Tender for Punggol EC site receives only three bids
By Ryan Huang | Posted: 07 July 2011 2013 hrs
SINGAPORE : A tender for a land site to build a Executive Condominium (EC) at the junction of Punggol Way and Punggol Field has received only three bids.
This is according to provisional results released by the Housing and Development Board.
The highest bid was at S$219.47 million, from FCL Tampines Court and Keong Hong Construction.
This works out to S$270 per square foot per plot ratio for the site.
According to Colliers International, this is also the lowest unit land price achieved for an EC site thus far in 2011.
"This indicates further moderation of developers' expectations amid current market uncertainties pending clearer policy directions from the government, "said Chia Siew Chuin , Director for Research and Advisory at Colliers International.
She added: "Based on a land cost of S$270 per square foot per plot ratio and average selling prices of around S$690 per square foot for newer EC developments in the locality, new units at the site are likely to breakeven at about S$540 per square foot. This cautious bidding and the resulting lower land cost would provide the developer a buffer should the market soften going forward."
The lowest bid was from EL Development at S$177 million, behind CEL Development at S$218 million.
The 270,865 square feet site can potentially yield about 720 units.
The winner of the tender will be announced at a later date.
- CNA/ms
Punggol really has way too many residential units.....
Selective bidding from developers.
Store ammo for better sites that have real demand.
yah, look at the map attached on hdb link. lots more to come with public mixed with private etc.
Originally Posted by solsys
quite surprised.. considering this is 500m from MRT and their future megamall.. hmm.. strange..
The px is reasonable but duno y only 3bids....Originally Posted by linchong84
Mabe too many gls liao...
That means EC market is going down. Prive land site is around 310-320psf. This one same characteristic as Prive (equal distance to MRT), yet 270psf only.Originally Posted by devilplate
Hard to understand, considering that govt might increase EC ceiling to 12k, and EC lands should have been more popular?
Especially dbss oredi stop for the time being....8-10k can only apply ec now...Originally Posted by linchong84
Perhaps ec profit margin low....price oredi capped at 750psf max..anything higher cfm tio bash....so developer store power for condo sites instead? Shall see
yup.. agree with devilplate.... developer don't dare to bid too high for EC... drawing too much attention.... got so many gls coming up... surely there will be a place to throw their money at...
Whatever it is, FCL got a good buy. If they can sell at or above 700 psf, they will make a tidy profit.
Only DBSS draws negative attention leh.. In fact due to dbss, people flocked to EC instead, causing that pasir ris one to sell out so fast..
this is just a freak bid. No reasons one.
let's hope this is a one off...
a couple more of these and no one will buy new launch at current prices anymore... knowing that prices will definitely soften....
it's all just a mental game... who's going to blink first...
This one Punggol. Not much demand from surrounding HDB as still serving MOP. Pasir Ris different. Many HDB upgraders there.
its logic defying. i thot recently new launch sales hot hot hot? how come land bids all coming in cold cold cold.
and we both agreed earlier than ec seems very attractive to 1st time home buyers. if they can afford it, its better deal than hdb, dbss and value-wise, good value vs condo.
darn it, really, developers know something which we don't?
Originally Posted by devilplate
This is cool....
Anyway, more to come. Buyers better beware. EC means ensure cooling or Extra cool... Beware.. Selling price can be below 700 psf for this n yet near mrt. Make them smaller and more efficient and you have a gem.
becos cm5 will target hdb, cov is crazy now
Ride at your own risk !!!
"IT was a day of contrasts in the executive condominium (EC) market yesterday.
Even as caution reigned at a state tender for a Punggol EC site which drew just three bids with the top bid coming in below earlier expectations, City Developments Ltd (CDL) managed to sell slightly over 150 units on the first day of sales at its Blossom Residences EC project at Segar Road in the Bukit Panjang area. This pace of sales would be in line with the previous EC launch of Belysa in late May, say market watchers."
that one cannot move liao...Originally Posted by bargain hunter
only for those who want to stay in CCK.. another CCK EC plot which is better located will compete with it if the price is also around $700 psf.
Many choices already..
Come to think of it, ever since sembawang 460psf land bid, the rest that comes after that were all below expectations.. Pasir ris sea facing one won by MCL at under 400psf... flora at pathetic 325... woodlands 365.. buangkok 391.. west coast although many bids but still below expectation at 460.. feo bukit panjang half meet-half never meet kind..Originally Posted by bargain hunter
This is bad.. 2-3 months later when bishan, boonkeng, sengkang mrt sites all launched at high (due to high land bid), market might peak.. 4-6 months later, all those below expectations bid sites will be launched and prices will start dropping.. Unless we start seeing some high bids for the next few sites..
u r getting smarter.
This will temper the high asking prices of Punggol...sellers better lower expectations a bit and sell now before too late...
I think those who bought prive will heartpain. This one equal distance to MRT but near waterfront and nearer to the town centre.. and most likely might equal or lower prices..Originally Posted by mantrix
This low bid might potentially make developers bid lower for the pte condo site near to the punggol mrt station diagonal to prive.. seems like punggol is still cui afterall.. Just like pasir ris, although govt can build parks or downtown east or whatever there, but if it's the outskirts, means it is the outskirts, nothing much can be done..
But then why are sengkang, hougang, kovan prices flying?
Prive.. DePrive liao.
More to come, more to come.
we are going in for soft landing.
First year drop by 5%,
second year drop by another 5%
third year....Neutral?
fourth year... duno liao.
First to die is not prive..
Sim lian should kena first.. I remembered they landbanked 1 pte condo site somewhere near there (matilda house site).. around 1 or 1 plus year liao still haven launch.. They better launch soon and ride on the bishan, sengkang, boon keng peak.. Anytime after that then good luck to them liao..
What is happening in the market is expectation of CM5. I thinks some PRs are very afraid that PRs will be banned to buy HDB so PR families are in the HDB resale market to just buy n buy with COV hitting 80k-100k in good location. On the other hands, developers are simply more cautious in bidding due to recent mini crash in stock/commodities market. We are seeing softening of property prices across Asia, not just Singapore.
If Dow can clear previous resistance at 12,800, more aggressive bidding especially for good locations will follow !!!!
Ride at your own risk !!!
Originally Posted by phantom_opera
I think you are right, the Greece saga just brushed passed our shoulders...... the tendering was around the shivering period just one week ago.
Hopefully the developer is willing to pass the cost back to thebuyers. If not, it's all back to ssquare one.
this only means developer is making more $$$ tats all. doubt they will sell low given lower land cost. so the sucker still the buyerOriginally Posted by linchong84
its all about location and demand come December, u will see a new high when JE condo site is launched....Originally Posted by linchong84
Maybe Khaw shared some of his insights with the developers during his cosy kopi sessions? Perhaps some potential EC cooling measures if prices continue to rise? After which the developers get cold feet abt ECs.... hahaOriginally Posted by linchong84