Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
The Lentor Central site drew just two proposals, with the main proposal of $435.1 million submitted by a consortium making up Hong Leong Holdings, GuocoLand and CSC Land Group. This figures out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft area. The quote was 5.9% higher than the $410.8 million ($ 927 psf ppr) provided by Frasers Property.
ERA Singapore’s Lim remarks that the Lentor Central site falls inside the Ang Mo Kio Planning Area and also in close proximity to Lentor MRT terminal and even founded schools, for example, CHIJ St. Nicholas Girls’ School, Anderson Primary School and even Presbyterian High School.
The leading bid is somewhat less than the $985 psf ppr paid by a joint project in between GuocoLand along with Hong Leong Holdings for the Lentor Gardens area in April last year, mentions Leonard Tay, head of research at Knight Frank Singapore. “The most recent government land tenders in the Lentor district stand for among the most affordable land fees when compared to the previous four GLS locations awarded from 2021 in the Lentor region,” he adds.
“The two proposals for the Lentor Central plot show the considerably undecided and protective sentiment amongst developers, along with the truth that the Lentor location may have way too many apartment plans, all being developed in just a few years of one another,” claims Tay.
Eugene Lim, major director at ERA Singapore, mentions that there has been “a dilution in demand” for Lentor Central because of the large amount of sites to be launched under the 2nd half 2023 GLS programme.
” We are glad to attain the highest quote at Lentor Central which notes our fourth location in the Lentor Hills Estate area,” stated a representative of Hong Leong Holdings. “If awarded, we intend to build an exclusive residential project with approximately 475 units in two high-rise blocks, where citizens are going to benefit from the benefit of close-by services and Lentor MRT terminal, contributing to the place’s overall demand to future customers.”
The tender for the residential government land sale (GLS) location at Lentor Central closed on Sept 12, along with the tender for the location at Champions Way.
Knight Frank Singapore’s Tay mentions that the most likely selling price for the residential units of this project can begin from above $2,000 psf, comparable to the $2,080 psf unit rate of Lentor Hills Residences that released in July.
” They might also be restraining as more land can be released next year,” Quek adds in. “The authorities has already publicized a lot more new land parcels to be introduced or outdated buildings/sites slated for redevelopment.”
Furthermore, several property developers may be extra mindful as there certainly are macroeconomic uncertainties, elevated rate of interest, and also moderating steps, claims Justin Quek, deputy ceo of OrangeTee & Tie.
6 GLS areas in Lentor have been tendered to date, with one more location presently on the Reserve List. Together, the areas might add some 3,500 new residences to the place.