As the market slowly heats up once again, another China-based property developer has made the headlines for government land tenders.
The government land sale (GLS) site at Lorong 1 Realty Park has drawn a total of 11 bids – with the top bid of S$75.8 million (or S$526 psf ppr) coming in from China-based property developer group Fantasia Investment (Singapore), together with 2 individuals Yang Jinping and Sun Renwang.
Fantasia Investment is a property arm of Hong Kong-listed company Fantasia Holdings, who have also developed various projects in Singapore which include 6 Derbyshire at Novena.
The 2nd highest bid of S$62 million (or S$430 psf ppr) was submitted by Singhaiyi Investments together with Haiyi Wealth – which was approximately 18% lower than the top bid by Fantasia Investment.
The 99-year leasehold site at Lorong 1 Realty Park spans across a total area of around 144,221 square feet (sq ft) and was launched back on 20th April 2017 – under the Confirmed List of the 1H 2017 GLS programme.
The site is expected to yield around 50 landed homes.
Despite being well-connected and within close proximity to amenities such as Hougang Mall, Heartland Mall at Kovan and the Hougang MRT Station, the significant challenge for the developer is the site’s location along the rather noisy & busy stretch along Hougang Avenue 2.
In terms of demand, the busy traffic around the Lorong 1 Realty Park site will probably affect the demand and sale price of the future new launch condo project, which was reflected in the conservative bid amount from even the 2nd highest bidder of this land tender.