Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
Knight Frank Singapore’s Tay says that the likely selling price for the non commercial units of this project could begin from above $2,000 psf, identical to the $2,080 psf unit cost of Lentor Hills Residences that introduced in July.
Eugene Lim, key director at ERA Singapore, notes that there has been “a dilution in need” for Lentor Central as a result of the sheer amount of sites to be released under the 2nd half 2023 GLS program.
ERA Singapore’s Lim remarks that the Lentor Central site drops within the Ang Mo Kio Planning Area as well as close to Lentor MRT station and even founded institutions, including CHIJ St. Nicholas Girls’ School, Anderson Primary School and even Presbyterian High School.
” They might likewise be holding back as more land could be released next year,” Quek includes. “The state has indeed actually announced extra new land parcels to be released or older buildings/sites register for redevelopment.”
The Lentor Central place attracted just two proposals, with the main quote of $435.1 million submitted by a consortium comprising Hong Leong Holdings, GuocoLand as well as CSC Land Group. This figures out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft location. The bid was 5.9% more than the $410.8 million ($ 927 psf ppr) provided by Frasers Property.
” We are pleased to achieve the highest quote at Lentor Central which marks our fourth location in the Lentor Hills Estate area,” said a spokesman of Hong Leong Holdings. “If awarded, we plan to build a private residential project with around 475 units in two skyscraper blocks, where residents are going to benefit from the convenience of nearby amenities along with Lentor MRT station, contributing to the place’s total look to future buyers.”
In addition, many developers might be more cautious as there certainly are macroeconomic uncertainties, elevated interest rates, as well as moderating steps, claims Justin Quek, deputy president of OrangeTee & Tie.
The tender for the residential government land sale (GLS) location at Lentor Central closed on Sept 12, together with the tender for the location at Champions Way.
The leading proposal is somewhat lower than the $985 psf ppr paid by a joint business venture between GuocoLand together with Hong Leong Holdings for the Lentor Gardens site in April 2022, mentions Leonard Tay, head of research study at Knight Frank Singapore. “The latest government land tenders in the Lentor surroundings represent among the most affordable land rates when matched up to the previous 4 GLS sites granted from 2021 in the Lentor region,” he includes.
“Both offers for the Lentor Central plot mirror the increasingly undecided and also protective sentiment among developers, along with the truth that the Lentor area could have too many condominium projects, all of being built within a few years of one another,” says Tay.
6 GLS areas in Lentor have actually been tendered to date, with another site right now on the Reserve Checklist. Collectively, the sites could add some 3,500 new residences to the location.