Allsop Residential’s first auction of 2017, held at the Cumberland Hotel on 16 February, raised a total of £64 million on the day at an average of £326,000 per lot. With 281 lots in the catalogue, the auction achieved a success rate of 80%, with more properties expected to be sold post as interest continues.  

The biggest selling lot on the day was a four bedroom 2,442 sq ft penthouse in Westminster which was sold for £2.1 million, although one of the residential team’s biggest ever lots – a 43,700 sq ft office building in Crawley with permitted development for 111 self-contained flats – was sold prior to auction for substantially more than its guide price of £7 million.  

Partner and Auctioneer Gary Murphy commented: “This was one of the largest crowds we have seen in our sale room for some time. In particular, there were far more new faces than we remember in recent sales. Many were there for one lot only and were obviously new to the auction method. It would seem that the market, for auction stock at least, has overcome the jitters that were evident during the latter half of last year. The stamp duty increases that have hit buyers of investments and second homes have now become an accepted, if unwelcome. Cost. Life goes on.  

“The sale demonstrates the continued demand for permitted development opportunities. For example, a particularly strong result was achieved in the room for a 9,000 sq ft office in Bagshot, Surrey with PDR for 12 flats. Guided at £1.3m, it was sold for £1.98m. It’s encouraging to see this market looking so healthy and, in our experience, the majority of PD buyers are developing for rent.”  

Other notable sales included a freehold former library in Harrow, Middlesex, which sold for £1.925 million against a guide price of £1.25-£1.5 million and a former telephone repeater station in Royston, Hertfordshire, which had a guide price of £90,000, but was eventually knocked down for £307,500.  

Entries are now being taken for Allsop Residential’s next auction, which will take place at the Cumberland Hotel, Great Cumberland Place, London W1 on 30March.