Residential sites at Holland Drive and De Souza Avenue for sale on Reserve List

at $380 milOn Nov 16, the Urban Redevelopment Authority (URA) released two residential sites for sale on the Reserve List as part of the 2H2023 Government Land Sales (GLS) programme.The Holland Drive site is located in prime District 10, next to various amenities at the One Holland Village mixed-use development and within walking distance of the Holland Village MRT station. It has a land area of 133,330 sq ft and a maximum gross floor area (GFA) of 626,665 sq ft, and it can be developed into a 680-unit residential project.The expected price of more than $1 billion could put off some of the local bidders. However, developers may form a consortium to bid together.The second site, located on De Souza Avenue, is just off Jalan Jurong Kechil in the Upper Bukit Timah area and has a land site of 207,154 sq ft with a maximum GFA of 331,453 sq ft. It is anticipated that the site could be triggered for sale as the expected quantum is half that of the Holland Drive site, and the area has limited supply of new development land. The site could be developed into a 335-unit new residential project and the top bid is expected to be between $1,200 and $1,300 psf ppr or a quantum price of between $397.74 million and $430.88 million.

On Nov 16, the Urban Redevelopment Authority (URA) released two residential sites for sale under the 2H2023 Government Land Sales (GLS) programme. The Holland Drive site in District 10 is deemed the more attractive of the two, located next to various amenities at the One Holland Village mixed-use development and within walking distance of the Holland Village MRT station. The land area of 133,330 sq ft and a maximum gross floor area (GFA) of 626,665 sq ft can be developed to yield a 680-unit residential project.

The expected bid price is likely to exceed $1 billion, which may put off some of the local bidders. Developers may form a consortium to bid together, which they are increasingly doing.

The second site, located on De Souza Avenue, sits on a land site of 207,154 sq ft with a maximum GFA of 331,453 sq ft and the expected quantum of $500 million is half that of the Holland Drive site. The area is limited in terms of new residential development land and the site could be developed into a 335-unit new residential project.

Huttons’ Lee anticipates that the De Souza Avenue site is slightly more likely to be triggered for sale. If so, the top bid is expected to be between $1,200 and $1,300 psf ppr or a quantum price of between $397.74 million and $430.88 million.

The future development in Tengah EC is quite advantageous given its proximity to the city center, Jurong Innovation District, as well as the CBD. It is a short 30-minute drive away from Jurong Lake District, the second largest Central Business District across Singapore apart from the city core. Not only that, with the development being close to a nature reserve, it presents the perfect chance for families with children to find a suitable home here with Tengah EC.

However, the De Souza Avenue site is not near any MRT station, which is an important factor for buyers today. The nearest MRT station is Beauty World MRT, about 1km away. With this in mind, the area remains popular among local homebuyers and the last GLS residential site awarded on the same street was in Sept 2018, bidding at a price of $215 million or $1,002 psf per plot ratio (ppr). The project, developed as the 258-unit Verdale, sold out at an overall average price of $1,782 psf in May last year.

Meanwhile, the cooling measures with an additional buyer’s stamp duty (ABSD) of 60% could suppress bidding demand for both sites.

In the 2H2023 programme, only three sites on the Confirmed List and one more on the Reserve List are still available for sale, all four located in the Rest of Central Region.