A Scottish shopping centre put up for sale with a £1 reserve sold under the hammer at Allsop’s auction on 5 February for £310,000.
The Postings in Kirkcaldy was being sold by Columbia Threadneedle and was bought by a private investor, bidding over the telephone.
Bidding for the lot began at £10 in the room and took just a few minutes to reach its final sale price, which reflects a yield of 50.29%.
Speaking to EG just after the hammer fell, auctioneer George Walker said that the new owners were likely to repurpose the centre.
The 81,000 sq ft mall, developed in the early 1980s, is currently largely vacant with some 14 of its 21 stores empty.
“The investors will inevitably have another use for it,” said Walker, “and will hopefully work with the local authority to get it to become the fulcrum of the local town. Everyone really wants it to become a vibrant hub of the community.”
He added: “The £1 price was an appropriate way to guide a property that was costing some hundreds of thousands of pounds a year to own. Clearly, the centre has had its day and the £1 guide price and reserve did generate the coverage. We had 100 registered people. We had about 12 bidders on the phone, over the internet and in the room.”
According to filings with the Scottish land registry, the shopping centre last sold for £10.3m in 2003.
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