Investors snapped up 86% of the lots on offer at the first major commercial auction of 2015, in a continuation of the strong demand seen in 2014.
Allsop Commercial raised £36.5m at its 9 February auction, selling 72 of the 90 lots on offer.
It beat the reserve price on 80% of the lots sold, outperforming its December auction when 77% of lots sold for in excess of their reserve.
Continuing demand for regional assets was also evident, with 51% of the lots sold located outside London and the South East, reflecting £18.6m of the total sales.
The average size of lots sold declined, however, down by 18.9% on the 2014 average to £501,000.
A total of nine £1m-plus lots were sold.
The largest lot to sell was an HSBC bank in Bournemouth, Dorset, which was bought by a private investor for more than the £3.8m guide price – a 6% yield.
The 10,797 sq ft freehold investment generates an annual rental income of £242,000 and is let on a 15-year lease.
A freehold shop with a flat above in South Norwood, SE25, was sold by a private property firm to an overseas investor for £1.4m, reflecting a 5.63% yield.
The 2,860 sq ft shop is currently let to the Co-operative until 2029 and generates an income of £80,000 pa.
Retail properties accounted for 78% of the total raised, some £28m.
Auctioneer and partner Duncan Moir (pictured) said: “There were a number of epic battles between competing bidders across a wide range of properties, which would appear to indicate a significant weight of both domestic and overseas money looking to get into the market.
“First-time auction buyers were also very much in evidence – the sale attracted the highest number we have recorded since July 2013.”
