Rolled over sites to steal limelight in H1 2014 GLS

PHOTO: Rolled over sites to steal limelight in H1 2014 GLS

Ministry of National Development (MND) may have introduced seven new sites across the confirmed and reserve lists for the H1 2014 Government Land Sales (GLS) Programme, but it is the older sites on the current H2 2013 slate being rolled over that will steal the limelight.

Among private condo sites, the 2.5-hectare land parcel at Prince Charles Crescent (Parcel B) is expected to garner the most interest, as this is the only site on the confirmed list that is located in the city fringe, said DTZ's head of Singapore research, Lee Lay Keng. The site, which can generate about 655 homes, is next to Wing Tai's The Crest condo project.

Among EC sites, Ms Lee said the land parcel in Choa Chu Kang Drive is likely to attract a higher number of bids, taking into account demand from upgraders living in the Choa Chu Kang area.

"Developers may be more confident about this site, given that the adjacent EC development, The Rainforest, is already fully sold," she added.

The site, which can generate about 535 units, is a short distance from Choa Chu Kang MRT station, town centre and the Lot One Shopper's mall.

Next to Potong Pasir MRT station, a commercial and residential site along Upper Serangoon/Meyappa Chettiar roads, is also expected to be popular.

CBRE Research associate director Desmond Sim said: "Interest in this land parcel is expected to be healthy as it is in line with the government's plans for the Bidadari precinct."

The above three sites will be moved from the reserve list of the current H2 2013 GLS Programme to the confirmed list for the first half of next year.

Reserve list sites are launched for tender only upon successful application by a developer, unlike sites on the confirmed list, which are released according to a prestated schedule regardless of demand.

Among the new sites on the confirmed list are two pairs of adjacent sites with simultaneous tender closings for each set under the "batched tender" system. MND noted this is to "encourage more prudent bidding by developers".

The first pair of sites, in Yishun St 51, are for EC development and will be launched in March.

In June, the second pair of adjacent sites, along Fernvale Road in Sengkang West, will be launched. These are for private housing development.

Chia Siew Chuin, director of research and advisory at Colliers International, noted that the sites are in a fairly-new locale and offer "early-mover advantage".

Residents in the new projects on these two sites will be served by the Seletar Mall.

The site is next to an LRT station that is linked to Sengkang MRT station.

On the reserve list, Ms Chia highlighted the new private housing site in Margaret Drive for its good locational attributes that will be popular with home buyers.

"The site is in the mature estate of Queenstown with existing amenities, including the Commonwealth and Queenstown MRT stations.

"Moreover, there should be a sizeable pool of potential HDB flat upgraders from the Commonwealth, Queenstown and Redhill estates - given that HDB resale flat prices in these centrally-located areas tend to be higher than the general price levels of most public flats."

Existing reserve list sites carried over to the H1 2014 reserve list also include some private housing sites in choice locations that could be triggered for launch by developers, noted Ms Chia.

These include Alexandra View (Parcel A), next to Redhill MRT station; a land parcel in Siglap Road near the East Coast Park and its amenities; and a plot at Boon Lay Way near Lakeside MRT.

Others include a site in Lorong Lew Lian near Serangoon MRT station and nex shopping mall; as well as a land parcel in Toa Payoh Lorong 6/Lorong 4, a stone's throw from Braddell MRT station, she added.

CBRE's Mr Sim expects the white site in Marina View to be triggered from the reserve list within the next six to 12 months, against the recovery of the Grade A office rental market.

Giving its take on MND's H1 2014 GLS Programme, the Real Estate Developers' Association of Singapore said it "supports the Government's calibrated approach . . . to ensure a sustainable and stable real estate market going forward".

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