Singapore is characterized by a cityscape dominated by towering skyscrapers and state-of-the-art infrastructure. Condos, strategically situated in desirable locations, offer a harmonious blend of opulence and practicality that is sought after by both locals and foreigners. These residential complexes boast a plethora of facilities including swimming pools, fitness centers, and round-the-clock security services, elevating the standard of living and greatly appealing to potential renters and buyers. With these coveted amenities, investors can expect to enjoy higher rental returns and a steady increase in property value over time. Additionally, investing in a condo in Singapore provides a promising opportunity for long-term financial growth.
On December 3, the Urban Redevelopment Authority (URA) released two residential Government Land Sale (GLS) sites under the Reserved List of the 2H2024 GLS Programme. The sites, namely Holland Plain and River Valley Green (Parcel C), are currently open for application and will be triggered for sale only if a developer indicates a minimum price that is accepted by the government. If more than one developer reveals a minimum price near the government’s reserve price, a Reserved List site may also be considered for tender launch.
Spanning approximately 169,175 sq ft, the Holland Plain GLS site has a maximum gross floor area (GFA) of 304,522 sq ft and is capable of yielding 280 residential units. The site has a leasehold of 99 years and is located adjacent to the Holland Link GLS site, which was launched for tender on the same day. According to experts, this site has the potential to accommodate an estimated 230 units.
Huttons Asia’s CEO, Mark Yip, does not anticipate the Holland Plain site being triggered for sale. He believes developers will wait and observe the response to the Holland Link GLS site before making a decision. The tender for the plot will close in July 2025.
Another site available for application under the Reserved List is River Valley Green (Parcel C), situated next to the Great World MRT station on the Thomson-East Coast Line. This site spans 123,964 sq ft and has a maximum gross floor area (GFA) of 433,882 sq ft, and can potentially house an estimated 470 new housing units. Yip believes that this site is also unlikely to be triggered for sale, seeing as there is an existing tender for the neighbouring River Valley Green (Parcel B) plot, which is set to close in February next year. That site can yield 580 units, including 220 long-stay serviced apartments.
Additionally, the site is in close proximity to three other recently awarded GLS sites. In June, River Valley Green (Parcel A) was awarded to Winchamp Investment, a subsidiary of Wing Tai Holdings, after the developer submitted the highest bid of $464 million, equating to $1,325 psf per plot ratio (psf ppr). The site is set to be developed into a residential development comprising of over 400 units.
In April, Zion Road (Parcel A) was awarded to a joint venture between City Developments and Mitsui Fudosan after submitting the only bid of $1.107 billion ($1,202 psf ppr). The joint venture is looking to explore a mixed-use project at the site, featuring around 740 residential units, a retail podium, and a block with 290 rental apartment units.
Lastly, in August, Allgreen Properties was awarded Zion Road (Parcel B) for $730.09 million ($1,304 psf ppr). The site has a potential yield of 610 residential units.
According to Yip, given the upcoming supply from these three sites, there is “little incentive” for developers to trigger River Valley Green (Parcel C) for sale.