Despite fears of a
post-referendum slowdown, Allsop Residential has reported ‘brisker than usual’
business at its auction on 20 July. As the first major residential auction to
take place since the UK’s decision to leave the EU, it had been keenly
anticipated as a barometer of buyer confidence in the UK property market.
As it happened, those fears
turned out to be groundless, with 159 lots selling for a cmbined total of over
£51 million. Of those lots, 17 raised over £1 million. The largest lot of the
sale was a vacant pair of mixed use buildings in West Kensington, London. With
planning permission for partial demolition and redevelopment to provide two
shops and eight flats, it sold for £4.2 million.
Murphy commented: “It was important that our sale demonstrated continued
confidence in property, and there were some extremely positive messages from
the day. Auction buyers are keen to get on with business. Notably, we
experienced a significant depth of demand for longer term opportunities.
Development sites or buildings with consent for conversion drew strong
competition from UK and overseas bidders.
“It was reassuring to see that,
at times, business in the room was actually brisker than usual. It was
interesting to note that almost a quarter of the lots sold on the day achieved
at least 50% above their reserve prices. At a time when pricing for private
treaty marketing is difficult to determine, the auction route offers a reliable
option for achieving best value on the day.”
and developer confidence was perhaps best illustrated by the sale of the Elms
Lawn Tennis Club in Stanmore, Middlesex. The site, currently producing £10,868
pa, has potential for residential development (subject to planning) and sold
for £830,000 – well over three times its original guide price of £250,000.
Outside of London, keen interest was shown in a 17th century, Grade
I listed country house in Pangbourne, Berkshire, which eventually sold for
Entries are now being taken for Allsop
Residential’s next auction, which will take place at the Cumberland Hotel,
Great Cumberland Place, London W1 on 15 September 2016. The list will close on 22