New Reporter
13-03-24, 09:23
Two River Valley sites offered for sale, to yield up to 960 units near Great World City
Mar 11, 2024
https://i.imgur.com/gyluESf.jpeg
URA has launched two plots of land at River Valley Green for sale, under the Confirmed List and Reserve List.
ILLUSTRATION: URA
THE government has put up two residential sites for tender in River Valley Green near Great World City, with one including a serviced apartment component, under its current Government Land Sales (GLS) programme.
The smaller plot, on the confirmed list, can yield about 380 private housing units on a site area of 9,291.1 square metres (sq m) with maximum gross floor area (GFA) of 32,519 sq m.
The larger plot – Parcel B – is available under the Reserve List and will only be released for sale if it receives an offer of a minimum price that is acceptable to the government and if there is sufficient market interest.
Parcel B can provide about 580 units, including 220 long-stay serviced apartments, on an 11,737 sq m site with a maximum GFA of 41,080 sq m. Besides residential, the proposed development has a 500 sq m commercial component at the first storey.
Market players foresee strong interest in the smaller Parcel A site, given its desirable location at the edge of the prime River Valley residential enclave and close to Orchard Road. The project will be near the Great World MRT station, and sits across the road from the sprawling Great World City mixed development with retail, office and serviced apartment blocks.
Marcus Chu, chief executive officer of ERA Singapore, saw the plot drawing up to five bids due to its palatable size and premium location.
“But we anticipate more conservative land bids reflective of the recent land tender exercises,” he said.
Analysts estimate bids could range between S$1,380 per square foot per plot ratio (psf ppr) and S$1,600 psf ppr, coming in between S$483 million and S$560 million.
In February this year, a prime parcel in Orchard Boulevard was sold to a UOL Group-Singapore Land joint venture for S$428.3 million or S$1,616.75 psf ppr, about 30 per cent lower than the most recent comparable tender in the same district. In 2018, an SC Global-led group bid S$2,377 psf ppr for a plot in Cuscaden Road.
The Orchard Boulevard tender result came after the offer of a Marina South site closed with one bid (S$770.5 million or S$984 psf ppr), which was rejected by the Urban Redevelopment Authority as too low.
PropNex’s head of research and content, Wong Siew Ying, noted that the last state land plot sold in the River Valley area was at Irwell Bank Road. The project has since been developed into Irwell Hill Residences by City Developments Ltd (CDL).
CDL acquired the site in January 2020 for S$583.9 million or S$1,515 psf ppr. The 540-unit development is now more than 99 per cent sold, at an average price of S$2,713 psf, said Wong.
Another GLS plot nearby in Zion Road has also been offered for sale, in a tender that will close next month, in April.
The Zion Road (Parcel A) plot will provide 1,170 units, including 435 units for long-stay serviced apartments.
“Between the River Valley Green (Parcel A) plot and the Zion Road (Parcel A) site, we think developers may be more interested in the River Valley site, given the smaller development size and no requirement to offer long-stay serviced apartments, which may put off those without hospitality sector experience,” Wong added.
OrangeTee & Tie chief executive officer Justin Quek said: “Parcel B may not be triggered for sale soon as developers may prefer Parcel A, which is purely residential. A portion of the units at Parcel B plot will be for long-stay serviced apartments, which may make the future development less straightforward.”
The government started the ball rolling on its serviced apartment pilot project, first announced in November, with the Zion Road (Parcel A) site the first such plot to be offered.
Another site being offered with a serviced apartment component, a parcel on Upper Thomson Road, would yield 640 residential units including 100 serviced apartments.
The tender for the confirmed list plot, River Valley Green (Parcel A), will close on Jun 19.
https://www.businesstimes.com.sg/property/two-river-valley-sites-offered-sale-yield-960-units-near-great-world-city
Mar 11, 2024
https://i.imgur.com/gyluESf.jpeg
URA has launched two plots of land at River Valley Green for sale, under the Confirmed List and Reserve List.
ILLUSTRATION: URA
THE government has put up two residential sites for tender in River Valley Green near Great World City, with one including a serviced apartment component, under its current Government Land Sales (GLS) programme.
The smaller plot, on the confirmed list, can yield about 380 private housing units on a site area of 9,291.1 square metres (sq m) with maximum gross floor area (GFA) of 32,519 sq m.
The larger plot – Parcel B – is available under the Reserve List and will only be released for sale if it receives an offer of a minimum price that is acceptable to the government and if there is sufficient market interest.
Parcel B can provide about 580 units, including 220 long-stay serviced apartments, on an 11,737 sq m site with a maximum GFA of 41,080 sq m. Besides residential, the proposed development has a 500 sq m commercial component at the first storey.
Market players foresee strong interest in the smaller Parcel A site, given its desirable location at the edge of the prime River Valley residential enclave and close to Orchard Road. The project will be near the Great World MRT station, and sits across the road from the sprawling Great World City mixed development with retail, office and serviced apartment blocks.
Marcus Chu, chief executive officer of ERA Singapore, saw the plot drawing up to five bids due to its palatable size and premium location.
“But we anticipate more conservative land bids reflective of the recent land tender exercises,” he said.
Analysts estimate bids could range between S$1,380 per square foot per plot ratio (psf ppr) and S$1,600 psf ppr, coming in between S$483 million and S$560 million.
In February this year, a prime parcel in Orchard Boulevard was sold to a UOL Group-Singapore Land joint venture for S$428.3 million or S$1,616.75 psf ppr, about 30 per cent lower than the most recent comparable tender in the same district. In 2018, an SC Global-led group bid S$2,377 psf ppr for a plot in Cuscaden Road.
The Orchard Boulevard tender result came after the offer of a Marina South site closed with one bid (S$770.5 million or S$984 psf ppr), which was rejected by the Urban Redevelopment Authority as too low.
PropNex’s head of research and content, Wong Siew Ying, noted that the last state land plot sold in the River Valley area was at Irwell Bank Road. The project has since been developed into Irwell Hill Residences by City Developments Ltd (CDL).
CDL acquired the site in January 2020 for S$583.9 million or S$1,515 psf ppr. The 540-unit development is now more than 99 per cent sold, at an average price of S$2,713 psf, said Wong.
Another GLS plot nearby in Zion Road has also been offered for sale, in a tender that will close next month, in April.
The Zion Road (Parcel A) plot will provide 1,170 units, including 435 units for long-stay serviced apartments.
“Between the River Valley Green (Parcel A) plot and the Zion Road (Parcel A) site, we think developers may be more interested in the River Valley site, given the smaller development size and no requirement to offer long-stay serviced apartments, which may put off those without hospitality sector experience,” Wong added.
OrangeTee & Tie chief executive officer Justin Quek said: “Parcel B may not be triggered for sale soon as developers may prefer Parcel A, which is purely residential. A portion of the units at Parcel B plot will be for long-stay serviced apartments, which may make the future development less straightforward.”
The government started the ball rolling on its serviced apartment pilot project, first announced in November, with the Zion Road (Parcel A) site the first such plot to be offered.
Another site being offered with a serviced apartment component, a parcel on Upper Thomson Road, would yield 640 residential units including 100 serviced apartments.
The tender for the confirmed list plot, River Valley Green (Parcel A), will close on Jun 19.
https://www.businesstimes.com.sg/property/two-river-valley-sites-offered-sale-yield-960-units-near-great-world-city