By the time the 26-year-old got home, he had decided the levy was pretty hefty for towing the car such a short distance and decided to investigate his rights.
He found Consumer New Zealand advice which said courts have suggested towing firms should charge only for "expenses reasonably incurred in removing an unlawfully parked vehicle".
Instead of getting angry, he decided to get even, and contacted the Disputes Tribunal.
"In my Disputes Tribunal application I argued that the $230 cost in no way accurately reflected the actual cost of towing the few kilometres from Mt Eden to Grey Lynn."
The day before the case was due to be heard, the towing company offered his money back, which he happily accepted.
Mr Dwyer is now speaking out to warn others that there is an alternative to paying expensive towing fees.
"This was nine o'clock at night and there's not a car in the yard ... I don't know why you can't park there and nip in quickly.
"I implore all New Zealanders to pursue this remedy should they be towed."
A Vehicle Recovery Group spokesman said the manager didn't want to comment.
Consumer NZ chief executive Sue Chetwin said tow companies were known for charging "outrageous fees" to collect cars.
"The tow companies know the places that people are going to quickly duck in and out of and get caught and you can see them cruising around all sorts of carparks just waiting for them to make mistakes so they know exactly where they can make ... the easy money."
AA motoring affairs general manager Mike Noon said the fees needed to be reasonable and regulated as the amounts now being charged varied greatly.
"It's a private park and they have every right [to tow]. $230 sounds like a hell of a lot of money and more than what the average motorist would consider to be reasonable."