GLS sites at Jalan Tembusu and Tampines Street 62 launched for tender
/ EdgeProp Singapore |
Location plan for the Jalan Tembusu site, which can yield about 840 private residential units (Picture: URA)
SINGAPORE (EDGEPROP) - Two residential sites under the 1H2023 Government Land Sales (GLS) Programme have been launched for sale on March 14. The sites comprise a private residential site at Jalan Tembusu and an executive condo (EC) site at Tampines Street 62 (Parcel B). Together, the two 99-year leasehold sites can yield about 1,540 homes. The tender for the two land parcels will close on July 18.
The Jalan Tembusu site spans 20,572.1 sqm (221,436 sq ft) and has a gross plot ratio of 3.5. It can generate about 840 housing units, with a maximum gross floor area (GFA) of 72,003 sqm (775,034 sq ft).
The Tampines Street 62 (Parcel B) site measures 28,000.2 sq m (301,392 sq ft). It can yield 700 units, with a gross plot ratio of 2.5 or a maximum GFA of 70,001 sq m (753,484 sq ft).
OrangeTee &Tie CEO Steven Tan says the Jalan Tembusu site is well-located and close to the upcoming Tanjong Katong MRT Station on the Thomson-East Coast Line and other amenities. The site’s proximity to several schools, such as Chung Cheng High School (Main), Tanjong Katong Girls’ School, and Tanjong Katong Primary School, is also advantageous. “Being near the Canadian International School, this project may be popular among tenants working or studying in the school,” he adds.
Location plan for Jalan Tembusu land parcel (Source: URA)
The Jalan Tembusu site is located opposite the upcoming Tembusu Grand, City Developments’ (CDL) 638-unit condo that is slated to launch this quarter. CDL was awarded the 99-year leasehold GLS site in January 2022 for $768 million, or $1,302 psf ppr.
Lee Sze Teck, senior director of research at Huttons Asia, says bidders for the Jalan Tembusu site will look to Tembusu Grand’s launch to gauge demand for homes in the area. “The Katong area has not seen a project launch with a land size of more than 200,000 sq ft since Haig Court in 2004. There could be potential pent-up demand for larger projects,” he adds.
Two other sites nearby are expected to launch this year. The Continuum, an 807-unit joint venture project by Hoi Hup Realty and Sunway Development, is anticipated to launch in 1Q2023. The freehold project’s site at Thiam Siew Avenue was purchased in a collective sale in November 2021 for $815 million or $1,440 psf ppr.
Grand Dunman, a 1,008-unit project by SingHaiyi Group along Dunman Road, is expected to launch sometime near the end of 2Q2023 to early 3Q2023. SingHaiyi purchased the 99-year leasehold GLS site for $1.284 billion ($1,350 psf ppr) in June 2022.
Given the size of the Jalan Tembusu site, OrangeTee & Tie’s Tan believes developers will form consortiums to share bidding costs and reduce the project’s risks. He projects the site will receive around two to five bids, with the top bid coming in between $1,300 to $1,380 psf ppr.
Meanwhile, the Tampines Street 62 (Parcel B) site is located next to Tenet, the 618-unit EC by developers Qingjian Realty, Santarli Realty and Heeton Holdings. The project launched in December 2022 and currently has only 10 units left for sale, says Huttons’ Lee. “This shows that there is strong demand for ECs in this area,” he adds.
Tampines Street 62 (Parcel B) (centre) is located next to the 618-unit EC Tenet (shown in purple). It is also close to a land plot earmarked for a mixed-use development on Tampines Avenue 11 (shown on left, in blue) (Source: EdgeProp LandLens)
The site is also near a mixed-use GLS plot at Tampines Avenue 11 that’s currently up for tender. The future development comprises commercial and residential components integrated with a bus interchange, a community club, and a hawker centre. The plot is close to the future Tampines North MRT Station on the upcoming Cross Island Line. (Find Singapore commercial properties with our commercial directory)
Given the successful EC project launches in the past year and the lack of available new EC supply, OrangeTee & Tie’s Tan expects “healthy interest” from developers for the Tampines Street 62 (Parcel B) site. He anticipates around four to seven bidders with a final bid price of $630 to $680 psf ppr. “The future selling price of the EC here could range from $1,380 to $1,450 psf.”
Check out the latest listings near Jalan Tembusu, The Continuum, Tenet, Tanjong Katong MRT Station, Tampines North MRT Station, Chung Cheng High School (Main), Tanjong Katong Girls’ School, Tanjong Katong Primary School
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