The Helmsman auction method, more commonly associated with selling livestock, is being used to sell 42 apartments in the Queensland city of Ipswich in September. It's the second such auction announced by Ray White in the past few weeks.
"It's more a carnival atmosphere than an auction room," Ray White Commercial selling agent Warren Ramsey told the Australian Financial Review.
The auctioning system, which sees multiple properties being sold at the same time, is expected to attract strong interest from buyers expecting big discounts, the AFR said.
"It's a multiple, similar lots at a receiver auction so [it would have been] very hard to get the momentum required to clear the lot by doing them one after the other," Mr Ramsey said of the Ipswich sale.
The Helmsman method is also being used by Ray White to sell 76 properties located in Falls Creek, Victoria, later this month. As reported in Real Estate Business earlier this month, Morry Schwartz aims to offload all of his 76 Falls Creek properties within the Huski, Silverski and St Falls ski resorts in one day, at what the company described as “the biggest single auction of alpine property the country has seen.”
“The nature of the Helmsman Auction allows bids to be submitted for multiple properties simultaneously and also opens up the possibility for investors to purchase multiple adjoining apartments or the entire portfolio if desired,” said Mark Williams, CEO of Ray White Commercial, who will conduct the Falls Creek property auction.
The Falls Creek auction is due to take place on 28 August at Crown Casino in Melbourne.