SINGAPORE (THE BUSINESS TIMES) - A 99-year leasehold private housing site in Ang Mo Kio Avenue 1, opposite the Bishan-Ang Mo Kio Park, has drawn 15 bids in a state tender that closed on Tuesday (May 25).
The highest bid of $381.38 million, or nearly $1,118 per sq ft per plot ratio (psf ppr), came from a 60:20:20 joint venture between UOL Group, Singapore Land Group and Kheong Leong Company.
This was 6.3 per cent higher than the second highest bid of $358.89 million or $1,052 psf ppr from Titus Residential SG, a tie-up between City Developments and MCL Land.
Also bidding for the site was a tie-up between Far East Organisation, Sino Group and Sekisui House, which offered $353.33 million or $1,036 psf ppr.
The plot is near the Mayflower MRT station.
UOL chief investment and asset officer Jesline Goh, said: "We plan to develop a 24-25 storey project of more than 370 units that will enjoy unblocked views of the Bishan-Ang Mo Kio Park, Lower Peirce Reservoir Park and Shangri-la Park landed housing estate. It is a timely replenishment for our land bank...As this is the latest Government Land Sales site in Ang Mo Kio in the last seven years, we believe there will be healthy demand for the project."
The tender for the site was conducted by the Urban Redevelopment Authority.
Noting the number of bids, Mr Lee Sze Teck, Huttons Asia director of research said: "It appears that competition for land is stiff and developers are forced to bid more than $1,000 psf ppr to stand a chance of securing land for development. The level of bidding among developers showed their confidence and any restriction induced by the pandemic is temporary."
Also closing on Tuesday was the tender for the maiden executive condominium (EC) housing site in the Tengah estate in western Singapore. The 99-year leasehold plot in Tengah Garden Walk drew seven bids.
ECs are a public-private housing hybrid with initial buyer eligibility and resale conditions, which are completely lifted 10 years after the project has been completed.
The highest offer of $400.32 million, or $603.17 psf ppr, was from a tie-up between CDL and MCL Land; it was just a tad higher than the nearly $400.2 million or $602.99 psf ppr from the second highest bid, from CSC Land Group (Singapore).
The top bid marks a record land rate for an EC site under the GLS programme, noted PropNex head of research and content Wong Siew Ying. The previous high was $583 psf ppr garnered by the Sumang Walk EC site awarded in March 2018.
"As this is the first EC site in the new Tengah estate, the successful tenderer could gain a first-mover advantage when it enters the market," she added.
The tender for the Tengah EC site was conducted by the Housing and Development Board.
A decision on the award of the tenders will be announced at a later date.