Allsop's latest commercial auction generated £60 million from the sale of 70 lots, achieving a success rate of 88%. The results point to steady demand, with both retail assets and regional properties attracting consistent interest.
The largest transaction came from a supermarket investment in Lymington, where a town centre Tesco let sold for £2.59 million, reflecting a 7.6% net initial yield. Across the catalogue, 23 properties exceeded £1 million, while the average lot size reached £857,000.
Retail stock accounted for the majority of activity, making up:
- 67% of lots sold
- 63% of total value
Regional assets also contributed significantly. Properties outside London and the South East raised £27.9 million from 39 lots, indicating continued appetite beyond core markets.
Buyer activity remained consistent with previous auctions, with a large proportion of participants returning to the market. Data from the sale shows:
- 80% of respondents had previously purchased at auction
- 71% completed transactions using cash
- 92% said they would consider buying again at auction
This repeat participation suggests ongoing confidence among investors, particularly those familiar with the auction process.
Notable lots
Several assets drew strong bids across different sectors and locations:
- Bute Street, London SW7, six shops with three-bedroom maisonettes above, sold for £11 million
- Lot 8 in Pershore, let to Busy Bees Nurseries until 2039 with RPI-linked reviews, sold for £1.235 million at a 6.9% NIY
- Lot 10 in Exeter, a Tesco Express with parking and a lease running to 2039 at £66,500 per year with RPI-linked reviews, sold for £1.31 million at a 4.8% NIY
- Lot 13 in London N4, let to Post Office Ltd until 2068 with a mutual break option in 2035, sold for £1.385 million at a 4.4% NIY
These results reflect a mix of long-income investments and retail-led opportunities, many supported by index-linked rental agreements.
"Despite recent unease in financial markets, the positive sentiment we witnessed in February continued through to our March sale, with strong prices achieved across a wide range of assets," said Mark Gower, commercial managing partner at Allsop.
"Cash buyers remain highly active and are prepared to bid competitively when they see value. However, realistic pricing has never been more important. These results mark a strong start to 2026 and bode well for our May auction."
He added that pricing discipline remains central to maintaining momentum, particularly as investors weigh broader economic conditions against income security and yield.
