A car park spanning over two acres close to Gatwick Airport in Crawley will go under the hammer at the Allsop Commercial auction on 16 October, with a guide of £4.5m.
The 800-space car park let to Sure Parking until 2024 with no breaks and an option to extend to 2032 generates £340,000 pa, a 7.6% yield based on the guide price. The investment, which is in private ownership, is the most expensive lot in the 270-strong catalogue.
Also expected to attract strong interest is a Grade II-listed shop investment with nine serviced apartments in the Cotswold town of Stow-on-the-Wold. It is guided at £3m-plus, a 7.1% yield.
44 £1m-plus lots
The sale will offer 153 retail, 16 office and 12 industrial investments, with 76 lots located within London and the South East and 44 guided at £1m-plus.
The catalogue includes 61 bank investments, more than four times the average number offered at each auction, and double those at the last commercial auction in July. This increase is driven in part by the ongoing breakup of a portfolio owned by a charitable trust, which sold 24 similar assets at the July sale.
The latest batch of bank lots includes a prime high street location in Salisbury, Wiltshire, let to Bank of Scotland until 2031 with no breaks. Guided at £1.15m-£1.25m, it generates £68,500 pa, a 5.96% yield based on the guide price.
Sale and leasebacks
Also on offer are sale and leasebacks for Sports Direct and Vision Express. A Sports Direct in Stoke Newington, N16, with four recently converted flats above, will be offered with a new 10-year lease at a guide of £3.75m-plus (5.22%). A Vision Express in Goring by Sea, West Sussex, will be offered with a new 10-year lease at a guide of £250,000-£275,000 (6%).
Duncan Moir, partner and auctioneer at Allsop, said: “The number of bank investments and the size of October’s auction catalogue clearly demonstrates that vendors remain confident of the likely demand from investors, even with the uncertainties arising from the current political climate.
“Property investors are generally in it for the long-term, and with modest returns on cash, we expect to see investors adopt a business-as-usual approach following the long summer break.”
The auction will take place at The Berkeley, SW1.
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