The Urban Redevelopment Authority’s tenders for two 99-year leasehold private housing sites – one in Irwell Bank Road near Great World City, and the other near Bartley MRT station – closed yesterday with a healthy number of bids.
The site in Irwell Bank Road drew seven bids. The highest bid, from City Developments (CDL), was nearly $583.89 million, or $1,515.10 per square foot per plot ratio (psf ppr).
The second-highest bid, from a consortium comprising Far East Organization, Sino Group and Sekisui House, came in at $560.1 million, or $1,453.37 psf ppr. Frasers Property Jade bid $527.98 million or $1,370.01 psf ppr. The lowest bid, from Winvale Investment, was $409.89 million, or $1,063.60 psf ppr.
The site is near River Valley Primary School and the upcoming Great World MRT station. CDL said yesterday that it will explore a development comprising two 36-storey blocks with around 580 residential units and a basement carpark.
CDL group chief executive Sherman Kwek said: “The acquisition of the Irwell Bank Road site is in line with our selective land replenishment strategy and will allow us to further strengthen our presence within the River Valley-Grange Road area.”
Meanwhile, the Jalan Bunga Rampai site, near Bartley MRT station on the Circle Line, fetched nine bids, with Wee Hur Development placing the top bid of $93.39 million or $885.33 psf ppr. The plot may yield an estimated 115 housing units.
Ms Tricia Song, head of research for Singapore at Colliers International, said the bid amounts for both sites were lower than expected, reflecting the “cautious sentiment” amid uncertainties, ample upcoming supply and cooling measures.
However, the number of bids for both sites is still healthy, she noted, “but developers appear to be bottom-fishing with lower bids for sites”.
THE BUSINESS TIMES
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