A tender for a parcel of land in Sengkang saw robust bidding, with the top offer exceeding $200 million.
According to industry experts, it marks a growing interest by developers to snap up good sites.
The site at Fernvale Link and Sengkang West Avenue received bids from 10 developers.
The top bid of $200.5 million for the 16,998.8-sq-m site was offered by Sunmaster Holdings. It was over 2.5 times the $70 million minimum bid.
The price works out to $365 psf for the 99-year leasehold land parcel launched by the HDB.
Tuas Hi-Tech Park submitted the next highest bid of $177 million. The lowest bid of $115.6 million came from Lippo Estates.
HDB said that the tender will be awarded in the next two weeks after the provisional results have been evaluated.
According to Nicholas Mak, a property lecturer at Ngee Ann Polytechnic, the breakeven cost would range around $730 psf to $760 psf.
Colliers said the top bid reflected the developers’ optimistic sentiment. Last year, three other residential sites received bids that were higher than $200 million.