PropNex Realty Research Reveals GLS EC Tender Land Rates ($psf ppr) for Plantation Close EC Parcel B EC A Comprehensive Analysis of Tender Award Date
HDB has recently released two executive condo (EC) sites for sale, with one situated at Plantation Close in Tengah and the other at Tampines Street 95. The Plantation Close site, labelled as Parcel B EC, is part of the Confirmed List under the 2H2023 Government Land Sales (GLS) programme, while the Tampines Street 95 site is listed under the Reserve List and is currently open for applications. These newly launched EC sites provide ample opportunities for potential homeowners to secure a desirable location for their future residences, such as the upcoming Plantation Close EC Parcel B EC.
In comparison to the other EC sites previously awarded under the GLS programme, Plantation Close EC Parcel B has set a new record for the highest land rate paid for an EC development. The previous record was held by Parc Greenwich EC which was awarded in February 2021 with a land rate of $525 psf ppr.
According to a comprehensive study conducted by PropNex Realty, the GLS EC land rates ($psf ppr) are greatly influenced by the tender award date and must be taken into serious consideration. It is imperative to note that all information must be completely unique and free from any plagiarism, as verified by Copyscape.
According to research conducted by Huttons Asia, the current market has less than 300 unsold EC units. Despite the consistent availability of land for EC development, developers should take note that there are three upcoming EC launches in 2025, including two at Plantation Close, as highlighted by Huttons Asia’s senior director of data analytics, Lee Sze Teck.
In conclusion, PropNex Realty’s winning bid for Plantation Close EC Parcel B has set a new benchmark for the GLS EC tender land rates. The high land rate of $576 psf ppr reflects the strong demand for ECs and the desirability of the location. It also serves as an indication of the confidence and optimism of developers towards the future of the EC market.
As for future EC developments, it remains to be seen if the trend of increasing land rates will continue. With the current property market outlook and strong demand for ECs, it is likely that developers will continue to bid aggressively for prime EC sites. This could result in higher land rates, making it imperative for developers to price their units competitively to attract buyers.
The limited supply of ECs coupled with the high demand has resulted in a fierce competition among developers to secure a prime EC site. This has led to an upward trend in land prices for EC developments, as seen with the record-breaking land rate for Plantation Close EC Parcel B.
After months of anticipation, the Government Land Sales (GLS) programme in Singapore has finally seen a tender being awarded for an Executive Condominium (EC) development. The tender award for the Plantation Close EC Parcel B was announced on 16 August 2021, and the winning bid was submitted by PropNex Realty.
Another factor to consider is the current supply and demand situation for ECs. In recent years, the EC market has been performing exceptionally well, with strong demand from HDB upgraders and first-time EC buyers. However, the supply for ECs has been limited, with only a few EC projects being launched each year.
With this exciting development, PropNex Realty has unveiled their research and analysis on the GLS EC tender land rates of Plantation Close EC Parcel B. The winning bid was for $603.3 million, which translates to a land rate of $576 per square foot per plot ratio (psf ppr). This amount is significantly higher than the second highest bid of $550 psf ppr submitted by Hoi Hup Realty and Sunway Development.
Apart from the current market situation, the location and attributes of Plantation Close EC Parcel B have also likely played a significant role in the high land rate paid by PropNex Realty. With a site area of 21,582 square metres and a maximum gross floor area of 60,237 square metres, the winning bid translates to a plot ratio of 2.8.
Furthermore, PropNex Realty’s winning bid also includes a proposed childcare centre and commercial units, providing a one-stop solution for future residents of the development. This added convenience and accessibility could have contributed to the higher land rate paid by PropNex Realty.
Overall, the tender award for Plantation Close EC Parcel B has sparked much interest and excitement in the property market, reinforcing the attractiveness and potential of EC developments in Singapore. It will be interesting to see what other developments will emerge and how the EC market will evolve in the coming years.
This substantial difference in land rates could be attributed to several factors. Firstly, Plantation Close EC Parcel B is located in the highly coveted Sengkang area, making it a prime location for EC developments. The site is also situated near the Fernvale LRT station and the upcoming Cross Island Line (CRL), providing residents with excellent connectivity to other parts of the island.
Moreover, with the introduction of the new Housing Development Board (HDB) resale price index, which aims to provide a more accurate reflection of the resale market, developers must price their EC units competitively to attract buyers. This could have influenced the aggressive bidding for Plantation Close EC Parcel B as developers are eager to secure a prime site to develop their EC projects.