In what will be the auctioneers’ largest sale this year, the Acuitus commercial property auction on September 25th will bring to market 66 lots with guide prices ranging from £15,000 to £3.5m.
Acuitus Chairman, Richard Auterac, comments: “The commercial property auction market continues to demonstrate a strengthening investment sector with an increase in quality lots coming to market and finding energised buyers looking to capitalise on the new phase of the property cycle. The availability of competitively priced finance is also having a positive impact on those assets which offer development opportunities.
Leisure investments have witnessed a resurgence in investor interest particularly in the public house sector where leases typically have long unexpired terms and index-linked rent reviews.
There are a number of public house investments, let to Marstons, being sold on behalf of major funds in this auction including the following which benefit from five-yearly RPI-linked cap (4%) and collars (1%) increases:
Acting for a major corporate, Dignity, a total of seven development opportunities are being offered separately in various locations across London (including Kilburn, Ealing, Mill Hill, and Lewisham), with prices ranging from £450,000-£825,000. All are currently unoccupied and open to potential future development, subject to consents.
David Margolis of Acuitus comments: “There are some terrific locations and it’s not often that investors have the chance to buy unimproved buildings with so much potential.”
Elsewhere in the catalogue, a selection of 13 ground rent investments are being offered across a number of UK locations, including: Derby, Swindon, Liverpool, Birmingham, Sheffield, and Peterborough.
Jon Skerry of Acuitus comments: “Ground rent investments such as these are quite rare which is directly linked to their popularity being very low risk, relatively small capital outlay and with the potential for substantial capital uplift.”
Acting on behalf of a major fund, two substantial industrial units in Southam, near Royal Leamington Spa, are being offered with a guide price of £2.3m-£2.4m. The two units produce a combined income of £181,005, and benefit from vehicle access loading doors and a secure yard and forecourt parking.
John Mehtab of Acuitus comments: “Modern, institutional-quality industrial investments are rarely available to buy. Let at an overall rent per sq ft of only £5.75, it should offer good rental growth future potential”.
In Scotland, a number of assets in Aberdeen appear in September’s catalogue including an office investment at 1-3 Albyn Terrace which currently produces £198,730 in annual rental income and has a guide price of £1.6m. While over in Glasgow, a prominent development opportunity in a Grade-B listed building at 197 Pollokshaws Road, which has consent for change of use, is being offered with a guide price of £1.8m.
Mhairi Archibald, Acuitus Scottish Consultant comments: “We have established a strong relationship with Scottish investors as well as investors from outside Scotland who follow our sales. These current lots offer very good value for money”.
Richard Auterac continues: “Increasing confidence across the market, coupled with potential reductions in the BoE interest rates, should lead to a more vigorous trading market for the rest of 2024 and beyond.”
The auction will take place on Wednesday September 25th at 1pm and will be broadcast via livestream on the Acuitus website with bidding online, by telephone and by proxy.
