More land released for private residential and commercial use for 2H

More land released for private residential and commercial use for 2H

 

More land has been released by the government for private residential and commercial development for the second half this year.

 

The National Development Ministry announced today that 13 new sites have been added to the Government Land Sales Programme.

 

The 13 sites comprise 6 residential sites, 3 commercial sites, 3 hotel sites and a white site.

 

With the 26 unsold sites from the first half this year, a total of 40 sites are available under the government land sale programme for the rest of this year.

 

Judging by the sites announced, Managing Director of Cushman and Wakefield, Donald Han, says the government seems to be taking a more prudent approach to the land sales.

 

“I think if you look into the commercial sites, we’re still looking at quite a bit of supply coming out in terms of the next two three years, assuming the sites are taken up. But it’s interesting to note that in the prime CBD area, the Marina Bay, where last year the government had released sites, currently, there’s nothing in the planning stage, the bulk of the commercial sites pretty much focus on fringe areas.”

 

Among the sites released are those in Jurong Lake District and Kallang Riverside.

 

Both areas have been earmarked for further development under the Urban Redevelopment Authority’s Master Plan 2008.

 

Other sites likely to attract attention from developers are the North Bridge Road site, which comprises the current Capitol Theatre, as well as the site at Mohamed Sultan Road.

 

While analysts believe the site at North Bridge road will probably attract most interest from developers due to the location,

 

Director of Research and Advisory at Colliers International, Tay Huey Ying, believes there’s one caveat.

 

“The conservation requirement will be hindrance and may therefore limit the number of bidders to those with prior experience in conservation projects. Although this site may attract keen competition, the higher risk associated with undertaking such conservation projects will affect the tender bids nevertheless.”

 

MND said the confirmed list sites will yield about 1,120 private residential units, 700 hotel rooms and 50 thousand square metres of gross floor area.

 

It added that a total of 32 sites will also be placed on the reserve list for the second half this year.

 

Source: 938Live

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