Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
Six GLS sites in Lentor have actually been tendered to date, with another site currently on the Reserve Listing. Collectively, the areas can include some 3,500 brand-new houses to the area.
Eugene Lim, major director at ERA Singapore, notes that there has actually been “a dilution in demand” for Lentor Central because of the sheer amount of sites to be launched under the second half 2023 GLS programme.
Additionally, many property developers may be more mindful as there are macroeconomic uncertainties, increased rate of interest, and cooling actions, says Justin Quek, deputy ceo of OrangeTee & Tie.
” We are glad to attain the greatest bid at Lentor Central which notes our 4th site in the Lentor Hills Estate place,” said a representative of Hong Leong Holdings. “If granted, we prepare to develop an exclusive residential development with about 475 units in 2 skyscraper blocks, where locals are going to gain from the convenience of close-by facilities along with Lentor MRT station, contributing to the site’s general look to possible buyers.”
Knight Frank Singapore’s Tay explains that the likely selling price for the residential units of this property could commence from above $2,000 psf, identical to the $2,080 psf unit cost of Lentor Hills Residences which launched in July.
The top proposal is somewhat lower than the $985 psf ppr paid by a joint business venture between GuocoLand together with Hong Leong Holdings for the Lentor Gardens area in April last year, points out Leonard Tay, head of research at Knight Frank Singapore. “The most up to date government land tenders in the Lentor vicinity represent among the lowest land fees when looked at to the previous four GLS spots granted from 2021 in the Lentor region,” he adds.
“The two proposals for the Lentor Central plot reflect the increasingly tentative and also defensive sentiment among developers, as well as the truth that the Lentor area may have way too many condo plans, all of being established in just a couple of years of one another,” says Tay.
” They may likewise be holding back as even more land can be launched next year,” Quek adds in. “The state has already announced a lot more new ground plots to be introduced or outdated buildings/sites slated for redevelopment.”
The Lentor Central site attracted just 2 proposals, with the main quote of $435.1 million provided by a consortium consisting of Hong Leong Holdings, GuocoLand and also CSC Land Group. This works out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft area. The quote was 5.9% greater than the $410.8 million ($ 927 psf ppr) submitted by Frasers Property.
ERA Singapore’s Lim comments that the Lentor Central site drops within the Ang Mo Kio Planning Area and also near to Lentor MRT station and founded schools, for example, CHIJ St. Nicholas Girls’ School, Anderson Primary School and even Presbyterian High School.
The tender for the residential government land sale (GLS) site at Lentor Central closed on Sept 12, along with the tender for the location at Champions Way.