A 99-year-leasehold residential site near Sembawang Park was launched for sale by public tender yesterday by the Urban Redevelopment Authority (URA).
The 7,045.6 sq m Jalan Kandis plot could yield about 110 residential units, URA said in a statement.
It is one of four confirmed list sites under the Government Land Sales Programme for the first half of this year. Confirmed list sites are put on sale regardless of interest, unlike those on the reserve list, which are launched only when a developer commits to a bid deemed acceptable.
The land parcel in Jalan Kandis is next to a landed housing estate, and is near executive condominiums such as The Brownstone and Skypark Residences. URA noted that the site is well connected to major roads and expressways such as Sembawang Road, Seletar Expressway and Bukit Timah Expressway. Amenities in the area included Sun Plaza shopping mall and Sembawang Public Library.
PropNex Realty told The Straits Times it does not foresee a keen contest for the site as "it is a small plot of land and the location is not stellar". PropNex key executive officer Lim Yong Hock said: "However, smaller, boutique developers may be keen. It will most likely be used for strata-landed or low-rise apartments, or a mixture of both."
The site has a maximum building height of "part three-storey and part seven-storey", according to URA's statement.
SLP International executive director Nicholas Mak said it is "fairly rare" for the Government to launch residential sites that offer fewer than 120 units.
The previous condo site that could yield about 100 units was sold in June 2012 to Singland Development. It is in Farrer Drive.
Despite the Jalan Kandis site being relatively far from any MRT station, Mr Mak noted that in view of "limited supply of new upcoming private condominium launches in the area and the relatively small size of this site, this tender can attract between five and 10 bids".
"Based on the current market conditions, the land price could range from $42.5 million to $48 million ($400 to $452 psf per plot ratio)," he added.
The site tender closes at noon on April 7.