Beating the buzzer: why auctions are a local authorities best friend in the sprint to the year end

As the new year begins, local councils around the country enter one of their busiest and most complex periods. With shrinking budgets and increasing demands for council resources, selling off any land and buildings which are surplus to requirements unlocks much-needed cash. With just months before the end of the financial year,  Kate Lay, Director for Landwood Property Auctions, looks at why now is THE key time to sell and highlights the benefits to councils of doing so through online property auction.

As the new year kicks off, councils across the country will be preparing for the end of the financial year in April, looking to cost plans and proposals minimising any budget shortfalls.

Even in normal circumstances, councils are often subject to budget shortfalls due to unforeseen events or actions that require them to dip into their reserves. However, this has been anything but a normal year.

Inflation continues to rise, the economy continues to shrink and gas and electricity prices are predicted to continue their ascent into the new year. These factors, combined with a general tightening of the purse strings for government administrations across the nation, are likely to lead to more significant shortfalls than in any recent year, possibly even surpassing the impact of the Covid-19 pandemic.

Local authorities are increasingly selling off their surplus land with recent reports suggesting that more than 4,000 public buildings in England are being sold off to developers each year. 

It has never been more important to maximise the assets a council has whilst at the same time off-loading land and buildings which are now surplus to requirements. And, selling through an online property auction can provide speed, flexibility and the best return. 

The best routes to dispose of surplus council assets

When looking to divest assets, there are two main routes that a council can opt for – Private Treaty Sales or Property Auctions. 

Each has its own benefits, but particularly when time is an important factor, property auctions offer some crucial advantages. 

Auctions in particular offer a great way to rapidly dispose of an asset whilst ensuring a strong sale value. Property auctions, particularly those conducted digitally, offer attractive benefits such as competitive bidding on a nationwide scale with a fixed exchange and completion date, making them the perfect option for any public sector body looking to free up funding for other crucial areas of investment. 

Online auctioneers are often able to process and hold frequent auctions, with some even holding auctions on a weekly basis. These regular auctions allow public bodies to dispose of an asset in a timeframe that suits them, offering an agile and responsive service that can be moulded to fit the various needs of a huge variety of asset types.

The regularity of auctions also enables councils to determine exactly how long they wish to market an asset, without being fixed to a strict closing date deadline, and the flexibility to even push back an auction date to accommodate any unforeseen delays that appear. 

For councils who are looking to dispose of an asset in an efficient manner and within a specific timeframe, auctions are often the perfect solution – especially for local councils who want to plug any gaps in their funding before the end of the financial year in April.

Landwood Property Auctions sells a variety of property and land on behalf of local authorities, and have a wealth of experience in helping councils sell surplus assets, generate funds for their boroughs and see new life brought into a building.

Across the local authority and public sector, Landwood Property Auctions expert team of Kate and her co -director James Ashworth have decades of experience, supporting Councils such as Cumbria County Council, Sefton Council, Cheshire East Council and Wrexham Council among many others to sell over 600 key assets. With a wealth of knowledge and expertise, Landwood Property Auctions is the perfect auction partner for the entire public sector, providing exceptional sales performance and a dedicated service across the nation.

For more information please visit: www.landwoodpropertyauctions.com or call Kate Lay on +44 (0)7914 698829.