What a load of hot air! Bemused locals and traders are left scratching their heads over 'crazy' £10,000 auction for 'air-space' above flats on South London street - even though it doesn't have planning permission

Residents and traders in a sought-after street in south London have told of their disbelief that 'air-space' above a four-storey property is being sold at auction.

Speculators in London's booming real estate market are invited to enter bids in excess of £10,000 to buy the rights to develop above the existing building at 47 Northcote Road in Battersea – even though it does not have planning permission.

Over the past 30 years the road has been transformed from a traditional market street to the home of upmarket cafes and expensive restaurants, attracting some of the highest commercial rents in south London.

The 'vacant possession' which has gone up for sale on Rightmove currently has two apartments above a Mediterranean restaurant. The auctioneer's website says 'a new 150-year lease with a peppercorn ground rent will be granted upon completion'.

Asked why anyone would bid on thin air, auctioneer Phillip Arnold explained that it was an affordable way to get a foothold in the neighbourhood - where the average flat sells for over £600,000. Mr Arnold is confident it will sell.

Reacting to the 'air-space' up for sale today, sports agent Nick Winder, 26, told MailOnline: 'It sounds like a lot of hot air to me.'

His flat mate James Gee, a lawyer, was not convinced either. The 26-year-old added: 'This sounds pretty stupid to me. I can't believe that you would be able to get planning permission for something that does not exist.'

Nanny Eric Fuximus, 21, also fumed: 'Anything is possible in London, but I think it's a stupid idea. 

'I suppose it depends on how much you want to live in this location. But it does not make sense to me.

'There are so many better things that could be done with that money.

'It's Christmas time and there are families struggling with the cost of living.'

Fish monger Toby Kimpton, of The Fish Stall, told MailOnline: 'I'm absolutely speechless. I can't believe that anyone would buy air.

'The rents along this road are unbelievably expensive so I get why the owner is trying to sell it, but still.'

Software salesman Jacob Reznikov, 28, said: 'Well it's not for me but it will make sense to the right person.'

And fitness instructor Fay Simons, 34, added: 'Wow, that would be incredible, I wonder if I could have my studio in the sky?'

The plot is situated a short walk from Clapham Junction railway station, and hovers above two flats and a restaurant space on the ground floor, which is currently being transformed into a cafe. 

Handyman Martin Lopez, who has worked in Northcote Road for 30 years, said that the area has 'changed beyond recognition'.

The 71-year-old added: 'It used to be full of market stalls and small shops but most of that has gone now. This just sounds crazy.'

Project manager Nicola Scarborough said: 'That sounds like a lot of money for effectively nothing.'

Clothes stall holder Marjorie France, 60, said: 'I can't believe it. If someone is thinking of buying air, they must have more money than sense.'

Hairdresser Monica Borvea, 30, said: 'If you can do something good with this space, like make a lovely garden or something, then why not?'

Organic vegetable stall holder Stefano Mor, 44, said it was the first time he had ever heard of something like this, describing it as a 'very strange concept'.

But PR executives Sam Holl and Helen Byard suggested this novel idea could have set a precedent for the whole area.

Sam said: 'Could this be the cheapest property in London?'

Helen added: 'Would this set a precedent for all the other properties in Northcote Road to do the same?'

The 'air-space' will go under the hammer with Phillip Arnold Auctions on December 7. 

The listing reads: 'The property is located off Battersea Rise to the South of Clapham Junction and within easy reach of Wandsworth and the River Thames.

'Numerous rail stations and open spaces are within walking distance.

'This airspace is being offered on a brand new 125-year lease and sits above a terraced dwelling that is currently arranged as a restaurant with two self-contained flats above.

'The lot being sold is the airspace above with development potential, subject to obtaining any necessary consent required.

'The freeholder will be providing landlords consent to develop at no additional charge to the purchaser.

'We have noted that the adjoining properties at numbers 43/45 have been subject to planning permission and will be extending into the airspace above that dwelling by way of development.

'The airspace is sold with vacant possession and will be of interest to developers.'

The concept of selling airspace is thought to have been big in New York a decade ago, but remains an anomaly in London. 

A plot of airspace in Russell Square went up for auction in October but failed to reach its guide price of £100,000.