Lovely jubbly: Shack in Peckham sells for £1MILLION at auction
A DERELICT bungalow in Peckham has sold for almost £1million in the sort of deal Del Boy could only have dreamed of.
This Peckham shack sold for almost £1m at auction in a deal Del Boy & Rodney would've been proud of
The dwelling, on the corner of two streets, will need to be demolished but as yet there is no planning permission for redevelopment.
But this didn’t stop the property being offered with an eye-watering £590,000 guide price when it went to auction with Savills on Monday.
There was a bidding war for the bungalow and it was eventually sold for £920,000.
This is more than twice the £450,000 paid for a typical home in the SE15 area over the past 12 months. A decade ago, the average house in the area sold for £300,000.
The derelict bungalow will need to be demolished and rebuilt
As yet, no planning permission has been granted for the required rebuild
The new owner of the bungalow, who has to pay £36,000 in stamp duty, is expected to submit plans to redevelop the site in the up and coming area.
There was quite a lot of interest in it and bidding started at £600,000, so people weren’t messing around
Savills sold the building on behalf of Southwark Council.
Chris Coleman-Smith, head of Savills Auctions, said “Over the past ten years Peckham has become an increasingly sought after residential neighbourhood, offering a village atmosphere with plenty of local cafes, shops, bars and restaurants.
“The bungalow provided bidders with an opportunity to acquire a site with great residential development potential.
“There was quite a lot of interest in it and bidding started at £600,000, so people weren’t messing around.
The 'house' sold for twice the average place of a property in the same area
The new owner of the property is required to pay more then £35,000 in stamp duty
“It was a good result and there is certainly scope for the buyer to achieve a good return.
“There were four sales over £1 million including a house in Wimbledon which sold for £1.7 million. People like to be able to go into an auction room and come out with a contract under their arm.”