SAUMAREZ Lodge Farm was sold for a local market record of £3m. at auction on Saturday. James Smith, who owns the house of that name next to it, bought it.

The sale will provide a massive windfall for five local charities which will share the money.

After the auction, Mr Smith said he could not divulge what plans he has for the land.

‘I’m delighted, but I can’t say too much about it at the moment,’ he said.

The farm lies between Queen’s Road and Victoria Road and is one of the last remnants of St Peter Port’s farming history.

It is made up of seven acres of field along with a house built in the 1930s.

More than 300 people attended a lively auction and Advocate Roger Perrot put forward the winning bid on behalf of Mr Smith, who had got the ball rolling by bidding himself before letting the advocate take over.

The farm takes its name from Sir Thomas de Saumarez. The family owned it from the early 1800s until the turn of the last century.

It has been held in trust since the death in 2003 of farmer Ernie Bailey, who worked and lived on the farm.

The charities which have benefited from the sale were told beforehand that they would be getting the money. But their names have not been made public.

A spokeswoman from one of them said: ‘I’m euphoric.

‘We’re beside ourselves with joy, it’s absolutely wonderful.’

Nick Renny, a director of auctioneer Martel Maides, said the farm represented a slice of Guernsey history.

‘Up until 200 years ago much of what we now think of as Town was actually still rolling countryside.

‘Not that long ago cows were still a familiar site grazing in the meadow here and milk churns were at the entrance ready for collection,’ he said.

‘It really is a link with the past, and probably one of the last reminders of this area’s history.’

Clive Maides ran the auction and said he was delighted with the price.

‘How can you value a property like this?’ he said.

‘There is nothing that you can compare it with. We had thought that it would exceed a million but I’m just so pleased for the five charities.

‘It brings to a close a brilliant piece of Guernsey history. We are over the moon.’

St Peter Port deputy John Gollop attended the sale and said he was stunned by the price.

‘I had my own estimate done and it was valued at £1.25m. It’s a record price for Guernsey and it might even be a record for the British Isles.

‘I was also gobsmacked by the massive crowd from all walks of life.

‘It was the best attended auction I have seen and it shows that if you promote something properly, you will get interest from the public.’