The public tender for a residential site (pictured) at Jurong West Street 41 (Parcel A) closed today after attracting 12 bids, according to the Urban Redevelopment Authority (URA).
Launched for sale on 15 November 2012, the 99-year leasehold site has a land area of 240,652 sq ft and a maximum gross floor area (GFA) of 673,832 sq ft.
The top bid of S$438.8 million or S$651 psf on the GFA was submitted by MCL Land (Prestige). Meanwhile, Secure Development submitted the second highest offer at S$424.9 million (S$630 psf/GFA).
Joseph Tan, Executive Director, Residential at CBRE said: "As expected, the site drew a high level of interest among developers. It is one of the plum sites identified in the confirmed list for H2 2012. It is 450 metres to the Lakeside MRT station, which will eventually be linked to the Jurong Region Line. That translates to a five minute walk to the MRT for residents. It is connected to a wide variety of amenities and good schools including Rulang Primary School and the Canadian International School. At a plot ratio of 2.8, residents will be able to enjoy clear views of Jurong Lake, which will be another selling point for the project."
Tan noted that developers are still on the hunt for sites with good location attributes and demonstrates their confidence that the market will respond positively to the project.
"The top bid of S$438.8 million (S$651 psf/plot ratio) is only 3.2 percent above the next bid. The breakeven is around S$1,050 psf. In anticipation of latent demand, the sale price is expected to be S$1,300 psf or more.”
A decision on the award of the tender will be made after the bids have been evaluated.
Romesh Navaratnarajah, Senior Editor of PropertyGuru, wrote this story. To contact him about this or other stories email romesh@propertyguru.com.sg
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