On November 6 only 46 of GA Property Services’ 93-lot catalogue of mainly residential and commercial repossessions reached their reserves. The sale of four more lots afterwards meant that the overall total was boosted to £1.68m.
Auctioneer Colin Wilton-Smith defends the result. “The only disappointing thing was the decision, by one building society, to significantly increase reserves at the last moment.”
In particular, he was pleased with the sale of a freehold, vacant manor house in East Farleigh, Kent. The house, converted barn, swimming pool, garaging and stables attracted three bidders and eventually sold for £202,500. But the new owner faces negotiations with the council over the barn, which has been converted without consent.
At the other end of the market, a lease on a studio flat, in Plymouth, Devon, fetched only £9,500 — the cheapest lot to go under the hammer.
Wilton-Smith was disappointed by the failure of a vacant freehold four-storey house at 22 Albion Street, W2, to reach its reserve of £350,000.
“I would have thought this property, which is close to Hyde Park, would sell as there was a lot of interest in it prior to the auction,” he commented.
GA is claiming a first at its sale on December 4 when a 25% equity share in two residential developments at Maidstone in Kent and Erith in the London Borough of Bexley will be put up for auction.
“The properties were all sold off between August 1990 and October 1991,” says Wilton-Smith, “and, at the completion of the last transaction, the accumulated equity amounted to £355,688.”
In accordance with the legal charge on each property, the 25% equity share must be repaid when each property is sold or within a maximum period of five years.
“The sum for repayment is based either on the original purchase price or the current market value, whichever is greater,” explains Wilton-Smith.
“If the latter, then the exact figure is to be determined by an independent surveyor chosen in agreement by both parties.” A guide price of about £200,000 is being quoted.
