Allsop’s latest residential auction held last week (3 November) at the Cumberland Hotel raised a total of £62m, with a success rate of 71%. With deals still being done, this figure is expected to increase next week as lots continue to sell after the auction.
The catalogue included a total of 25 lots with a guide price over £1m, which is consistent with the trend of higher value lots going under the hammer. For example, lot 21 – a 11,000 sq ft house on Broadwalk in Winchmore Hill – sold for £4.21m.
Development sites also proved popular, such as lot 61 – a cleared, freehold site in Chalk Farm with planning for nine apartments – which sold for £3.31m.
The auction saw a flight to quality, with income-producing lots attracting competitive bidding, and there was strong competition from overseas buyers capitalising on the fall in the value of sterling.
Richard Adamson, Partner and Auctioneer at Allsop, said: “The general mood in the auction room was one of positivity underpinned by sensible caution. There is still concern from buyers and sellers due to the political uncertainty, but there was clearly an attitude of ‘back to business’. As a result, there was an inevitable flight to quality, as buyers honed in on good quality and reliable income producing investments due to the poor returns being offered in other investment sectors.
“In particular, lots guided over £1m performed very well, especially given the fact that most buyers are incurring much higher purchase costs than they were a year or so ago. This indicates that, albeit reluctantly, the market has absorbed and adjusted to the SDLT surcharge.
“The market is moving all the time, especially regionally. Aligning sellers and buyers price expectations is as challenging as ever, but it’s a sign of an unpredictable market. Given the interested we have experienced already following the auction, we anticipate a busy week as we continue to transact on lots.”
At a glance
|Ground Rents (80 yrs+)||3.07%|
A full listing can be viewed on our website.
Allsop’s next residential sale will be held on 15th December 2016 at the Cumberland Hotel, Great Cumberland Place, London W1. Entries are now invited.
Notes to editor
Allsop is an independent property consultancy with a market-leading reputation for high quality service, integrity and innovation. We are also well known as the UK’s largest and most successful auction house. Our success is built on over 100 years’ experience in commercial and residential property consultancy and sales.
For details visit www.allsop.co.uk
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