in Mid-Levels, perhaps - if you are lucky. Like most prices associated with the territory's real-estate boom, the cost of a parking space is stratospheric. A 90-square-foot rectangular slab of concrete in a luxury development will set you back a minimum of $1 million. That is more than the $934,600 price tag of an average home in Greater London and nearly double the cost of an average Australian home. At the end of last year, the average price for parking bays in Mid-Levels was $1 million. By the end of March this year, most agents had revised this to $1.2 million and some agents now put it as high as $1.5 million. Parking spaces in Hong Kong's middle-of-the-range developments go for between $400,000 and $600,000. In mid-range developments such as Kornhill or Heng Fa Chuen, flat buyers must pay about $600,000 extra if they want a parking bay for the family car. At Laguna City, spaces cost between $800,000 and $1 million. Despite the prices, a lot of buyers will not even consider an apartment if the block does not have a car park. First Pacific Davies residential director Isabel Michie said the demand for parking space in luxury buildings was one of the most important considerations for many buyers. Not only does the car park enhance the flat's chances of selling, it may be the single feature that clinches the sale. ''There's a very serious demand for parking and most sales will depend on there being a parking bay,'' Mrs Michie said. The concentration of car owners in Mid-Levels has helped make it the most expensive district in Hong Kong to buy a parking bay. Earlier this year when residential prices were soaring, the scramble to buy parking bays at luxury Mid-Levels estates set new price records. The frenzy was so intense during the sale of flats at Clovelly Court, in May Road, that one buyer parted with $3.98 million to secure a tandem bay which had room for three cars. Other buyers at the same development paid $2.8 million and $3.9 million for their parking spaces, far exceeding the previous record of $1.4 million. With buyers no longer trying to outbid one another for parking bays, prices have stabilised. ''The price of car parks has been fairly constant for the past few months, especially in Mid-Levels,'' said Brooke Hillier Parker investment director Simon Chow. ''A lot of residents in Mid-Levels have more than one car per family so the limited supply is likely to continue.'' When new residential projects are marketed, the flats and parking spaces are generally sold separately. This often means the first buyers for the flats may get to buy more than one parking space. Even in residential projects where all flats are offered for sale, some developers, such as Sino Land, which owns 9,000 parking bays in Hong Kong, retain ownership of the car park and lease out the bays. This trend and the development of a secondary market where individual bays are purchased by small investors has also helped to keep down the number of parking bays available for sale. Agents say Mid-Levels is the most expensive leasing market for parking spaces, with monthly rents of between $2,000 and $3,000. However, according to Midland Realty senior marketing manager Lily Yau, buyers who secured parking spaces during the frantic flat sales and price rises earlier this year had their fingers burnt. ''When the residential market was running hot, so were prices for parking spaces,'' she said. ''But that speculative aura isn't around anymore and in the wake of the drop in flat prices, sales prices for parking spaces have dropped by between two and three per cent.'' The sale of parking spaces also varies between developments. Mrs Yau said the sale price of luxury flats often included parking spots. Middle-of-the-range estates, however, are viewed as less of a package and often come without parking. ''Most of the middle-class estates are close to MTR stations and there is less demand for private transport,'' she said. But if you do decide to splash out on a parking space, do not rely on the banks to help you. According to Mrs Yau, they will not include the cost of a parking space when financing a mortgage. ''This is a bill that the purchaser has to be able to pay using his or her own cash,'' she said.