Andrew Scott Robertson saw strong demand from occupiers wanting to carry out refurbishment work on their properties at its auction this week.
The sale at Hotel Russell, WC1, offered 91 lots, with three selling prior and 61 in the room – a success rate of 71%. Sales were dominated by local authorities, private investment firms and some individuals.
One lot – a Grade II listed house needing complete refurbishment – at 19 Lillishall Road, SW4, sold for £807,500 off a guide of £635,000.
Another at number 16 on the same street – also offering refurbishment opportunities – went for £720,000 against a guide price of £550,000.
An unmodernised terraced house at 109 Chatham Street, SE17, sold for £486,000 off a guide of £350,000.
ASR auctioneer Jeremy Lamb said there was “considerable demand for unmodernised residential stock” in the capital.
“There are a lot of individuals and occupiers who want to buy something with a bit of a margin and put their own stamp on it,” he added.
The same effect was felt in less traditional regions, such as Camberwell, where a lot at 167 Camberwell Road, SE5, with consent to convert the upper levels to self-contained flats went for £580,000 off a guide of £480,000.
“We got some astonishing prices on some of the more well-trodden locations, such as Clapham Old Town,” said Lamb. “But we are also finding that areas such as Walworth and Camberwell are seeing prices moving on. The areas are showing signs of gentrification – you wouldn’t have got those prices a year ago.”
Ground rents with more than 80 years remaining posted a 100% success rate, with 20 lots sold at an average of £25,542 and a 5.8% yield.
Assured shorthold tenancies also sold well, with an average price of £192,700 and an average net initial yield of 9.63%.
chris.berkin@estatesgazette.com
