Properties offering ‘guaranteed yields’ attract investors

Properties offering ‘guaranteed yields’ attract investors

Todays other news
Prices and sales volumes will grow in 2025 despite the...
A so-called 'Quick Buy' company claims growing business from investors...
This is the fastest growth rate since November 2022 and...
Hotel brands still dominate, but the sector is expanding into...
The big question mark remains over US luxury property resilience...


Properties offering guaranteed yields proved particularly popular with investors at Cheffins’ first auction of 2017 in Cambridge.

Almost £4.2m worth of property was sold at the firm’s most recent sale, which saw more than 200 buyers in attendance.

The maximum prices paid were for commercial properties with solid investment incomes throughout the Eastern region.

The star lot of the day was a freehold mixed-use building in Biggleswade which achieved just over £1m against a guide of £900,000, making it the record hammer price ever recorded at a Cheffins property auction. Generating an annual income of £50,000 from established tenants, the property saw competitive bidding within the room, eventually selling to a local investor.

Similarly, a mixed-use building on Ramsey High Street in Cambridgeshire sold for £208,000 against a guide price of £140,000. The property also offered a solid investment and currently generates an annual rent of £19,500.

Over £1m-worth of land was sold in total across 12 lots.

Ian Kitson, director at Cheffins, said: “Investment properties offering guaranteed yields really set the room alight in our first sale of the year.

“With competitive bidding from both local and national buyers, the record price made at Biggleswade goes to show how auction really is the best forum to generate the most interest for these popular mixed-use properties.

“With guaranteed rental incomes, the investment properties within the sale were snapped up by local buyers who bid against investors from all over the UK. This is reflective of the increasing desirability of the region’s smaller towns which are seeing investment throughout both commercial and residential properties, especially as returns on wider investment types remain fragile.

“As prices are continuing to rise across all property types in the region, we are expecting to see ongoing inward investment with mixed-use offerings continue to sell at premium prices.”

Share this article ...

Join the conversation: Login and have your say

Want to comment on this story? Our focus is on providing a platform for you to share your insights and views and we welcome contributions. All comments are screened using specialist software and may be reviewed by our editorial team before publication. Property Investor Today reserves the right to edit, withhold or delete comments that violate our guidelines, including those that harass, degrade, or intimidate others. Users who post such content may be banned from commenting.
By commenting, you agree to our Commenting Terms of Use.
1 Comment
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
Recommended for you
Related Articles
Unusual commercial lots under the hammer next week...
A stone-built former retail showroom, together with 22 apartments and...
The UK’s largest property auction house, Allsop, raised £34m from...
A Nottingham care home which closed in June is to...
The Budget has forced a revision of forecasts for the...
There’s a warning that over 130,000 commercial properties are ‘at...
The Budget next week could spell financial shock for investors,...
Recommended for you
Latest Features
Prices and sales volumes will grow in 2025 despite the...
A so-called 'Quick Buy' company claims growing business from investors...
This is the fastest growth rate since November 2022 and...
Sponsored Content
Are you concerned about rising interest rates and their potential...
In the ever-evolving landscape of property investment, staying ahead of...
Property investors, This one's for you. Lendlord's latest Deal Analyser...

Send to a friend

In order to send this article to a friend you must first login. Click on the button below to login or sign up.

No one likes pop-ups ...
But while you're here