Town centre bank goes under hammer at online auction

A high-street bank in Mansfield town centre, valued at about £1.1 million, is to go under the hammer as part of a UK-wide online auction.

Friday, 27th October 2017, 4:42 pm
Updated Tuesday, 12th December 2017, 9:30 am
The Hailfax is selling seven branches across the country.
The Hailfax is selling seven branches across the country.

The branch of The Halifax, on Stockwell Gate, will remain open for business as usual after the sale. But it is stil expected to attract considerable attention among investors.

“This is a unique investment opportunity for this area, and we expect to see massive interest from national and overseas buyers,” said Richard Reed, head of property at the John Pye Property estate agency, which is overseeing the sale.

The building is one of seven Halifax branches across the country that are being sold at the online auction this month. Valued at £20 million in total, the other locations are Brighton, Chelmsford, Colchester, Darlington, Reading and Liverpool.

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“This is a significant portfolio of properties being sold,” added Mr Reed. “All are for prime investors looking to buy good-quality stock where there is not a deal of top-notch investment properties coming to market.

“The properties are in fantastic high-street locations in towns and cities. Six of them have about five years remaining on the leases, while the other has ten years remaining. With gross initial yields ranging from 5.5 per cent to 9.7 per cent, they offer great returns from blue chip tenants. It is recognised that banks are secure tenants.”

John Pye, which celebrates 50 years of trading in 2018 and has a prominent base in Nottingham, stages online auctions every three weeks. This one will take place on Wednesday, November 15 and Thursday, November 16.

Mr Reed continued: “We have sold hundreds of properties through the auctions and with great success. We don’t charge seller fees. The auctions are free to enter, and there are no marketing costs. This is the future of property auctions.”