Government ramps up private housing supply; offers three EC sites on Confirmed List
To make certain that there suffices supply to fulfill housing need and to preserve market stability, the state has actually maintained the supply of private property units by supplying 8,505 units in the upcoming Confirmed List and Reserved List of the 1H2025 GLS Government Land Sales (GLS) programme 1H2025.
10 plots are going to be offered under the Confirmed List, making up nine non commercial sites, 3 of which are executive condo (EC) plots. The tenth plot is a residential cum commercial area. The 10 sites can produce an approximated 5,030 residential units, featuring the 980 EC units.
The ramp-up of supply from the GLS programs has actually contributed to the stabilisation of the personal household market, as shown by the constraint in property price drive. Based on the URA private property price index, price growth has actually moderated to 6.8% in 2023 from 10.6% in 2021 and 8.6% in 2022.
Along with locations in two new housing precincts, the majority of the sites are close to MRT stops, that can attract property developers and property buyers likewise, notes Gafoor. “In our view, one of the most attractive ones are the mixed-use site in Hougang Central (835 units) that will certainly be linked to the Hougang MRT station, the Telok Blangah Road plot (740 units) and Dunearn Road (370 units) site in new housing precincts, and within minutes’ stroll to the MRT terminal, as well as the Lakeside Drive website (575 units) which is right next to the Lakeside MRT terminal, Jurong Lake Gardens and the Jurong East business center.”
Also on the Confirmed List is the residential plot in Upper Thomson Road (Parcel A), that saw no quotes when its tender finalized in June 2024. Previously, the plot was to offer a blend of residential units and long-stay serviced apartments. Of note, the URA has actually provided even more versatility this time around; it claimed that serviced apartment/long-stay serviced house use would not be mandated for the site however can be permitted based on authorization from technical companies, notes PropNex.
The rise in the EC land supply in 1H2025 can “go some way to ease the opposition among property developers in land tenders and assist to moderate EC land cost and prices appropriately”, says Ismail Gafoor, CEO of PropNex.
Following the progressive ramp-up of personal housing supply in the GLS programmes over the last 3 years, the stock of exclusive housing units offered up for sale has actually increased continuously from 16,100 units at the end of 2021 to around 21,000 units since end-November 2024.
In regards to household units for sale, it’s in line with the 5,050 units offered in the Confirmed List of 2H2024. Nonetheless, it’s nearly 60% more than the regular supply on the Confirmed List in each GLS programme from 2021 to 2023.
Private non commercial costs are expected to see more small increases in 2024, with the cumulative price surge over the first 3 quarters of the year at around 1.6%.
The spot of the previous Singapore Indian Fine Arts Society on Dorsett Road, off Rangoon Road, that can yield around 430 units, will in addition be released for sale in 1H2025. A residential and commercial site at Hougang Central, which can generate a brand-new mixed-use project with 835 residence units and over 400,000 sq ft of commercial room, is offered for sale. It will likely be integrated with the Hougang MRT Stop on the Northeast Line.
The 3,475 residential units on the Reserve Listing of 1H2025 are higher than the 3,090 units in 2H2024. Consisting Of the Reserve Lineup, the total private real estate supply of 8,505 units in 1H2025 is on a level with the 8,140 units in 2H2024.
In view of the rigid competition for EC sites amongst developers and increasing EC land costs, the government has increase the supply of EC sites, with three plots potentially producing 980 units in the Confirmed Listing of 1H2025. This is a shift from previous GLS programmes ever since 2018, with only one EC area presented in each of the semiannual land sales programmes, notes PropNex.
It was an unprecedented year for GLS tenders. For the first time, URA did not award the tender for three plots – Marina Gardens Crescent, the Jurong Lake District master property developer location, and plots in Media Circle (for long-stay serviced apartment use). The URA declined the proposals supplied because they were too reasonable. These sites are now listed on the 1H2025 Reserve Checklist.
The last time three EC plots were released for sale in an one GLS programme was in 2H2014 when EC spots in Sembawang Road/Canberra Link, Anchorvale Crescent, and Woodlands Avenue 12 were introduced for tender. In 1H2014, 4 EC sites (two in Yishun, one each in Sembawang and Choa Chu Kang) were released for sale by means of the GLS.
The Reserve Listing includes 4 exclusive residential sites, one business location, three White spots and one hotel site, that can possibly produce an extra 3,475 private residential units and 199,900 sqm (2.15 million sq ft) gross floor area (GFA) of business spot.
Seven brand-new plots are going to be presented in the 1H2025 GLS programme. They include a plot at Lakeside Drive near the Jurong Lake Gardens in Jurong Lake District, Dunearn Road in the new real estate development in Bukit Timah Turf City, and Telok Blangah Road on the previous Keppel Golf Course area.
