The UK commercial property market could see an exceptionally high amount of activity in the coming weeks as investors flood to the market, according to Allsop.
While some investors are exercising caution amid greater economic and political uncertainty, the auction firm has seen a high level of early interest in many of the 244 lots set to be sold under the hammer at its fifth and largest commercial auction of the year, which will take place at The Berkeley in Knightsbridge, central London, on Monday 10th October.
The sale will see a range of properties located throughout the UK go under the hammer, with guide prices ranging from £40,000 to £4.5m.
The total income from all the lots on offer is around £10.1m per annum from vendors including Aviva, Royal London, M&G, Berkeley Group, CBRE and Deloitte.
Duncan Moir, partner and auctioneer, said: “Investor interest in commercial property is strong and growing, in part owing to the favourable SDLT rates compared to the residential market. This increased activity from buyers is leading to more supply from sellers, and hence this is our biggest commercial auction of the year so far.
“There has been particular appetite for retail – and particularly retail parades – over the last six to eight months, and with 134 retail assets in our catalogue, we look forward to a busy auction room on 10th October.”
Allsop has highlighted the following properties in the October catalogue as ones to watch:
Lot 108, London SE20 – A freehold retail parade on the High Street in Penge, comprising 12 shops with 18 apartments above and two advertising hoardings. Total rents £307,345pa. Guide Price: £4,500,000+.
Lot 16, Stow-on-the-Wold – A freehold restaurant investment in a popular and attractive Cotswolds market town, let until 2030 with no breaks and a rent review in 2020. Total rent £35,000pa. Guide Price: £450,000 - £500,000.
Lot 30, Keighley, West Yorkshire – A modern drive-thru restaurant investment entirely let to McDonalds on a lease expiring in 2026, with no breaks. Current gross rent reserved £73,525pa. Guide Price: £1,200,000+.
Lot 161, Salisbury, Wiltshire – A Grade II listed building in the city centre comprising three shops and vacant offices. Current gross rents reserved £49,750pa. Guide Price: £400,000+.
Lot 222, Wrexham, Wales – A freehold town centre shop investment fully let on a lease expiring in 2024. Current rent reserved: £14,580pa. Guide Price: £140,000 - £160,000.
Lot 237, Birmingham – A leasehold 81 sq m ground floor unit in a larger residential building close to Broad Street and Brindley Place. Vacant possession. Guide Price: £75,000 - £100,000.
Lot 240, Halifax, West Yorkshire – A freehold former bar with ancillary accommodation in the town centre. Vacant possession. Guide Price: £300,000.
Lot 242, Blackburn, Lancashire – A freehold 11,151 sq ft former Liquid and Envy nightclub located in the town centre. Vacant possession. Guide Price: £175,000.