In a combinatorial auction, a plurality of bids is received each having a plurality of sub bids and Boolean operators logically connecting each pair of sub bids. A current allocation is determined by allocating goods to at least one of the bids and a best allocation is initialized with the current allocation. A neighboring allocation is constructed by reallocating within the current allocation at least one good from at least one bid to another bid. The best allocation is updated with the neighboring allocation when the value of the neighboring allocation is greater than the current value of the best allocation.