A residential plot at Woodleigh Lane has drawn strong interest from a total of 15 property developers and consortiums, with CEL Unique Development (a joint-venture between Chip Eng Seng Corp, together with Heeton Holdings and KSH) topping the rest with a bid of $700.7 million or $1,110 psf ppr (per square foot per plot ratio). The new project is known as Park Colonial.
The competition is in this land tender was tensed enough to see a total of 5 bids coming in at more than $1,000 psf ppr – with the top 2 bids being just a mere 0.8% apart and the top 4 bids within a tight 3.6% margin.
In fact, the 2nd and 3rd bid involved some of the biggest developers in Singapore – a joint-venture between WingTai and Keppel Land (submitted a bid of $1,101 psf ppr), and a joint-venture between City Developments Ltd and Logan Property (submitted a bid of $1,090 psf ppr) respectively.
According to analysts, the breakeven price for CEL would work to be in the range of $1,500 to $1,600 psf, which may eventually translate to a sale price for the future new launch at around $1,800 psf.
The subject 99-year leasehold plot has a land area of around 210,403 sq ft and is just situated next to Woodleigh MRT Station, which is adjacent to the future Bidadari New Town.
Based on the comparative market analysis, using the recent nearby condo launches, both Poiz Residences (next to Potong Pasir MRT Station) and Forest Woods (near Serangoon MRT Station) are transacting at just under an average psf of $1,400.
Such psf ppr prices for land tenders would have been a jaw-dropping phenomenon a year ago. However, this has gradually become a norm as developers have been bidding aggressively in the recent land tenders.
Just within the vicinity of Woodleigh MRT Station, Singapore Press Holdings (SPH) and Kajima Development have thrown in a massive bid of $1.132 billion (or $1,181 psf ppr) for a mixed-use site at the Bidadari New Town earlier in June 2017. The new project is known as The Woodleigh Residences.
In May, the site at Stirling Road also received a staggering bid from Logan Property and Nanshan Group for more than $1 billion as well.
Developers Chip Eng Seng and KSH have mentioned that the are planning to build a condominium with more than 800 units with 16-storey residential towers.