Savills raised almost £24m from its latest sale but noted “slightly more caution among buyers”.
The 10 May sale saw 70 lots find buyers from 94 offered, a 75% success rate. A further 30 lots were withdrawn prior.
“Generally there did appear to be slightly more caution among buyers than we have recently seen which may well be a reflection of the prevailing news agenda,” said director Paul Mooney.
However, Mooney anticipated discussions post auction to lead to further sales. Competition was strong on the day, with one lot attracting more than 50 bids in under 30 seconds.
Savills has transacted on nearly £150m worth of property so far in 2022, 20% more than this time last year. Demand has been particularly strong for commercial lots. In the latest sale, a parade of six shops with six flats above in Walsall, West Midlands, sold for £629,000, a net yield of 7.14% (lot 65, pictured).
Mooney said: “The strong level of interest in commercial assets remains a key theme and competition among buyers to secure what they perceive to be ‘one-time’ opportunities prompted a number of properties to be sold in advance of the day. Bidding activity was particularly fierce for stock which appealed to those growing their portfolios.
”One example was a vacant two storey Surrey building with ground floor retail, offering development potential. It sold for £655,000, more than three times its £210,000 guide (lot 57).
Mooney added: “Several of our highest value May sales were residential properties, an indication that lack of stock in the agency market continues to filter through to auctions.”
Further sale highlights:
- Lot 2 – Tooting Primary School Lodge, SW17, sold for £605,000.
- Lot 35 – flat 5, 18 Stanhope Terrace, W2, sold for £1,285,000.
- Lot 38 – Thames Court, Sheerness, Kent, a block of 15 flats, sold for £1,440,000, a 7% yield.
- Lot 54 – former reservoir site in Sandy, Bedfordshire, sold for £280,000.
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