In a joint press release issued on Oct 17, the Urban Redevelopment Authority (URA) and Housing Development Board (HDB) announced that the government has released four sites for sale under the 2H2024 Government Land Sales (GLS) Programme.
Two sites, Lentor Gardens and River Valley Green (Parcel B), have been launched for sale under the Confirmed List. The remaining two sites, Marina Gardens Lane and Woodlands Drive 17, are available for application under the Reserve List.
The Woodlands Drive site is for the development of an executive condominium (EC), while the Lentor Gardens site is zoned for residential development. The remaining two sites at River Valley Green (Parcel B) and Marina Gardens Lane are zoned residential with commercial at the first storey.
The 222,161 sq ft Lentor Gardens site is the seventh plot to be launched in the developing Lentor Hills Estate. The residential site could yield approximately 500 units and will be a mix of low-rise residential blocks and mid-rise blocks of up to 16 storeys.
Projects in Lentor Hills include the 605-unit Lentor Modern, 474-unit Hillock Green, 267-unit Lentoria, 598-unit Lentor Hills Residences, and most recently the 533-unit Lentor Mansion, as well as a yet-to-be-unveiled project by CSC Land, Hong Leong Holdings’ Intrepid Investments and GuocoLand. The tender for a site at Lentor Gardens on the Reserve List has yet to be triggered.
According to Lee Sze Teck, senior director of data analytics at Huttons Asia, only 352 units (14.2%) of the 2,477 residential units launched in the area have remained unsold. “This shows buyers’ receptiveness towards living in the Lentor private residential enclave and should ease concerns of a supply overhang in Lentor,” he adds.
Huttons expects one to three bidders for the site with a top bid of between $900 and $1,000 psf per plot ratio (ppr). The tender for the Lentor Gardens site closes April 3, 2025.
Meanwhile, the River Valley Green (Parcel B) plot spans 126,325 sq ft and will have a maximum gross floor area (GFA) of 442,138 sq ft. The new development could accommodate about 475 residential units. According to the site’s land tender requirements, it will also have direct access to the nearby Great World MRT Station along the Thomson-East Coast Line (TEL).
Marcus Chu, CEO of ERA Singapore, notes that the site’s location is well-connected to major roads and expressways such as Central Expressway (CTE) and Ayer Rajah Expressway (AYE) by private transport while Great World MRT Station allows easy access to the Orchard Road shopping district one stop away.
Lee notes that the area already has a pipeline of incoming residential housing. Two other sites have been awarded in the area this year. In April, URA awarded a 164,439 sq ft site at Zion Road to a joint venture (JV) between City Developments Ltd (CDL) and Japanese real estate developer Mitsui Fudosan. In June, another residential GLS site in River Valley Green was awarded to Winchamp Investment, a subsidiary of Wing Tai Holdings.
Lee estimates that both sites could be launched next year, yielding a total of 1,120 residential units. Furthermore, another nearby GLS site at River Valley Green (Parcel C) is set to be launched sometime in December 2024, according to URA. Should the River Valley Green (Parcel C) site be awarded, Lee predicts that the area could see almost 2,200 units for sale over the next few years.
Thus, developers are likely to be cautious in their bids given the expected supply of new private units entering the market in the area, says Lee. He estimates that the site could attract one to three bidders, with a top bid of $1,200 to $1,300 psf ppr.
The tender for the River Valley Green (Parcel B) closes on Feb 7, 2025.
Source : https://www.edgeprop.sg/property-news/government-releases-four-residential-sites-under-2h2024-gls-programme