Saturday, January 8, 2011

Bishan condo site expected to draw strong bids

AN ATTRACTIVE condominium site within walking distance of Bishan MRT station is being offered for sale, with the prized location set to attract strong bids.

'It's going to be hot and it's down to the location,' Credo Real Estate executive director Tan Hong Boon predicted.

About 590 units of a private condo can be built on the 99-year leasehold plot, which is also near ITE College Central (Bishan) and Bishan Stadium. The area of the site is 11,997 sq m.

Property experts said the tender for the parcel, to be launched in about two weeks' time, is expected to draw keen interest from developers.

Mr Tan said that apart from its proximity to the MRT station, the site is centrally located in Bishan, near good schools and supporting lifestyle amenities.

The plot was available for application for purchase under the Reserve List of the Government's land sales programme.

Under the list, an interested developer can submit an application for a site with a minimum offer price.

If the price is deemed accept-able, the Government will then put the site up for sale by tender.

In this instance, the minimum offer price was $189.93 million, the Housing Board, the agency selling the land, said yesterday.

Mr Ong Kah Seng, senior manager of Asia-Pacific research at Cushman & Wakefield, expects about eight bids for the condo site, with the top bid between $450 and $480 per sq ft (psf) per plot ratio.

The selling price of condo units would range from $920 to $950 psf, he said.

Mr Ong suggested that securing this site could prove a strategic move for developers, given that there are neighbouring sites which have been flagged as reserve sites for future high-rise developments.

He explained that with an adjacent site and a few neighbouring ones slated for future high-rise homes, the developer that secures this site will have a head start in providing condos in the area.

The successful bidder 'can even potentially expand to acquire the rest of the sites when they are subsequently available in the government land sales programme, thus an opportunity to have a territorial presence in this immediate vicinity', he said.

The government land sales programme in the first half of this year will feature 30 sites that will be able to generate a record 14,300 residential units - more than the 13,900 units offered in the second half of last year.

'The Government has and will be selling a large supply of new development sites, so home buyers will be spoilt for choice from the second half of the year onwards,' said Mr Nicholas Mak, head of consultancy and research at property firm SLP International.

1 comment:

  1. Cool! their ideas are really good. I think they will be success in this project. Thanks for sharing.

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