A former Methodist chapel currently used as a medical centre was one of the lots that failed to sell at Barnard Marcus’s 9 September sale.
Bidding for St Mark’s Medical Centre in Southport reached £1.18m but still failed to meet its reserve. The property also failed to sell in the auctioneer’s May, June and July sales.
The Grade II listed former church, whose construction was partly funded by jam manufacturer and philanthropist William Hartley, has been used as a medical centre and pharmacy since 2005 and has a gross floor area of 12,900 sq ft. It produces an income of £130,000 a year.
Barnard Marcus sold 142 of the 222 lots offered, equating to a success rate of 64%, raising a total of £20.2m.
The result was similar to the auctioneer’s September sale the previous year, when it sold 128 of 205 lots offered, equating to a success rate of 63%, raising a total of £20.5m.
Interest in doctors’ surgeries and medical centres has increased over the past five years as investors have tried to find alternatives to buying retail property at auction. Agents say that tenants with business models perceived to be internet resilient can attract premiums of up to 20% in the auction room.
However, with political uncertainty surrounding Brexit continuing to dampen sentiment, many investors are also reducing the amount of money they spend on lots.
Barnard Marcus’s next auction will take place at the Grand Connaught Rooms, WC2, on 7 October.
