Posted: 28 February 2013 1454 hrs
SINGAPORE: Two residential sites which are expected to yield 1,055 units were launched for sale by public tender on Thursday.
As these are the first government land sale tenders after the introduction of cooling measures in January, analysts said the bids and tender participation rate will give an indication of the sentiments among developers.
In a joint statement, the Urban Redevelopment Authority and the Housing & Development Board said this will provide developers and home buyers with more choices for private housing.
The first site is located at Kim Tian Road, within the established Tiong Bahru residential estate, near the MRT station.
It spans nearly 11,000 square metres, with a permissible gross floor area (GFA) of some 44,000 square metres.
The 99-year leasehold site is expected to yield 500 residential units and is likely to attract strong interest from developers.
Executive director for research & consultancy at SLP International Property Consultants, Nicholas Mak said: "As Tiong Bahru is a popular residential area, there could be a pent-up demand from home buyers for new condominiums in this location. The last time a GLS 99-year leasehold condominium development site was launched in this area was in February 2003. That site was developed into Meraprime condominium development. The top bid is expected to range from S$411 million (S$870 psf ppr) to S$435 million (S$920 psf ppr), with 5 to 10 bidders."
The second site, also to be sold on a 99-year lease, is located at Sengkang West Way, along Sungei Punggol.
It has a maximum GFA of nearly 50,000 square metres.
Mr Mak said the tender for the Sengkang West Way plot is estimated to be fetch top bids from S$214 million (S$400 psf ppr) to S$241 million (S$450 psf ppr).
The authorities said tender for the sites at Kim Tian Road will close at noon on 18 April, while the deadline for Parcel A at Sengkang West Way is noon on 11 April.
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