Two buildings on Pall Mall in London sold for more than £10m at Allsop’s June commercial auction – the largest lot the company has sold for two years.
Of the 48 lots sold, 17 achieved prices of more than £1m, with buyers seeking out the best quality assets let on good leases in Central London and the regions.
Bidding for 40/41 Pall Mall, which was sold on behalf of liquidators, drove the sale price above the guide price to £10.8m.
A portfolio of four KFC drive thru units let on leases up to 2043 also attracted a lot of interest from bidders and a Gails Bakery and two maisonettes in Gerrards Cross, which are let on a long lease at £72,000 per annum, sold for £1.24m, reflecting a yield of 5.5%.
George Walker, partner and auctioneer at Allsop, said: “These peaks of demand in Central London and the regions confirm that the private investor is waiting to compete for the better quality assets at auction, to improve their portfolios and build strong income. These yields, nine of which were 5% or below, simply don’t allow financing, but buyers are content with adding real quality to their portfolios as they have faith in the diversity of their assets.”
