There are two new launch government land sale (GLS) sites for private housing launched on April 15 are expected acute competition by market experts. Because of their location, the strong circumstance of the housing market and developers' need to develop their land banks.
A housing site in Lentor Central was called to tender by The Urban Redevelopment Authority (URA), while the Housing Board is bidding a parcel land in Tampines.
The Lentor Central New Launch is allocated for a private residential property and commercial area on the first floor, while the Tampines Street 62 New Condo site is assigned to an executive condominium (EC). These land parcels together can yield up to 1,195 residential units.
The Lentor Central parcel is located next to the upcoming Lentor MRT station on the Thomson-East Coast Line.PHOTO: URA
Under the first half of the 2021 GLS programme, two new condos launch in Singapore with the tenure of 99 years leasehold are confirmed list sites that they were released according to schedule of demand anyway. On the other hand, reserve list land parcels are put up for bids until a developer makes an offer agreeable to the Government.
For the second half of 2020, the Lentor Central New Condo as well as the New Launch in Tampines were moved out the GLS reserve list.
Tricia Song, Colliers International research head said that list sites was being confirmed that their release was not a reaction to recent good developer sales or talks of more curbs. She also said that any change in housing supply policy would come in the next GLS programme for the second half of 2021.
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After there was a sharp reduction in the second half of 2020 due to the impact of the Covid-19 pandemic, private residential development from confirmed GLS land parcels was climbed slightly for the first half of this year.
According to according to JLL Singapore's Mr Tan Hong Boon, executive director (capital markets), and Mr Ong Teck Hui, senior director (research and consultancy). The allocation from confirmed GLS sites was reduced from 4,335 residential units in 2018 to 2,875 residential units in 2019 and 1,930 units in 2020.
The unsold inventory is turning down, developers whose developments are moderately selling down have started to sourcing to recharge their land banks.
Find Out More About Lentor Central Residences - The Upcoming Condo in Prime District 20
The Lentor Central New Condo is a site within the new Lentor Hills Estate, which has a site area of 17,279.9 sqm and a maximum gross floor area (GFA) of 60,480 sq m. This is a 99-year leasehold land parcel which is located nearby the upcoming Lentor MRT station on the Thomson-East Coast Line. The development is expected to be comprised of about 605 residential units.
Mr Lee Sze Teck, director of research at Huttons Asia said that the Lentor Central site is possibly the best site under the first-half 2021 GLS programme.
He also said that there would be pent-up demand as the last launch in the area was The Calrose in 2005. The commercial component will supply a large amount of essential amenities to the area and the following developments in future.
He added that there were more than 3,000 new private sale transactions in the first quarter of 2021, the supply of unsold uncompleted residential is plummeting. The Lentor Central New Condominium will offer land-shortage developers an opportunity to shore up their land bank. They expected more than 10 bidders and a top bid between $1000 and $1,050 per sq ft per plot ratio (psf ppr).
Discover Latest Tampines St. 62 EC Details Now!
Tampines Street 62 New EC has a site area of 23,799.2 sq m and a GFA of 59,498 sq m. The site is estimated to yield around 590 EC units.
The Tampines Street 62 New Condo land parcel has a site area of 23,799.2 sq m and a GFA of 59,498 sq m. This site is estimated to be comprised of about 590 executive condominium units.
Mr Lee noted that in the past few years, Tampines has had a number of HDB Build-To-Order launches which provided a large number of potential upgraders to executive condominiums.
He said that the successful release of Parc Central Residences proved to the large of demand. They expected up to 10 bidders and a top bid between $550 and $600 psf ppr.
Tender for two sites will end at noon on July 22.
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