Tampines Avenue 10 site put up for sale

A residential site in Tampines Avenue 10, which can yield about 715 private apartments, has been released for sale via public tender.

Although its location is not particularly attractive, analysts still expect the 99-year leasehold plot to garner good interest, given developers' hunger for land and improving sentiment in the market.

Relatively brisk sales at recent launches, The Clement Canopy in Clementi and Grandeur Park Residences in Tanah Merah, also flagged healthy demand for new homes.

"Additionally, the recent easing of the seller's stamp duty is expected to lift market sentiments further and developers are likely to be more bullish in their bids," noted Mr Wong Xian Yang, head of research and consultancy at OrangeTee.

The site, known as "Parcel C", was launched under the confirmed list of the Government Land Sales Programme for this half of the year.

It has a land area of 21,717.7 sq m and maximum gross floor area of 60,810 sq m, the Urban Redevelopment Authority said yesterday.

Mr Ong Teck Hui, national director of research and consultancy at JLL, noted: "The site is in a mediocre location slightly off from Tampines MRT Station and amenities in the town centre but would nevertheless be in demand by upgraders into entry-level private housing."

The site is between two condo projects that are under development: The Santorini, launched in March 2014, and The Alps Residences, put on the market in November.

Analysts do not expect the two projects, both by MCC Land, to affect interest in the tender for the site as the units would likely be substantially sold by the time the new development is launched.

The Santorini has shifted 394 out of 597 units as of Sunday, while The Alps Residences has sold 382 of the 626 units available, an MCC Land spokesman told The Straits Times yesterday.

Mr Wong estimates that eight to 14 bids could be lodged for the site, with a top bid in the range of $314.2 million to $340.4 million ($480 to $520 psf per plot ratio).

"With the recent tweaks to the cooling measures, there could be an expectation of the market bottoming sooner and this could lift confidence among bidders for sale sites," said Mr Ong.

The tender closes at noon on April 25.

Wong Siew Ying

A version of this article appeared in the print edition of The Straits Times on March 15, 2017, with the headline 'Tampines Avenue 10 site put up for sale'. Print Edition | Subscribe