reporter2
09-06-22, 09:11
7 new sites unveiled in H2 2022 GLS Programme
These include a 5-ha mega commercial and residential site near Ikea Tampines, a plot near Marina South TEL station and a Tengah EC site
Jun 07, 2022
SEVEN new sites will be on offer in the second-half 2022 Government Land Sales (GLS) programme, 3 on the confirmed list and 4 on the reserve list.
Besides the Marina Gardens Lane plot near the Marina South MRT station on the Thomson-East Coast Line, the confirmed list will include a new commercial and residential plot along Tampines Avenue 11 that analysts say will create more buzz in the Tampines North locale.
The Tampines land parcel can yield about 1,190 private homes and 14,000 square metres gross floor area (GFA) of commercial space (with a 12,000 sq m cap on retail space).
Lee Sze Teck, senior director of research at Huttons Asia, said: “HDB (Housing & Development Board) has launched several Build-to-Order projects in Tampines North over the past few years; separately, an executive condo (EC) project will be launched for sale soon. Despite the increase in residents, there is a dearth of amenities like a mall in the area. The commercial and residential site along Tampines Avenue 11 will inject much needed amenities to the area.”
Cushman & Wakefield’s head of Singapore research, Wong Xian Yang, said that the Tampines site — a mega plot with a land area of slightly over 5 hectares — is attractively located: It is a comfortable walking distance from the future Tampines North MRT station on the Cross Island Line, as well as amenities such as Courts Megastore, Ikea and Giant Hypermarket.
“Nonetheless, bids for the Tampines Avenue 11 site may be limited to big players/consortiums, given the scale of the development,” he added.
JLL’s senior director of research and consultancy, Ong Teck Hui, made a similar point — that the land cost for the Tampines site is likely to be hefty, at close to or above S$1 billion, which could be a deterrent to potential bidders.
The Marina Gardens Lane land parcel will also have a high land cost, possibly exceeding S$1 billion, Ong added. “While the site is attractive, potential bidders are likely to evaluate it with caution.”
Just last week, 2 fairly large, 99-year leasehold private housing sites — along Dunman Road and Pine Grove (Parcel A) — fetched fewer than expected bids. Observers say developers’ quest to replenish landbanks are being tempered by geopolitical uncertainties, slower economic conditions, rising interest rates and higher construction costs.
C&W’s Wong said: “The Marina Gardens Lane site would test developers’ appetite for high-end residential homes…”
On a positive note, Knight Frank’s head of consultancy for Singapore, Alice Tan, said the Marina plot, when launched for tender, is expected to be hotly contested. “When completed, the new condo on the site will have unobstructed views of the CBD, Gardens by the Bay, Marina Reservoir and sea views, as well as front-row seats to the fireworks at National Day events — at least, before other sites in the area are developed.”
The third new plot on the confirmed list is an EC site in Tengah Plantation Loop, which can generate 495 units. ECs are a public-private hybrid housing form. Ong of JLL said this plot should draw keen interest from potential bidders, considering there were 9 bids submitted for the Bukit Batok West Avenue 8 site in March 2022, and 7 bids for the Tengah Garden Walk site in May 2021.
“With only 3 EC projects in the launch pipeline currently, the limited supply of ECs encourages stronger competition for EC sites by potential bidders,” he added.
The 4 new land parcels on the reserve list of the H2 2022 GLS Programme are an EC site in Senja Close in the Bukit Panjang area (which can yield about 300 homes), and 3 private housing plots. The three plots are:
An 825-unit private housing plot in Jalan Tembusu in Tanjong Katong, a stone’s throw from the site that City Developments clinched in a state tender in January this year;
A 500-unit plot along Clementi Avenue 1 near Nan Hua High School; and
A land parcel along Lentor Central that can generate 475 homes.
Edmund Tie & Company’s head of research and consulting, Lam Chern Woon, noted that the Lentor area is set to welcome no fewer than 6 new residential developments when all the recent GLS sites in the area are developed, including the new Lentor Central site on the next half’s reserve list. “All in, these could add about 3,000 new residential units. Residents would be well-served by the Lentor MRT station on the Thomson-East Coast Line, the connectivity of which would be enhanced when more stations are opened later this year.
“The sizeable upcoming supply is likely to help satiate pent-up demand for the tranquil neighbourhood amid a low-inventory market environment.”
The 6 sites in the Lentor area include a plot along Lentor Gardens, which was moved from the H1 2022 reserve list to the H2 2022 confirmed list. It can generate about 530 homes.
Sites on the reserve list are put up for sale only if a developer’s indicated minimum price in his application is acceptable to the government. Sites on the confirmed list, on the other hand, are scheduled for sale on pre-determined dates; most of these land parcels are sold through tenders.
Market watchers expect keen developer interest for another 2 plots — in Bukit Timah Link and Hillview Rise — which have also been moved to the confirmed list, citing their relatively small size and affordable absolute price. Said JLL’s Ong: “The 160-unit Bukit Timah Link parcel, which is near Beauty World MRT station and abundant amenities in the area, is estimated to cost below S$200 million. The 335-unit Hillview Rise site, in an established and popular enclave and a short walk from the Hillview MRT station, is expected to fetch a land price of below S$300 million.”
https://i.imgur.com/OvK40Mk.png
https://www.businesstimes.com.sg/real-estate/7-new-sites-unveiled-in-h2-2022-gls-programme
These include a 5-ha mega commercial and residential site near Ikea Tampines, a plot near Marina South TEL station and a Tengah EC site
Jun 07, 2022
SEVEN new sites will be on offer in the second-half 2022 Government Land Sales (GLS) programme, 3 on the confirmed list and 4 on the reserve list.
Besides the Marina Gardens Lane plot near the Marina South MRT station on the Thomson-East Coast Line, the confirmed list will include a new commercial and residential plot along Tampines Avenue 11 that analysts say will create more buzz in the Tampines North locale.
The Tampines land parcel can yield about 1,190 private homes and 14,000 square metres gross floor area (GFA) of commercial space (with a 12,000 sq m cap on retail space).
Lee Sze Teck, senior director of research at Huttons Asia, said: “HDB (Housing & Development Board) has launched several Build-to-Order projects in Tampines North over the past few years; separately, an executive condo (EC) project will be launched for sale soon. Despite the increase in residents, there is a dearth of amenities like a mall in the area. The commercial and residential site along Tampines Avenue 11 will inject much needed amenities to the area.”
Cushman & Wakefield’s head of Singapore research, Wong Xian Yang, said that the Tampines site — a mega plot with a land area of slightly over 5 hectares — is attractively located: It is a comfortable walking distance from the future Tampines North MRT station on the Cross Island Line, as well as amenities such as Courts Megastore, Ikea and Giant Hypermarket.
“Nonetheless, bids for the Tampines Avenue 11 site may be limited to big players/consortiums, given the scale of the development,” he added.
JLL’s senior director of research and consultancy, Ong Teck Hui, made a similar point — that the land cost for the Tampines site is likely to be hefty, at close to or above S$1 billion, which could be a deterrent to potential bidders.
The Marina Gardens Lane land parcel will also have a high land cost, possibly exceeding S$1 billion, Ong added. “While the site is attractive, potential bidders are likely to evaluate it with caution.”
Just last week, 2 fairly large, 99-year leasehold private housing sites — along Dunman Road and Pine Grove (Parcel A) — fetched fewer than expected bids. Observers say developers’ quest to replenish landbanks are being tempered by geopolitical uncertainties, slower economic conditions, rising interest rates and higher construction costs.
C&W’s Wong said: “The Marina Gardens Lane site would test developers’ appetite for high-end residential homes…”
On a positive note, Knight Frank’s head of consultancy for Singapore, Alice Tan, said the Marina plot, when launched for tender, is expected to be hotly contested. “When completed, the new condo on the site will have unobstructed views of the CBD, Gardens by the Bay, Marina Reservoir and sea views, as well as front-row seats to the fireworks at National Day events — at least, before other sites in the area are developed.”
The third new plot on the confirmed list is an EC site in Tengah Plantation Loop, which can generate 495 units. ECs are a public-private hybrid housing form. Ong of JLL said this plot should draw keen interest from potential bidders, considering there were 9 bids submitted for the Bukit Batok West Avenue 8 site in March 2022, and 7 bids for the Tengah Garden Walk site in May 2021.
“With only 3 EC projects in the launch pipeline currently, the limited supply of ECs encourages stronger competition for EC sites by potential bidders,” he added.
The 4 new land parcels on the reserve list of the H2 2022 GLS Programme are an EC site in Senja Close in the Bukit Panjang area (which can yield about 300 homes), and 3 private housing plots. The three plots are:
An 825-unit private housing plot in Jalan Tembusu in Tanjong Katong, a stone’s throw from the site that City Developments clinched in a state tender in January this year;
A 500-unit plot along Clementi Avenue 1 near Nan Hua High School; and
A land parcel along Lentor Central that can generate 475 homes.
Edmund Tie & Company’s head of research and consulting, Lam Chern Woon, noted that the Lentor area is set to welcome no fewer than 6 new residential developments when all the recent GLS sites in the area are developed, including the new Lentor Central site on the next half’s reserve list. “All in, these could add about 3,000 new residential units. Residents would be well-served by the Lentor MRT station on the Thomson-East Coast Line, the connectivity of which would be enhanced when more stations are opened later this year.
“The sizeable upcoming supply is likely to help satiate pent-up demand for the tranquil neighbourhood amid a low-inventory market environment.”
The 6 sites in the Lentor area include a plot along Lentor Gardens, which was moved from the H1 2022 reserve list to the H2 2022 confirmed list. It can generate about 530 homes.
Sites on the reserve list are put up for sale only if a developer’s indicated minimum price in his application is acceptable to the government. Sites on the confirmed list, on the other hand, are scheduled for sale on pre-determined dates; most of these land parcels are sold through tenders.
Market watchers expect keen developer interest for another 2 plots — in Bukit Timah Link and Hillview Rise — which have also been moved to the confirmed list, citing their relatively small size and affordable absolute price. Said JLL’s Ong: “The 160-unit Bukit Timah Link parcel, which is near Beauty World MRT station and abundant amenities in the area, is estimated to cost below S$200 million. The 335-unit Hillview Rise site, in an established and popular enclave and a short walk from the Hillview MRT station, is expected to fetch a land price of below S$300 million.”
https://i.imgur.com/OvK40Mk.png
https://www.businesstimes.com.sg/real-estate/7-new-sites-unveiled-in-h2-2022-gls-programme