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The Urban Redevelopment Authority (URA) of Singapore released three residential sites for tender under the first half of the 2024 government land sales (GLS) programme on Thursday, June 13. This marks the highest confirmed list supply of private housing in a single GLS release since the 2013 GLS programme, according to URA.
The three sites, located at Tengah Garden Avenue, Dairy Farm Walk and Bayshore Road, have the potential to yield a total of 1,915 residential units. All three parcels are on a 99-year lease.
Dairy Farm Walk GLS Site
The Dairy Farm Walk site is zoned for residential use and covers an area of 21,881.8 square metres (sq m). It has a maximum gross floor area (GFA) of 45,952 sq m and a maximum building height of four to six storeys in the low-rise zone and 75 to 85 metres in the medium-rise zone.
Market analysts believe the land bids for this site will be lower than those for previously sold sites in the vicinity due to factors including increased government land supply and challenging conditions faced by developers, such as high construction costs and interest rates.
The site is expected to be attractive to upgraders from the surrounding Housing Development Board (HDB) estates due to its location within a developing private residential enclave. Analysts predict two to three bids with a top bid ranging from S$800 to S$1,000 per square foot per plot ratio (psf ppr). The project completion period for the Dairy Farm Walk site is 60 months.
Tengah Garden Avenue Parcel
The Tengah Garden Avenue land parcel is zoned residential with commercial zoning for the first storey. Spanning 25,456 sq m, it has a maximum GFA of 76,368 sq m and a maximum building height of 60 metres. This site is estimated to yield 860 residential units.
While analysts expect healthy interest from developers due to rising property values in the region, the Tengah area’s relative unfamiliarity to homebuyers is a factor to consider. Predictions for this site include two to four bids with a top bid ranging from S$800 to S$980 psf ppr. The project completion period for the Tengah Garden Avenue site is 66 months.
Bayshore GLS Site
The 10,493.9 sq m site at Bayshore Road GLS has the potential to yield 515 units. It has a GFA of 44,075 sq m and a maximum building height of 101 to 105 metres. The project completion period for this site is also 60 months.
This site is expected to be the first private development in the new Bayshore estate and will be in close proximity to the Bayshore MRT station, offering easy access to Marina Bay, the Central Business District and Orchard Road. Analysts believe the high demand for homes in the area will lead to developers triggering the sale of this site. Predictions for the Bayshore Road site include a top bid of between S$900 and S$950 psf ppr. However, there is also a possibility that the launch of the site might be deferred to the second half of the year.
The launch of these three sites reflects the Singaporean government’s efforts to meet housing demand with an increased confirmed list supply of private housing in the GLS programme.
