News | Commercial Auction
Commercial auction raises over £42m as investors rush for quality assets
- November auction raises £42.6 with 72 lots sold
- Largest lot of the day (Grade II listed office building in Windsor, located opposite the Castle gates), sells for £2.625m, £1m above the asking price
- Lots 10-18 (freehold mixed-use properties in Northwood) sell prior to auction for over £6m
Allsop’s November commercial auction, its sixth commercial online auction this year, raised £42.6m, with 72 lots sold and an overall success rate of 80%. To date, Allsop’s commercial auctions have generated a total of £342.3m since the start of the year compared to £387.4m generated this time last year, showing unwavering investor appetite for quality assets despite the uncertain circumstances and new series of lockdown measures now in place across the UK.
The auction saw fierce competition for certain lots: lot 27, Castle Hill House, an office building with residential and leisure potential and a strong location in the heart of Windsor, received 177 bids.
George Walker, Partner and Auctioneer at Allsop, said: “As private investors continue their quest for high-quality assets with a potential to generate long-term returns, we saw incredibly competitive bidding for some of the lots, resulting in strong selling prices. One example was Castle Hill House in Windsor, which sold for £1m more than the asking price. Long-income-generating assets were also popular, with some of the best priced properties snapped up ahead of the auction, including two long-let NCP investments on new 15-year leases.”
Lot 27, the largest lot sold on the day, is an attractive Grade II office building located opposite Windsor Castle, currently let to Inigo Business Centres at £100,000 per annum. With residential/leisure redevelopment potential and attractive architecture, it sold for £2.625m (£621 per sq. ft. and 3.6% NIY).
Lots 10-18, a series of mixed-use properties in Northwood, sold as one lot prior to the auction for a price in excess of £6m, reflecting continuous appetite for mixed use opportunities with added value.
Lot 3, a freehold restaurant investment in Southampton, currently let to DP Realty Limited (t/a Domino’s) until 2039 at £26,000 per annum, was sold prior to the auction for £535,000 (4.6%), demonstrating strong investor interest in long-income opportunities. The lot includes first floor accommodation and car parking.
Allsop’s next commercial auction is taking place online on 9th December 2020. Allsop run the largest property auction departments in Europe through two highly experienced residential and commercial teams and is the UK’s number one auction house by transactions. We offer a wide range of lots covering residential vacant and investment properties, ground rents, land and development opportunities and secondary commercial lots. A minimum of six commercial and seven residential sales are held every year. Visit: https://auctions.allsop.co.uk/selling-at-auction
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