Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
The Lentor Central place attracted only two quotes, with the top quote of $435.1 million submitted by a consortium comprising Hong Leong Holdings, GuocoLand and CSC Land Group. This works out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft site. The proposal was 5.9% more than the $410.8 million ($ 927 psf ppr) provided by Frasers Property.
The tender for the residential government land sale (GLS) spot at Lentor Central closed on Sept 12, together with the tender for the location at Champions Way.
” They might additionally be holding off as even more land might be launched upcoming year,” Quek adds. “The government has already declared a lot more new ground plots to be introduced or old buildings/sites register for redevelopment.”
The leading quote is partially less than the $985 psf ppr paid by a joint business venture in between GuocoLand and Hong Leong Holdings for the Lentor Gardens area in April 2022, explains Leonard Tay, head of research at Knight Frank Singapore. “The most recent government land tenders in the Lentor vicinity represent among the lowest land rates when compared to the previous four GLS sites granted from 2021 in the Lentor area,” he adds.
Knight Frank Singapore’s Tay explains that the likely selling price for the residential units of this project can start from above $2,000 psf, identical to the $2,080 psf unit rate of Lentor Hills Residences which released in July.
ERA Singapore’s Lim statements that the Lentor Central site drops inside the Ang Mo Kio Planning Area and close to Lentor MRT station plus established schools, for example, CHIJ St. Nicholas Girls’ School, Anderson Primary School and Presbyterian Secondary School.
Eugene Lim, key executive officer at ERA Singapore, notes that there has actually been “a dilution in need” for Lentor Central as a result of the large amount of areas to be launched under the 2nd half 2023 GLS program.
“Both bids for the Lentor Central plot show the considerably tentative and also defensive sentiment amongst developers, as well as the reality that the Lentor area might have too many apartment plans, almost all being built within a couple of years of each other,” claims Tay.
In addition, several property developers might be much more careful as there are macroeconomic worries, elevated rate of interest, and cooling actions, claims Justin Quek, deputy ceo of OrangeTee & Tie.
” We are thrilled to attain the highest proposal at Lentor Central which notes our fourth location in the Lentor Hills Estate location,” said a spokesperson of Hong Leong Holdings. “If awarded, we intend to construct an exclusive non commercial development with around 475 units in 2 high-rise blocks, where locals will gain from the benefit of nearby services and Lentor MRT terminal, adding to the place’s total demand to future buyers.”
6 GLS sites in Lentor have actually been tendered to date, with one more site presently on the Reserve Listing. Collectively, the locations could add some 3,500 brand-new houses to the location.
