Network Auctions’ latest online auction (14 July) shows the market may be tightening – but developers are still keen to buy.
Toby Limbrick, director and auctioneer, said, ‘We’re seeing a more considered approach with how people are buying. Despite the political turmoil, investors and developers are buying with a long-term timeframe.’
‘This approach to investment is seen in our two star lots of the day. Colman’s Wharf, Bromley by Bow is a warehouse conversion with a restricted lease as a live/work unit. Other units in the block have overturned the restriction and are now fully residential, unlocking value potential. It’s got a great vibe with exposed brick walls, steel joists and an abundance of light through the floor to ceiling windows. In an area that’s rapidly gentrifying and becoming more sought after, the £408,000 hammer price off a guide of £275,000 looks good value.’
‘Our second star of the day attracted 216 bids! The former homeless hostel comprising 15 rooms and a car park is situated in Luton’s ‘golden triangle’. The building was in poor condition which meant we couldn’t carry out any viewings so all buyers were bidding ‘blind’. The property was guided at £350,000 and a pre-auction offer of £500,000 was declined – a good decision as it sold for £751,000 – more than double the guide!’
Overall, the auction raised £5 million with a success rate of 85%