Allsop recorded a strong result at its March residential sale raising £60 million and achieving a success rate of 73%.
Held at the InterContinental London Park Lane Hotel, Mayfair, on March 28, the auction saw residential development opportunities and office blocks with permitted development rights (PDR) achieving good prices.
For example, lot 67, Frank Lord House in Luton with PDR for 19 flats, achieved £1.45 million while lot 68, 8-10 Howard Street in Bedford with PDR for 16 units raised £1.61 million.
The company also reported notable success for higher value stock despite concerns that central London values have cooled. Lot 33, a freehold building arranged as eight flats (mainly let) at 50 Warrington Crescent, Maida Vale sold prior in excess of its guide price of £3.8 million-plus – the largest lot sold.
What’s more, a selection of 11 lots offered by order of the same executor raised a total of £5.48 million, with all lots being sold. A freehold detached house at 162 Willesden Lane, London – arranged as 10 flats, eight let and two vacant – was the largest of these to be sold, achieving £2.1 million.
In addition, lot 30, a 1,730 sq ft flat in Abbots Court, Kensington (close to Hyde Park and the Royal Albert Hall) with a regulated tenant in occupation raised £1.89 million.
“There’s much talk of increasing caution in the residential market,” said Gary Murphy, partner and auctioneer at Allsop. “But we’ve drawn some very positive conclusions from this result, as well as from conversations with buyers and sellers in the room. There’s no doubt that the market is active and trading enthusiastically.”
Murphy believes that price sensitivity has heightened. The opportunities presented at modest guides have gone well, with lots priced optimistically and drawing limited attention.
He added: “Significant sales in the capital have demonstrated that central London stock is still trading. Prices in certain postcodes appear to have undergone their correction and are now a new buying opportunity for domestic and overseas investors.”
Allsop’s next residential sale will be held on May 31 with invited entries. The list closes on Friday 4 May.