Singapore and Johor Regent Tunku Ismail to swop land plots near Botanic Gardens

SINGAPORE – A 13ha plot of prime land abutting Singapore Botanic Gardens will come into the Government’s possession, following a land swop deal between the Republic and the Regent of Johor, Tunku Ismail Sultan Ibrahim.

In exchange, Tunku Ismail will receive an 8.5ha piece of state land near the 13ha plot, which he can develop, subject to regulatory approvals.

The exchange involving the freehold land in Tyersall Park – an area privately owned by the Johor royal family since the 1800s – is expected to be completed later in 2025. The Singapore Land Authority (SLA) and Urban Redevelopment Authority (URA) announced the deal on June 10.

Tyersall Park is the historical Singapore residence of the sultan of Johor, and Singapore has over the years purchased some land from the royal family.

Portions of the land that Singapore bought from the family have been developed as the Botanic Gardens’ Tyersall and Gallop extensions.

On June 10, the agencies said Tunku Ismail currently owns 21.1ha of land in the area, including the 13ha plot that is part of the swop.

The remaining 8.1ha of land sits between the 13ha plot and the 8.5ha plot that he will receive following the swop.

The agencies said the land swop is “a transaction between the Singapore Government and a private individual”, and added that the Malaysian and Johor state governments were not involved in negotiations.

These plots are some of the most prime land on the island, near designated good class bungalow areas. One mansion in nearby Gallop Park sold for $58 million in January.

In 2021, Bloomberg reported that Tunku Ismail had plans to develop the vacant plots into a “multibillion-dollar luxury residential development”. The report, which cited unnamed sources, said he had been seeking permission to develop these high-end homes.

SLA and URA said Tunku Ismail intends to develop his land, and that the swop was agreed upon so his planned developments will be farther away from the 49ha portion of the Singapore Botanic Gardens that was inscribed as a Unesco World Heritage Site in 2015.

Properties in the vicinity of the attraction are subjected to height restrictions to protect the visual landscape of the gardens.

For instance, existing housing plots next to the 8.5ha site that have a plot ratio of 1.4 can be a maximum of four storeys tall, lower than the five-storey limit in place for most other residential plots across the island with the same plot ratio.

The agencies said the swop will ensure that the planned developments have the “least disruption” to the World Heritage Site area of the gardens.

The 8.5ha and 13ha plots to be swopped are of “comparable value”, said the two agencies, adding that the 8.1ha plot will remain under Tunku Ismail’s ownership.

After the swop, Tunku Ismail may develop the 8.5ha and 8.1ha plots, which are suitable for low-rise and low-density residential uses, SLA and URA said.

On how the valuations of the 8.5ha and 13ha plots were determined, the agencies said both are “suitable for low-rise, low-density residential uses, given surrounding residential uses”.

As the 8.5ha plot is farther away from the Unesco World Heritage Site and abuts residential developments, said the agencies, it can be developed at a higher intensity than the 13ha plot.

“Actual development plans for the land post-swop will be subject to the due evaluation processes per the approach for all developments,” they said, adding that this could include the payment of a land betterment charge, if required.

The agencies also said URA and other agencies will assess the applications and ensure the proposed development “is sensitive to” its surroundings.

And any development will be subject to environmental studies before works start, to mitigate any potential impact on the environment, added SLA and URA.

As for the 13ha plot that will come under the state’s ownership, SLA and URA said it will remain undeveloped for now, to keep future plans for the area open.

This plot contains Istana Woodneuk, a property completed in the mid-1930s during the reign of Sultan Ibrahim Al-Masyhur. It is currently in a state of disrepair.

Property analysts told The Straits Times that it was challenging to come up with a valuation for the plots, as new zoning and plot ratios for the sites have yet to be confirmed.

The 8.5ha plot is currently zoned for special use – a zoning that military camps fall under – reflecting its historical use by British forces. Meanwhile, the 8.1ha and 13ha sites are zoned for special use and “open space” – the latter applies to spaces intended to be kept open, such as swamps, wooded areas and public plazas.

Pointing to the land that will be under Tunku Ismail’s ownership after the swop, Mr Nicholas Mak, chief research officer at property search portal Mogul.sg, said the whole site could be worth between $3.67 billion and $3.83 billion, assuming that they are rezoned for residential use and assigned a plot ratio similar to neighbouring plots.

Mr Mak said the plots could be used for low-rise condominium developments or landed homes, noting that new roads will likely be needed, reducing the land area that homes can be built on.

Mr Alan Cheong, Savills Singapore’s executive director of research and consultancy, felt the Government should retain the 13ha plot that it will receive under the swop as an open space.

“To maintain the area around Botanic Gardens as a green lung for Singapore would be an environmentally sustainable use,” he said.

Mr Mak agreed, noting that leaving the plot undeveloped for now opens the possibility of expanding the gardens in future.