The commercial property market is showing definite signs of recovery according to experts at leading Midland auction house Bigwood.

The firm saw a marked upturn in activity at its latest Birmingham sale, with smaller commercial lots selling particularly well.

In total, the sale at Villa Park realised £6.38 million with 70 per cent of the 87 commercial and residential lots sold.

Bigwood director and commercial property specialist Ian Tudor said: “We saw levels of interest that haven’t been there for three years, especially for commercial investment opportunities at around £100,000-£150,000.

“Banks are starting to release repossessed and other distressed properties on to the market, which is certainly sparking a lot of enthusiasm from bidders. We had between 500 and 600 people in the room for the start of the sale, which made for some keen competition.”

A freehold shop with self contained flat at 1473-1475 Pershore Road, Stirchley, which was offered with a guide price of £110,000-£115,000, made £121,000.

Also on Pershore Road, number 1555 - another freehold shop with accommodation – sold for £74,000 against a guide price of £65,000-£70,000

A shop with offices above at 274-276 High Street, West Bromwich, sold prior to auction at well above its £300,000 guide price. It had previously been on the market for 12 months.

Elsewhere in the Black Country, a freehold shop with living quarters at Bromley, Brierley Hill, was sold prior to auction.

It had a guide price of £110,000-£115,000, while at nearby Commonside, a freehold investment property trading as a fish and chip shop was also sold prior to auction. Its guide price was £85,000-£90,000.

Ian Tudor added: “These sales, both prior to the sale and in the room, bode well for the market as we move into the second half of the year. I think we can look forward to an even busier time at our September sale.”