Despite the current market downturn, property developers are still competing for land.
Property analysts expect two out of the four confirmed list sites launched under the second half 2016 Government Land Sales (GLS) Programme to attract strong interest from developers.
These include a residential site at Perumal Road in Farrer Park which could yield around 200 units, and a mixed-use site in Upper Serangoon Road which could generate about 825 apartments and 15,000 sq m of commercial space.
According to OrangeTee, the Perumal Road site is expected to do well due to its relatively small size of 0.39ha, central location, and proximity to the Farrer Park MRT station.
“The total number of bids are expected to come in at around 10 to 20 bids, with the winning bid ranging from $830 to $890 per square foot per plot ratio (psf ppr),” said the property agency.
Desmond Sim, Head, CBRE Research, Singapore and South East Asia, expects the 2.55ha residential and commercial site at Upper Serangoon Road to draw a healthy number of bids as it is within the vicinity of the future Bidadari HDB estate.
“The precinct is earmarked to be a new public and private housing estate,” said Sim. He added that the site is also next to Woodleigh MRT station.
The government is expected to launch the tenders for the Perumal Road and Upper Serangoon Road sites in November and December this year, respectively.
The other two residential sites are located at Fernvale Road and West Coast Vale. In total, the four confirmed list sites could yield about 2,170 housing units.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, wrote this story. To contact him about this or other stories email romesh@propertyguru.com.sg
