Auction delivers £46.5m sale

Stability in the residential sector appears to have been firmly restored following a £46.5m sale at Allsop, regarded as a reliable bellwether of market value and buyer sentiment within the auction industry.

In a sale last week held at the Cumberland hotel, the firm achieved unconditional sales from 86% of the 353 lots on offer.

Allsop partner and auctioneer, Gary Murphy, says: ‘This was the best selection of income producing stock available to the private investor in one sale for many years.

‘This market is extremely sensitive to buyer perceptions of capital growth. A year ago, when house prices were in obvious decline, investors in the regulated market sat on their hands. This result is a clear indication that confidence has been restored. In addition, against the background of 0.5% yield interest rates, yield has now become a more significant driver in this specialised market.’

‘The market for well located unmodernised housing is now seeing definite signs of growth in our auction room. Demand is outstripping supply.’

Highlights of the sale include:

Flat 3, Lancaster Court, 36-39 Newman Street, London, W1 A leasehold self contained purpose built second floor mansion flat. Sold for £520,000 against a guide of £325,000 to £350,000.

1 Cope Place, Kensington, W8 A freehold mid-terrace four storey building arranged as flats and subject to nine assured shorthold tenancies. Sold for £1,225,000 against a guide price of £1,000,000+

43 Roupell Steet, Southwark, SE1 A freehold Grade II listed mid-terrace house. Offered unmodernised and with vacant possession. The house was viewed by over 140 potential purchasers. Sold for: £600,000 against a guide price of £400,000 to £450,000

Allsop’s next residential auction sale will be held on July 14 & 16 at The Cumberland Hotel, Great Cumberland Place, London, W1. The deadline for entry is 19 June 2009.

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