Residential GLS Sites at Lentor Hills Road and Jalan Tembusu Launched For Sale
Two residential sites under the Confirmed List of the 2H2021 Government Land Sales (GLS) programme have been launched for sale. One site is Lentor Hills Road (Parcel A) and the other site is at Jalan Tembusu. A site under the Reserve List, Lentor Hills Road (Parcel B) is also open for application.
The 99-year leasehold site at Jalan Tembusu is in District 15. The 210,545 sq ft plot is about 1km from Dakota MRT station on the Circle Line and 600m from the upcoming Tanjong Katong MRT station on the Thomson-East Coast Line.
Nearby schools in the vicinity include Chung Cheng High School (Main), Tanjong Katong Girls’ School, and Tanjong Katong Secondary School. F&B and amenities around the site are located along Tanjong Katong Road and Parkway Parade shopping mall is close to the site.
District 15 is a popular area for many homebuyers, and the future development could offer largely unblocked views for residents, given that residential developments in the surrounding area are mostly landed and low-rise developments, says Lee Sze Teck, senior director (research), Huttons Asia.
As of August 2021, there are only two new condo projects in the area with unsold units. Amber Park has only 130 units left unsold while Coastline Residences has 26 units remaining, says Nicholas Mak, head of research and consultancy at ERA Realty.
“Given the dwindling residential supply in the area, this site would be hotly contested by developers,” says Mak.
Lee expects the successful tender price could range between $1,400 psf per plot ratio (ppr) to $1,500 psf ppr, while Mak says that the top bid for the GLS site could range from $1,250 psf ppr to $1,350 psf ppr.
The second GLS site that was launched is a 99-year leasehold site at Lentor Hills Road. This 184,393 sq ft parcel of land is in the Lentor Hills Estate. The site is close to the new Lentor MRT station on the Thomson-East Coast Line.
Schools in the area include Presbyterian High School, Anderson Primary School, and CHIJ St. Nicholas Girls School. The future mixed-use development at Lentor Central will add to the neighbourhood amenities. This mixed-use GLS site was awarded to GuocoLand on July 22 this year.
“The recent tender closing of the land parcel at Lentor Central created some buzz in the market for setting the new price record for a government land sales site in the Outside Central Region. The site was sold at $784.1 million or $1,204 psf per plot ratio, showing signs of pent-up demand for land and developers’ confidence in the potential of Lentor area,” says Mak.
He expects Parcel A could attract many bids from developers, and the top bid could even exceed the record high set by the nearby Lentor Central GLS site. This is because developers appetite for land has remained high.
Lee says that the Lentor Hills Road (Parcel A) site could see bids that range from $1,150 psf prr to $1,250 psf ppr. Meanwhile, Mak expects the top bid for the site could range from $1,170 psf ppr to $1,250 psf ppr.
The close of the tender for Lentor Hills Road (Parcel A) will be closely watched by developers before they decide to apply for the neighbouring reserve list site, Lentor Hills Road (Parcel B), says Mak.
Sites under the Reserve List are not immediately released for tender but are made available for application instead. A reserve List site will be put up for tender when a developer has indicated a minimum price that is accepted by the government.
Lentor Hills Road (Parcel B) is a 116,443 sq ft site that is opposite Parcel A. Thus, it shares all of the locational attributes and surrounding amenities as the other site.
Credit to: EdgeProp SG