CapitaLand-CDL joint venture wins Sengkang site for $777.78 mln

By
/ EdgeProp Singapore
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August 17, 2018 3:04 AM SGT
A joint venture between Singapore’s two biggest listed property giants -- CapitaLand Limited and City Developments Limited (CDL) -- won the mixed-use residential and commercial site in Sengkang Central at a tender price of $777.78 million. The price works out to a land rate of $924 psf ppr.
The duo emerged at the top of four bids shortlisted for the price evaluation stage after clearing the first stage, which was the concept proposal stage and had sevenibidders. This was a two-envelope tender system based on concept and price revenue.
The 3.7 ha (37,000 sq m) site is the largest commercial and residential site awarded since 2015. The future integrated development will comprise 700 apartments, a hawker centre, community club, childcare centre, retail shops, as well as public rail and bus transport facilities. The new project is scheduled for completion in 1H2022.
The future integrated development will comprise 700 apartments, a hawker centre, community club, childcare centre, retail shops, as well as public rail and bus transport facilities (Credit: CapitaLand/CDL)
According to the joint venture partners in a release on Aug 16, the new non-remittable and revised ABSD rate imposed on all developers buying residential sites will not apply for the Sengkang Central site. “This is the first GLS site where bids were submitted before the introduction of the July 6 cooling measures,” says Desmond Sim, CBRE head of research for Singapore and Southeast Asia.
Located in the heart of Sengkang Central, the site has direct access to Buangkok MRT station and the future bus interchange. It is a 20-minute drive to the CBD and within easy access of major expressways such as the KPE, SLE and CTE. It is also just nine MRT stops from Dhoby Ghaut MRT interchange station, which is equivalent to a 25-minute ride. The future Punggol Digital District and Seletar Aerospace Park are also nearby.
Lim Ming Yan, CapitaLand Group president and group CEO sees the partners transforming the site into “a landmark development that will be an identity marker and new focal point for the Buangkok neighbourhood”.
The joint venture partners intend to build a landmark development that will be an identity marker and new focal point for the Buangkok neighbourhood (Credit: CapitaLand/CDL)