TID submits highest bid of $1,130 psf ppr for Lentor Hills Road (Parcel B)

SINGAPORE (EDGEPROP) - At the close of the tender for three government land sale (GLS) sites this evening, there were two bids for the Lentor Hills Road (Parcel B) residential site, three bids for Lentor Central residential site and five bids for the executive condo (EC) site at Bukit Batok West Avenue 5.

For Lentor Hills Road (Parcel B), TID, a joint venture between Hong Leong Group and Mitsui Fudosan, emerged as the top bidder. TID submitted a bid of $276.36 million, which works out to $1,130 psf per plot ratio (psf ppr).

TID’s bid was 18.9% higher than the $950 psf ppr bid submitted by a consortium comprising China Communications Construction Co, Soilbuild Group Holdings and United Engineers (a unit of Yanlord Land), notes Leonard Tay, head of research at Knight Frank Singapore. This was also 6.6% above the $1,060 psf ppr for Lentor Hills Road (Parcel A) which was awarded in January to Hong Leong Holdings, GuocoLand and TID, he adds.

Catherine He, director and head of research, Singapore at Colliers, says that the low number of bids received for the Lentor Hills Road (Parcel B) and Lentor Central sites indicate that developers were “more cautious with their bids due to the ample supply coming up in the area”. A total of 1,340 residential units are estimated to be in the pipeline for Lentor.

The 99-year leasehold Lentor Hills Road (Parcel B) site, which spans 116,455 sq ft, can yield about 495 residential units. Based on the land rate, the future selling price for the development could range between $2,000 and $2,100 psf, says Knight Frank's Tay.