reporter2
07-05-14, 14:45
http://www.businesstimes.com.sg/archive/wednesday/premium/singapore/three-industrial-sites-put-sale-20140430
Published April 30, 2014
Three industrial sites put up for sale
Tuas and Woodlands plots released under IGLS scheme for H1
By Lynette Khoo
[email protected] @LynetteKhooBT
TO provide more options for industrialists, the government has put up two sites at Tuas and one site at Woodlands for sale under the first half of its Industrial Government Land Sales (IGLS) programme.
The 3.9-ha site at Woodlands Ave 12 released by the Urban Redevelopment Authority has a 30-year tenure and a maximum permissible gross plot ratio of 2.5. It is zoned for industrial (Business 1) with an integrated Heavy Vehicle Park (HPV. The uses allowed under "Business 1" zoning include clean and light industries.
Separately, JTC launched two Tuas sites for B2 industrial uses, which include clean and light industries as well as general industrial use.
The 8,922-sq-m site at Tuas Avenue 11 has a lease of 30 years and a maximum permissible gross plot ratio of 1.4. The other plot at Tuas South Street 11 (Plot 39) - triggered from the Reserve List with a $6 million bid - has a 20-year and 10-month tenure and a maximum permissible gross plot ratio of 1.0.
The closing date to tender for these land parcels is July 1.
Market watchers expect the Tuas Avenue 11 site to be strongly contested, given its small size and proximity to the upcoming Tuas Crescent MRT Station.
There are also few unsold vacant plots remaining in the vicinity, said Nicholas Mak, executive director of SLP International. He is expecting the site to attract seven to 11 bids, with the top bid at $75-$95 per square foot per plot ratio (psf ppr).
But for the other site at Tuas South Street 11, its shorter lease and focus on the end-users may make it less attractive to developers, said Tan Boon Leong, executive director of industrial services at Colliers International.
JTC said subletting at this site is allowed up to a maximum 50 per cent of gross floor area.
Mr Tan is expecting that there would be five to eight bids for each of the sites in Tuas, with the top bid for the Tuas Avenue 11 site coming in at $110-$120 psf ppr.
The winning bid for Tuas South Street 11 (Plot 39) may be $70-$75 psf ppr, given that the minimum bid that triggered its release was at $68 psf ppr, he added.
Market observers expect that interest for the Woodlands site will be modest, due to its sheer size and ample supply of B1 industrial space in the Woodlands region. Strata subdivision is allowed for the site but the licensed HVP has to be a single strata lot.
Mr Tan predicts the top bid for the Woodlands site to come in slightly below $100 psf ppr, taking reference from Far East's winning bid of $102 psf ppr for the 1.4-ha Gambas Crescent (Parcel 3).
SLP's Mr Mak said: "With the softening of the industrial market, the site is likely to attract about three to six bids within a more moderate range of $80 to $90 psf ppr."
Yesterday, JTC also awarded the tender for two industrial sites in Tuas South Street 6 - one to SH Design & Build Pte Ltd for its $5.28 million bid and the other to Soon Hock Investment Group Pte Ltd for its $5.12 million bid. A total of 15 bids were received for the two sites.
Published April 30, 2014
Three industrial sites put up for sale
Tuas and Woodlands plots released under IGLS scheme for H1
By Lynette Khoo
[email protected] @LynetteKhooBT
TO provide more options for industrialists, the government has put up two sites at Tuas and one site at Woodlands for sale under the first half of its Industrial Government Land Sales (IGLS) programme.
The 3.9-ha site at Woodlands Ave 12 released by the Urban Redevelopment Authority has a 30-year tenure and a maximum permissible gross plot ratio of 2.5. It is zoned for industrial (Business 1) with an integrated Heavy Vehicle Park (HPV. The uses allowed under "Business 1" zoning include clean and light industries.
Separately, JTC launched two Tuas sites for B2 industrial uses, which include clean and light industries as well as general industrial use.
The 8,922-sq-m site at Tuas Avenue 11 has a lease of 30 years and a maximum permissible gross plot ratio of 1.4. The other plot at Tuas South Street 11 (Plot 39) - triggered from the Reserve List with a $6 million bid - has a 20-year and 10-month tenure and a maximum permissible gross plot ratio of 1.0.
The closing date to tender for these land parcels is July 1.
Market watchers expect the Tuas Avenue 11 site to be strongly contested, given its small size and proximity to the upcoming Tuas Crescent MRT Station.
There are also few unsold vacant plots remaining in the vicinity, said Nicholas Mak, executive director of SLP International. He is expecting the site to attract seven to 11 bids, with the top bid at $75-$95 per square foot per plot ratio (psf ppr).
But for the other site at Tuas South Street 11, its shorter lease and focus on the end-users may make it less attractive to developers, said Tan Boon Leong, executive director of industrial services at Colliers International.
JTC said subletting at this site is allowed up to a maximum 50 per cent of gross floor area.
Mr Tan is expecting that there would be five to eight bids for each of the sites in Tuas, with the top bid for the Tuas Avenue 11 site coming in at $110-$120 psf ppr.
The winning bid for Tuas South Street 11 (Plot 39) may be $70-$75 psf ppr, given that the minimum bid that triggered its release was at $68 psf ppr, he added.
Market observers expect that interest for the Woodlands site will be modest, due to its sheer size and ample supply of B1 industrial space in the Woodlands region. Strata subdivision is allowed for the site but the licensed HVP has to be a single strata lot.
Mr Tan predicts the top bid for the Woodlands site to come in slightly below $100 psf ppr, taking reference from Far East's winning bid of $102 psf ppr for the 1.4-ha Gambas Crescent (Parcel 3).
SLP's Mr Mak said: "With the softening of the industrial market, the site is likely to attract about three to six bids within a more moderate range of $80 to $90 psf ppr."
Yesterday, JTC also awarded the tender for two industrial sites in Tuas South Street 6 - one to SH Design & Build Pte Ltd for its $5.28 million bid and the other to Soon Hock Investment Group Pte Ltd for its $5.12 million bid. A total of 15 bids were received for the two sites.