Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
Eugene Lim, primary executive officer at ERA Singapore, indicates that there has actually been “a dilution in need” for Lentor Central because of the large number of areas to be released under the second half 2023 GLS program.
The leading proposal is partially lower than the $985 psf ppr paid by a joint business venture in between GuocoLand along with Hong Leong Holdings for the Lentor Gardens area in April 2022, explains Leonard Tay, head of research at Knight Frank Singapore. “The most up to date government land tenders in the Lentor district stand for amongst the lowest land fees when compared to the previous 4 GLS spots granted from 2021 in the Lentor location,” he includes.
The tender for the residential government land sale (GLS) spot at Lentor Central closed on Sept 12, together with the tender for the area at Champions Way.
” We are thrilled to attain the greatest proposal at Lentor Central which views our 4th location in the Lentor Hills Estate place,” stated a spokesman of Hong Leong Holdings. “If granted, we prepare to build a nonpublic non commercial project with approximately 475 units in two high-rise blocks, where citizens will take advantage of the benefit of neighboring services and Lentor MRT station, contributing to the spot’s general appeal to potential customers.”
Furthermore, many property developers may be more careful as there are macroeconomic unpredictabilities, elevated rate of interest, as well as cooling measures, states Justin Quek, deputy ceo of OrangeTee & Tie.
Tembusu Grand showflat location
” They might likewise be holding back as even more land could be launched upcoming year,” Quek adds. “The state has indeed already declared a lot more new land plots to be introduced or old buildings/sites register for redevelopment.”
“Both bids for the Lentor Central plot show the significantly unconfirmed and defensive view amongst developers, in addition to the truth that the Lentor area may have way too many condominium projects, all being established in just a couple of years of one another,” claims Tay.
The Lentor Central place attracted merely 2 proposals, with the leading proposal of $435.1 million submitted by a consortium making up Hong Leong Holdings, GuocoLand as well as CSC Land Group. This works out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft location. The bid was 5.9% higher than the $410.8 million ($ 927 psf ppr) provided by Frasers Property.
Knight Frank Singapore’s Tay says that the most likely asking price for the residential units of this property could start from over $2,000 psf, comparable to the $2,080 psf unit price of Lentor Hills Residences which launched in July.
ERA Singapore’s Lim statements that the Lentor Central site falls inside the Ang Mo Kio Planning Area as well as near to Lentor MRT terminal and established colleges, for example, CHIJ St. Nicholas Girls’ School, Anderson Primary School and Presbyterian Secondary School.
Six GLS locations in Lentor have actually been tendered to date, with one more spot currently on the Reserve Listing. Together, the locations can add some 3,500 brand-new residences to the place.
