Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
The Lentor Central area attracted only 2 proposals, with the leading proposal of $435.1 million submitted by a consortium consisting of Hong Leong Holdings, GuocoLand and also CSC Land Group. This works out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft area. The bid was 5.9% more than the $410.8 million ($ 927 psf ppr) provided by Frasers Property.
Knight Frank Singapore’s Tay mentions that the most likely selling price for the residential units of this project could commence from over $2,000 psf, comparable to the $2,080 psf unit cost of Lentor Hills Residences that launched in July.
“Both bids for the Lentor Central plot show the significantly unconfirmed and also protective sentiment amongst developers, along with the fact that the Lentor part might have a lot of condo projects, all of being established in just a few years of each other,” says Tay.
Furthermore, some developers may be more careful as there are macroeconomic worries, elevated rates of interest, and moderating measures, claims Justin Quek, deputy president of OrangeTee & Tie.
The tender for the residential government land sale (GLS) site at Lentor Central closed on Sept 12, together with the tender for the area at Champions Way.
The top bid is marginally less than the $985 psf ppr paid by a joint venture in between GuocoLand and Hong Leong Holdings for the Lentor Gardens site in April last year, mentions Leonard Tay, head of research study at Knight Frank Singapore. “The most recent government land tenders in the Lentor district represent among the most affordable land rates when looked at to the previous four GLS spots granted from 2021 in the Lentor area,” he adds.
Eugene Lim, key director at ERA Singapore, notes that there has actually been “a dilution in need” for Lentor Central as a result of the sheer number of spots to be launched under the second half 2023 GLS program.
” We are thrilled to attain the greatest proposal at Lentor Central which marks our fourth spot in the Lentor Hills Estate place,” claimed a representative of Hong Leong Holdings. “If granted, we prepare to develop an exclusive residential property with approximately 475 units in two high-rise blocks, where citizens are going to take advantage of the comfort of neighboring facilities and even Lentor MRT terminal, contributing to the place’s overall demand to possible buyers.”
” They may likewise be restraining as even more land might be released next year,” Quek adds. “The government has indeed already publicized extra new property parcels to be introduced or older buildings/sites slated for redevelopment.”
ERA Singapore’s Lim statements that the Lentor Central site falls within the Ang Mo Kio Planning Area and in close proximity to Lentor MRT terminal and existing colleges, such as CHIJ St. Nicholas Girls’ School, Anderson Primary School and even Presbyterian Secondary School.
6 GLS locations in Lentor have actually been tendered to date, with another location right now on the Reserve Listing. Collectively, the areas might add some 3,500 brand-new homes to the location.