Lentor Central GLS site receives two bids, highest bid at $982 psf ppr
ERA Singapore’s Lim statements that the Lentor Central site falls throughout the Ang Mo Kio Planning Area and also in close proximity to Lentor MRT station and even existing schools, such as CHIJ St. Nicholas Girls’ School, Anderson Primary School and even Presbyterian High School.
” We are glad to attain the highest quote at Lentor Central which notes our fourth spot in the Lentor Hills Estate area,” stated a spokesperson of Hong Leong Holdings. “If granted, we intend to build a nonpublic non commercial project with around 475 units in 2 high-rise blocks, where residents will benefit from the convenience of close-by facilities and even Lentor MRT terminal, adding to the site’s overall appeal to future customers.”
Furthermore, several property developers might be much more cautious as there are macroeconomic worries, increased rate of interest, and also moderating measures, claims Justin Quek, deputy chief executive officer of OrangeTee & Tie.
The tender for the residential government land sale (GLS) site at Lentor Central closed on Sept 12, along with the tender for the site at Champions Way.
The Lentor Central site drew only 2 quotes, with the main proposal of $435.1 million provided by a consortium making up Hong Leong Holdings, GuocoLand and CSC Land Group. This works out to $982 psf per plot ratio (psf ppr) for the 99-year leasehold, 158,264 sq ft site. The proposal was 5.9% more than the $410.8 million ($ 927 psf ppr) provided by Frasers Property.
” They may additionally be restraining as more land can be released next year,” Quek adds. “The authorities has indeed actually declared much more new ground parcels to be published or older buildings/sites register for redevelopment.”
The leading bid 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 last year, mentions Leonard Tay, head of research study at Knight Frank Singapore. “The latest government land tenders in the Lentor district represent among the lowest land prices when looked at to the previous 4 GLS locations awarded from 2021 in the Lentor area,” he includes.
Knight Frank Singapore’s Tay explains that the likely asking price for the non commercial units of this project could commence from above $2,000 psf, identical to the $2,080 psf unit rate of Lentor Hills Residences which introduced in July.
“Both proposals for the Lentor Central plot show the significantly undecided and also protective sentiment among developers, along with the fact that the Lentor area might have too many condo plans, almost all being established in just a couple of years of each other,” states Tay.
Eugene Lim, key director at ERA Singapore, indicates that there has been “a dilution in interest” for Lentor Central because of the large quantity of spots to be launched under the second half 2023 GLS program.
6 GLS areas in Lentor have been tendered to date, with another spot currently on the Reserve Listing. Collectively, the areas might add some 3,500 brand-new homes to the place.