A new Sydney CBD-based auction room, which is “spectacularly modern”, will be the city centre’s first to hold 'regular' residential property sales, its owner said.
David Scholes, principal at auctionWORKS, has developed the new auction room in conjunction with REA Group, owners of realcommercial.com.au and realestate.com.au, who will each promote the new venue to their clients.
The venue, located at 50 Margaret Street, Sydney, opposite Wynyard train station, will hold both commercial and residential auctions on behalf of agents from across NSW.
Mr Scholes told Real Estate Business that the new venue, which is the “the most professional he’s ever worked in”, allows buyers to participate in an auction either in person or as the internet and technology now allows, to view the auction presentation in real-time and bid by telephone or, starting next week, via the Internet.
He added that the new room, which has windows facing a park, addressed some of the failings of other in-room locations he’s worked at, many of which lack ambience and have participants “looking at a concrete wall”.
Its location, close to a major train station and bus stops, and at least six car parks, would also facilitate buyer attendance, he said.
Mr Scholes, who conducts around 1,600 auctions each year, said auctionWORKS, which currently holds in-room auctions on Sydney’s lower north shore, believed the venue would be ideal for residential auctions of properties from suburbs located on the CBD’s fringe.
Based on the company’s website, current residential agent clients include LJ Hooker Mosman, LJ Hooker Terrey Hills and Raine & Horne Marrickville, while on the commercial side, clients include Cushman & Wakefield, Savills and Taylor Nicholas North Shore.
“Our partnership with auctionWORKS is a very significant part of our commitment to provide buyers and sellers with convenient and accessible ways to access the property market,” said Ashley Smallwood, head of sales at realcommercial.com.au.
Mr Scholes said auctions were ideal for moving property within a set time frame.
“An auction sends the strong signal a vendor is serious about selling which is important in a declining property market when the longer a property remains on market the greater the likelihood of a poor result,” he said.
Mr Scholes said there were “generally three distinct periods in an auction campaign...with approximately 20 per cent of properties withdrawn from sale after only a few weeks due to a poor initial response; 45 per cent of properties selling before or at auction; and a further 35 per cent of properties selling within three weeks of auction.