Six Confirmed List sites and eight Reserve List sites under the GLS programme – Amo Residence at Ang Mo Kio Avenue 1 By CDL & MCL Land (Hot Launch 2022)

GuocoLand unveils core-flex leasing trend towards hybrid working and the improved utilisation of swing spaces

The Singapore government has announced 14 sites under the 2H2022 Government Land Sales (GLS) programme comprised of six Confirmed List sites as well as eight Reserve List sites.

The Confirmed List includes four residential private sites as well as an executive Condominium (EC) site and one commercial and residential site. The three sites -the Bukit Timah Link, Hillview Rise and Lentor Gardens Bukit Timah Link Hillview Rise and Lentor Gardens have been moved off on the Reserve List to the Confirmed List. The remaining three sites -three – Marina Gardens Lane, the Tengah Plantation Loop and Tampines Avenue 11 -are brand new sites.

In all, the sites are expected to yield 3,505 homes, with the 495 EC units.

This is an increase of 25.9% increase from the 1H2022 Confirmed List supply, which was the total number of units increase to 2,785. It’s also the most quantity of Confirmed List units since 2H2014, when there were 3,915 units. Catherine He, Colliers’ director of research.”The greater number of units will give a needed boost to developers to increase their land inventory” she says.

Based on the healthy number of new homes sold with a healthy job market and a lack of housing inventory that is not yet sold Colliers’ CEO believes that the sites will likely to draw the right amount of bids.

In addition, the eight sites listed on the Reserve List comprise four private residential sites and two EC sites as well as one white site and an hotel site. In the event that all these sites were put up for sale, they would produce an additional 3,805 private residential units comprising 1,000 EC units as well as 861,113 square feet of commercial space, and 531 hotel rooms.

First sale site in Marina South

The most famous parcels of land in the 2H2022 Confirmed List is the Marina Gardens Lane site. This 1.23ha site is the first GLS parcel located in the Marina South precinct, in the Rest of Central Region (RCR). The site is scheduled to go up for auction in December the site will yield approximately 795 housing units.

The site will be highly debated when it is launched due to its central location along the waterfront according to Alice Tan, head of consulting for Knight Frank Singapore. “When the project is completed, itwill offer uninterrupted view of Singapore’s CBD, Gardens by the Bay, Marina Reservoir and views of the sea,” she points out.

Lee Sze Teck, senior director (research) at Huttons Asia, shares similar views, stating that the site provides a first-mover advantage for developers as well as buyers of Marina South. The site is also directly connected to the planned Marina South MRT station on the Thomson-East Coast Line, he adds.

However, he warns that the enormous investment needed for the site that is estimated at $1 billion, could draw only a handful of developers. The auction for the White site located at Marina View which closed last September saw IOI Properties Group emerge as the sole bidder for the 0.78ha parcel. The company made an offer of $1.508 billion that works out to a land cost of $1,379 per square foot for each plot.
Tampines Mega-site gives suburban retailers exposure
Another noteworthy item in the Confirmed List is the residential and commercial site located at Tampines Ave 11. Its size is 5.07ha It is the biggest site on the list . It could yield approximately 1,190 housing units, in addition to 150,695 square feet for commercial spaces. It is expected to be launched in December.

This site will stimulate growth within Tampines North, resolving the lack of amenities currently in the area, claims Ong Teck Hui, the senior director of research and consultancy at JLL.

But, due to the plot’s size, the cost of the site will also exceed $1 billion. This could deter prospective bidders, he warns. This is despite the fact that the recent auction closing of GLS Dunman Road GLS site located at Dunman Road, which breached the $1 billion mark but was only attended by two bidding parties.
The substantial commercial component could increase the appeal of the land because it is located in an enclosed area of BTO flats, which provide residents with a huge population pool according to Steven Tan, CEO of OrangeTee & Tie.

In addition, he expects that the residential segment will benefit from the high demand for upgrades. “Quite many HDB flats have passed their minimum occupancy period in the last few years, and families in these homes will be eager to improve their homes and are searching for a new apartment in the vicinity,” he explains.

Bukit Timah Link, other sites to observe a healthy demand
The Confirmed List land parcel located at Bukit Timah Link likely to attract a lot of attention due to the “palatable size and good physical location” According to Wong Xian Yang, head of research, Singapore, at Cushman & Wakefield.

This 0.46ha site can yield some 160 units, and is scheduled to be launched for tendering in August. The site is within walking distance of the Beauty World MRT station located on the Downtown Line, the site is situated near The Lineq@Beauty World which was developed in partnership with BBR Holdings. The small mixed development on freehold comprising 120 housing units was officially inaugurated in 2020 and is sold out and is a sign that the development Wong says is good news in Bukit Timah Link. Bukit Timah Link site.

A smaller parcel of land under the Confirmed List will be launched in August. This is it’s the 1.03ha Hillview Rise site that will yield 335 housing units. The site is situated in the well-established and well-known Hillview enclave, this site is just a few minutes to the Hillview MRT station. The site is expected to be sold at a price that is less than $300 million says JLL’s Ong. This will attract a lot of interest from developers due to the attractive price.

This 530-unit Lentor Gardens site, scheduled to begin construction in October will be the 5th site that has been released within the Lentor region. A second site (Lentor Central) has been placed on the Reserve List. In total, the six newly added residential developments could create around 3,000 additional residential units after their completion, says Lam Chern Woon, head of research and consulting at Edmund Tie. “The huge amount of new homes that are coming will likely help satisfy long-standing demand for the serene community,” he remarks.

In addition, the EC site located at Tengah Plantation Loop, which could yield 495 units, is the second site located in the Tengah region. It is the follow-up to the highly-contested Tengah Garden Walk site that received seven bids during the tender in May, before it was awarded the site to a joint venture of City Developments and MCL Land at an unprecedented price of $603 psf in plot-to-plot ratio.