19 April 2012|
Welcome to Andrews and Robertson’s May catalogue bringing a number of residential and commercial properties to the market. We have collected a mixture of vacant and investment stock largely located in London and around the M25 – locations that reliably prove to be the private investor’s preference.
Our first two sales of 2012 demonstrated clear demand for good quality investment stock. Both well let residential and commercial properties located within the M25 are prompting real competition and a depth of bidding not seen for some time.
From the rostrum we have witnessed a tangible improvement in demand for residential development sites in the South East. This is a really good indicator of growing confidence in the residential sector and was one of the first to be hit by the reduction in lending. Since so many development opportunities have been stymied by lack of lending, those that are taking place are doing so with a weight of private equity behind them, and these buyers clearly feel on the cusp of a turning point.
So far this year we have sold £33M worth of property. However bidders are being discerning and are actively sourcing properties that accurately reflect risk, particularly on tertiary commercial property if let to local traders whose covenant and provenance is less established than high street names. Having said this, these so-called prime lots are also proving less durable to the changes in the economic climate than had been supposed and this is causing investors to cast their net wider.
As a result for those with good local market knowledge or experience in asset management and who know what to look for beneath the surface, the well let secondary commercial lot is proving enticing and selling well producing yields in excess of 9%.
Our latest catalogue contains properties on behalf of the London Boroughs of Southwark and Wandsworth, Grainger Plc, Executors, LPA Receivers, Mortgagees, Trustees, private property companies, and private individuals.
May we draw your attention to the following selection:
143 Barry Road, East Dulwich, SE22: A Freehold Vacant Two Floor Two Bedroom Semi-Detached House. Offered on behalf of the London Borough of Southwark. Guide Price: £425,000 +
34c Argyle Square, Kings Cross, WC1: Long Leasehold Second Floor Self-Contained Flat. Offered on behalf of the Trustee in Bankruptcy. Guide price: £150,000 +
29 Chestnut Road, West Norwood, SE27: Freehold Three Floor Double Fronted House arranged as Eleven Self-Contained Studio Flats producing £57,240 per annum. Guide Price: £650,000 +
Elephant & Castle Public House, Newington Causeway, London, SE1: Freehold Five Floor Building comprising of Thirteen Self Contained Flats and a Public House all let producing £350,200 per annum. Guide Price: £4M +
126-128 Lauriston Road, Hackney, E9: Freehold Double Fronted Shop Investment with Three Self-Contained Flats above producing£128,500 per annum. Offered on behalf of the LPA Receivers. Guide Price: £1.3M +
We look forward to seeing you in the room, if not we can provide telephone bidding and proxy bidding facilities but please do give us prior notice to make this facility available. Further information can be found on our website: www.a-r.co.uk
Chief Executive & Senior Auctioneer
Andrews & Robertson...where time matters