Today was the sixth Allsop Space property auction, held in the Shelbourne Hotel in Dublin. Following on from their successful event in April, a total of 87 properties sold under the hammer with 9 withdrawn prior to auction and 10 failing to make their reserve prices.
Its interesting to note that of the properties withdrawn prior to auction, many were the touted ‘loss-leaders’ of the auction.
There was a relatively slow start to the day, the room took longer than usual to fill up. It is fair to say that there was not the same hype about this auction in advance, however when bidding started it was robust with many properties exceeding their reserve significantly. The reserve prices, which are usually exceeded by an average of 33%, were exceeded by 24% today. This may be a reflection on the quality of properties or perhaps buying property through one of these auctions is no longer a novelty. There is a definite sense that market value was exceeded in some cases, in particular a three bed terraced house in Blackrock with a max reserve of €200,000 sold for €279,000 – despite being offered on the open market for €275,000 for several months!
Bargain of the day
One of the better buys of the day must surely have been Lot 28 – the beautiful 3 bed detached house on 2 acres in Lyroe, Ballinagree, Co. Cork as evidenced by the beeming buyer who won the bid. This stunning property had a low reserve of €90,000 and the successful bidder paid €104,000 – this was voted Buyers Broker bargain of the day!
Darby O’Gills Hotel just outside Killarney on the scenic ring of Kerry exceeded its reserve price of €515,000 to make €735,000. This might seem a disappointing figure for a 43 bedroom working hotel in an area that 5 years ago would only have bought a family home. When researching this property earlier for a prospective buyer there was ill feeling locally towards the sale, hopefully this is not the case and we wish the new owners the best of luck.
Strangely, of the 10 properties that failed to make their reserve we noted at least 6 had bids (not competitive bidding) close to the stated maximum reserve – in fact 4 of those 6 were within €1,000 of the reserve price. In traditional Irish land auctions, this would not be unusual where the highest bidders are invited into ‘talks’, (fundamentally unfair practice) however for a multi lot auction where properties sell in approximately 3.3 minutes on average it seems unusual that a bidder would present themselves in the auction room and lose the bid for €1,000. This was particularly notable in the case of the second Tulfariss property where the bidders would have known from the first identical property that the reserve was definitely €75,000 and yet still bid only to €74,000…
All in all it was another successful day, well done to the team at Allsop Space. A special word of welcome to Allsop’s first female auctioneer – Daphne Mahon who was charming and professional on the rostrum and we look forward to seeing more of her. The final tally was €12,915,000 in total sales from 87 properties sold with €2,661,500 raised over the reserve prices.