6 bids for Jurong site

[mr funny]

http://www.straitstimes.com/BreakingNews/Singapore/Story/STIStory_545042.html

Jun 24, 2010

6 bids for Jurong site

By Joyce Teo


A TENDER for a large Jurong Gateway site closed with six bids on Thursday.

Lend Lease put in the top bid of $748.89 million or nearly $650 per sq ft of gross floor area, followed by $728.8 million from Energy Trustee Pte Lted and $677 million from Emerald Star and FC Retail Trustee Pte Ltd.

The other bids came from Jewel (Amt) Pted Ltd, Guthrie (Anshan) Pted Ltd and Jewel Development Pte Ltd, which submitted $648 million; Sim Lian Land Pte Ltd ($528.5 million) and Qingdao Construction (Singapore) Pte Ltd ($418 million)

The 99-year leasehold site is next to Jurong East MRT station and has a maximum gross floor area of 107,098 sq m. It was triggered for sale by an unnamed developer which has committed to a minimum bid of $350 million, kick-starting the transformation of the area into Jurong Lake District.

The site was made available on the reserve list in late November 2008. Plans for the area, which occupies 360ha - about the size of Marina Bay - will be implemented over 10 to 15 years.

The district will consist of two precincts. Jurong Gateway precinct will be the biggest commercial hub outside the city centre. It will provide a mix of office, retail, hotel, entertainment, and food and beverage outlets around the Jurong East MRT station. The second, Lakeside precinct, is to be turned into a world-class leisure destination for locals and tourists.

[Wild Falcon]

Looks like most developers are highly bullish on Jurong Gateway. The bids are very close - the winning bid is a close shave.

[wkang1970]

without this coming development, traffic in jurong is already a headache. Can't imagine with all these development, what will the traffic like? :scared-4:

[ay123]

do u think this will help to push up price in jurong?? if it does, keppel might launch their new project at new high again.....:doh:

[bargain hunter]

i thought that's expected? keppel bid so high so that it can ride on this mah.



do u think this will help to push up price in jurong?? if it does, keppel might launch their new project at new high again.....:doh:

[Wild Falcon]

With the new developments as the second city center, the infrastructure works (roads etc.) will follow to support the developments - that only make sense. But one thing is for sure, the price is superb and govt must be very happy with the $750 million :spliff:


without this coming development, traffic in jurong is already a headache. Can't imagine with all these development, what will the traffic like? :scared-4:

[bargain hunter]

actually, given that the successful bidder for this white site is Lend Lease, which owns 313@Somerset and Parkway Parade, it looks like they will focus more on office and retail rather than residential.

[ay123]

actually, given that the successful bidder for this white site is Lend Lease, which owns 313@Somerset and Parkway Parade, it looks like they will focus more on office and retail rather than residential.

tat will add more "live" to the "industrialised' area which is good news. looks like jurong transformation is taking shape

[mr funny]

http://www.businesstimes.com.sg/sub/news/story/0,4574,392096,00.html?

Published June 25, 2010

Lend Lease offers $749m for Jurong Lake site

By UMA SHANKARI


(SINGAPORE) Australian developer Lend Lease beat five other offers with its top bid of $748.9 million for a 1.9-hectare mixed-use site in the Jurong Lake district.

Its bid works out to $650 per square foot per plot ratio (psf ppr) - more than twice the minimum price asked for when the tender for the site was launched two months ago.

Lend Lease, which owns the 313@somerset and Parkway Parade shopping malls here, is expected to build a retail mall on most of the site.

The developer edged out CapitaLand's retail unit CapitaMalls Asia, which made the second-highest offer of $728.8 million or $632 psf ppr. Lend Lease's bid is just 3 per cent higher.

The other bids came from a consortium made up of Far East Organization, Frasers Centrepoint and Japan's Sekisui House; another consortium comprising Keppel Land, Guthrie International and Max Platinum; Sim Lian Land; and China's Qingdao Construction.

Lend Lease's bid is 79 per cent higher than the lowest bid of $418 million, or $363 psf ppr, from Qingdao Construction.

The 99-year-leasehold site, in Jurong Gateway Road next to Jurong East MRT Station, has been on the government's reserve list since November 2008. It was launched for tender in April after an unnamed developer committed to bid at least $350 million, or $304 psf ppr.

The site is the first plot put up for sale in the Jurong Lake area since the masterplan for the area was unveiled two years ago.

The fact that there were six bids shows developers are keen on well-located sites, said CBRE Research executive director Li Hiaw Ho. 'The bids are also a very clear indication of the developers' confidence in the government's vision for the Jurong Lake district and the evolution of the area as a commercial hub in the west of Singapore,' he said.

The plot is classified as a 'white' site, which means it can be put to commercial, residential or hotel use. A mandatory 30 per cent of the gross floor area will have to be set aside for office development, but it is likely that a suburban retail mall will be developed with the remaining 70 per cent of space, analysts said. Lend Lease could also choose to build some apartments.

Colliers International's director for research and advisory Tay Huey Ying said: 'Based on the bid price, the highest bidder is likely to be looking at a development with a predominant retail component to capitalise on the site's location next to Jurong East station, and the large residential and working population catchment of Jurong town.'

Using the offer price of $650 psf ppr and assuming an office and retail complex is built on the plot, CBRE estimates a gross development value of $2,200 to $2,400 psf for the retail mall and $1,000 to $1,200 psf for the office component.

http://www.businesstimes.com.sg/mnt/media/image/launched/2010-06-25/BT_IMAGES_UMJURONG25.jpg

[BB]

without this coming development, traffic in jurong is already a headache. Can't imagine with all these development, what will the traffic like? :scared-4:

Just drove past the area near JE MRT. Saw a lot of road works going on. Roads widening, new roads & etc