TID wins URA condo-site tender with $84m bid
http://www.channelnewsasia.com/stori...374797/1/.html
Tender closed on site at New Upper Changi Road; top bid hits S$282 psf
By Desmond Wong, Channel NewsAsia | Posted: 09 September 2008 2135 hrs
SINGAPORE: The URA has closed the tender on a residential site along New Upper Changi Road, with the highest bid coming in at S$84 million from TID.
This translates to S$282 per square foot (psf) per plot ratio, said CB Richard Ellis.
The 9,875.5 square metre site attracted seven bidders.
CB Richard Ellis said the high number of bidders showed that developers still have an appetite for favourable sites even in the current depressed market.
Based on the highest bid, the consultancy estimates that the break even price for the location could be S$700 to S$750 psf. This translates to a potential sale price range of S$800 to S$850 psf.
Comparable developments in the area, such at the Waterfront Waves condominium near Bedok Reservoir, is going for S$800 psf on the resale market. - CNA/vm
Tanah Merah residential site attracts 7 bids
http://www.straitstimes.com/Money/St...ry_277014.html
Sep 10, 2008 Wednesday
Tanah Merah residential site attracts 7 bids
A TENDER for a choice residential development site right next to Tanah Merah MRT station has attracted a healthy seven bids - proving that even in a subdued market, location is king.
TID placed the highest bid - $84 million, or $282 per sq ft (psf) of potential gross floor area, the Urban Redevelopment Authority said yesterday.
The firm is a partnership between the Hong Leong Group and Japan's leading real estate company Mitsui Fudosan,
Its bid is 12 per cent above the second highest bid - from Sim Lian Land - at $75 million or about $252 psf of potential gross floor area.
Boon Keng Development was third at $61.88 million or about $208 psf of potential gross floor area.
Other bids were much lower, with First Changi Development coming in last at $44.63 million.
The seven bids were a strong showing. 'It's a positive shot in the arm for the property market where sentiment is concerned,' said Knight Frank's head of research and consultancy Nicholas Mak.
He said the 99-year leasehold Tanah Merah Kechil Avenue site generated healthy interest as it is next to an MRT station.
'In light of the current cautious sentiment in the residential market, the amount of interest that this site has generated provides evidence that land parcels in good locations with immediate accessibility to transport links are still sought after by developers,' said CBRE Research director Leonard Tay.
TID's bid is lower than the $318.50 psf per plot ratio price achieved for the nearby Casa Merah site back in 2006.
Property consultants said the breakeven cost of a condo at the Tanah Merah site should be at $700 psf to $750 psf, based on the top bid. This means that TID, if awarded the site, would be able to sell condo units at between $800 psf and $850 psf, they say.
JOYCE TEO
TID wins URA condo-site tender with $84m bid
http://www.businesstimes.com.sg/sub/...96502,00.html?
Published September 11, 2008
TID wins URA condo-site tender with $84m bid
THE Urban Redevelopment Authority (URA) yesterday awarded a 99-year leasehold condo site next to Tanah Merah MRT Station to top bidder TID, just a day after the tender closed on Tuesday.
This contrasts with the couple of weeks or more that URA has taken to deliberate on awarding earlier sites, which fetched bids below expectations.
TID's $84 million winning bid reflects a land price of about $282 per square foot (psf) of potential gross floor area, within the $250-$300 psf per plot ratio range market watchers predicted for the confirmed list site when it was launched in mid-July.
TID is a joint venture between Singapore's Hong Leong Group and Japan's Mitsui Fudosan.The tender drew seven bids.