Million pound investment opportunity heads up commercial lots at auction
Bond Wolfe Auctions is reporting a continuing surge in interest in commercial lots in the build up to the firm’s next sale later this month.
The surge has come after Bond Wolfe Auctions announced the intention to start commercial-only auctions in the Spring of 2021 as the main auctions were regularly attracting 200 plus lots, resulting in online, livestreamed auctions of over ten hours.
The spotlight at the next auction will be on Carlton House, a high yielding freehold town centre mixed use investment in Kidderminster.
The property has eight retail units and 15 apartments, comprising a mix of studio, one bedroom and two bedroom accommodation. It is currently 91% occupied, producing rental income of £149,280 a year, with potential full rental value of £170,000. The apartments have recently been refurbished into modern accommodation.
Carlton House occupies a prominent position within the heart of Kidderminster town centre with frontages to Oxford Street, Marlborough Street and Worcester Street. It has a guide price of £1.35m.
Similar strong interest is expected in Victoria House in West Bromwich, guide price £665,000+, and Strand House in Bromsgrove, guide price £495,000+.
Demand for pub sites providing residential development opportunities continues to be extremely strong, with interest in this auction focusing on The Swan and Mitre, 305 Lichfield Road, Aston, Birmingham (guide price £225,000+), and the former Rookery Tavern, 41 Wood Street, Lanesfield, Wolverhampton (guide price £325,000+).
Also going under the hammer is the vacant former Kinver Police Station, High Street, Kinver, which has a guide price of £395,000+.
Ian Tudor said: “This is the busiest auction for commercial lots we have ever held.
“During these uncertain times, post lockdown, never has the certainty of a sale by auction been more attractive. Once the hammer falls, the contract is binding, contracts are exchanged immediately and prices cannot be renegotiated.
“This is proving particularly popular with vendors of commercial property who require the comfort of a guaranteed sale in order to plan and shape future business decisions, and this is leading to an increased number of commercial lots on offer by auction.
“In addition, the recent changes in planning use classes are boosting buyers’ confidence as they now have various options available to them, for example to convert retail premises into cafes and restaurants without the need for planning permission, which in a post-Covid world, provides good long term alternative options.”
The catalogue of 212 properties to be offered on Wednesday 28 October will be the fourth online auction held by Bond Wolfe Auctions since COVID-19 restrictions were introduced in March.