Soilbuild Group Holdings submitted the highest bid in a government tender for an industrial site at Yishun Avenue 6, said the Urban Redevelopment Authority (URA).
The 1.43-hectare plot, which was launched for sale on a 60-year lease, received a total of five bids.
Soilbuild’s bid of $29.29 million, or $76 psf ppr, was four percent higher than the second highest bid of $28.28 million, or $74 psf ppr, by KNG Land.
The other bidders were Whye Wah Group, OKH Management and Ho Lee Group.
The industrial site, which is on the Reserve List of the government, has been available since November 2007. With a maximum permissible gross plot ratio of 2.5, it is zoned for Business 1 use.
It was triggered in February after a developer committed to pay at least $11.5 million, which works out to around $30 psf ppr. It was released for public tender on March 15.
Several analysts said then that interest in the land parcel – which is near Yishun Industrial Park and across the road from ITE East (Yishun) – would be healthy because industrial space end-users have been looking for land in the northern part of the island.
In a recent report, CBRE said that the industrial property market showed signs of improvement in the first three months of 2010. Tenders for four industrial sites were launched and several industrial REIT players made a few acquisitions.