A RESIDENTIAL site at Bright Hill Drive in the Upper Thomson area has attracted a bullish top bid of $291.5 million in a six-way contest.
UVD, a joint venture between Singapore Land and UOL Group, topped the table for the 13,437 sq m plot with a bid of $720 per sq ft (psf) per plot ratio (ppr).
This is about 18 per cent more than Frasers Centrepoint, Far East Organization and Sekisui House's second-placed bid of $246.8 million - or $609 psf ppr.
Other bidders for the 99-year leasehold site included Qingjian Realty and Wee Hur Development, with the lowest bid of $206.2 million - or $509 psf ppr.
A UVD spokeman said the Thomson area has an affluent catchment and limited supply of property. It expects a break-even price of about $1,100 psf.
"Our development will be a 20-storey, 420-unit condominium, capitalising on the unblocked views of MacRitchie Reservoir and the Singapore Island Country Club," he said. "The site is also close to amenities like Thomson Plaza, Ai Tong Primary School and Catholic High School. We believe that the location will also benefit from the upcoming Thomson MRT Line."
Experts who had estimated a top offer of between $550 to $620 psf ppr, say pent-up demand in the Upper Thomson area, which has had few project launches in recent years, was behind the robust top bid.
Mr Nicholas Mak, head of research for SLP International, noted that it was the second highest psf ppr price submitted in a residential government land sales tender this year. A Jervois Road remains top with a sale price of $881 psf ppr in February.
Credo Real Estate executive director Ong Teck Hui said there seems to have been a resurgence of buyer interest in the area in recent months. For example, the last 48 per cent of units in nearby Thomson Grand were sold from February to April this year.
Dennis Wee Group's senior manager of research and consultancy Lee Sze Teck noted that a plus point for the Bright Hill Drive site is the low-density developments surrounding it. He estimates a selling price from $1,250 to $1,300 psf, noting that units at Thomson Grand were sold at a median $1,300 psf.
Martin Koh | 86666 944 | R020968Z
Sherry Tang | 9844 4400 | R020241C
Senior Sales Director
DTZ Debenham Tie Leung (SEA) Pte Ltd (L3006301G)
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