Tampine’s site for executive Condo receives six Bids

Tampine’s site for executive Condo receives six Bids

Last month an executive condominium site in avenue 8 of Tampines was launched. This site has gained 6 bids so far. Unexpectedly the bid rates are slightly higher than the market expectations. Authorities are evaluating these received bids for this project.
The toppest bid was for S$187.6 million or it can be stated as $302 per square feet for each plot ratio has been received from consortium that is a joint bid from Hoi Hup Realty, SC wong Holdings and Sunway Developments.

This site was put to tender on 6th October and it yields 20600 square meter site. This site is supposed to contain 525 building units init.

This bid price is higher than expected bid price that was almost S$220 – S$280 per square feet ppr. The total area is almost 57680 square meters.

Another top bid that comes at 2nd place was placed by another joint venture of consortium that comprises of Lum Chang building contractors and Opal Star. They offered a price of S$172.8 million or it can be stated as S$278 per square feet per plot ratio for this tender. That has been closed yesterday at noon.

Executive condo sites that were released in 2nd half of the recent year are still waiting to be tapered off.

Two sites that were launched for tenders, one at Punggol got 4 and 5 bids each. These were closed in June & September this year. Another site that was launched for tender in august this year at Jurong west didn’t got any bids in the market.

Mr Li Hiaw ho who is executive director of CBRE research has said that this strong bid competition for Tampines land Parcels represent that developers and builders are very sure about the best productivity of this site.

He also mentioned that this site is quite near to many places in Tampines for example it is at walking distance to Bedok Reservoir and Temasek Polytechnic. Tampines Central, Tampines MRt stations and Tampines Rtail part is also very near to this place. Courts outlets and Ikea are also at near distance from this site. So this site has got a lot of potential in it.
Mr. Li says that the price of S$302 per square feet means that the break-even cost will go to S$600-S$620 per square feet.

MR. Li also said that we have experienced an average sale of S$838 per square feet last week on another site that is Water view, it is basically a private condo situated at Bedok Reservoir and contains 200 units that are sold now. He also added we can have a good market for this project called as EC project if we will be able to price it with a difference of about 15 – 20 % lower than the other Water view project.

It will be finally selling out at a price of S$670 – S$712 per square feet.

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Mindy Yong

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Over 1300 families have been benefited by Rental flat scheme »« Bounce back in land prices for EC housing

Bounce back in land prices for EC housing

Bounce back in land prices for EC housing

In the executive condo (EC) housing land a rebound in price has been experienced. Recently this rebound in prices has been seen in the market.

A top bid of S$302.14 has been seen on an EC site located at Tampines avenue 8 last day. This bid price is for per square foot per plot ratio. This bid has been placed by a joint venture of Sunway Developments, Hoi Hup Realty and SC Wong holdings. According to analysts this land price is 15% higher than the bid price placed on previous project in Pasir Ris thae bid price for that project was S$263 psf ppr. That tender was closed last month. On the current tender for Tampines 6 bids have been received and it has been closed for anylysis.

There has been two different thought about this high bid on Tampines project. Some people say that it is due to growing prices of property in Singapore but Wong Sjew Hung who is director of Hoi Hup says that Tampines is more mature then the previous tender of Pasir Ris’.

Cushman and Wakefield who is senior manager of Asia-pacific Research says that this rise in bid price is not only due to positive response of previous tender but it is also due to the positive attitude of the market and the location of the project. All these factors make this bid price higher as compared to previous project. Strong sales have been seen by developers in last month.
He also said that another reason for this high bid price the well acceptance of EC projects. More response is seen by buyers in these projects. The reason is the less rent and 99 years lease term provided to the buyers.

For the first ten years the ECs are not allowed to be sold and after that the owner is free to sale or privatizes his property. This limitation has to be obeyed by the buyer. Such buyers who are eligible for buying these houses are welcomed to buy them freely. There are very easy and simple criteria to buy a home in ECs and if you have a monthly house hold income of about S$10000 then you are eligible to buy a property in ECs project.

Ong Teck Hui who is Credo Real Estat executive also stated that the 15 % increase in bid price for Tampines as compared to Pasir Ris plots is due to the good location of this project. Another reason is that these plots have better configuration then the previous plots. It is also said to be the first EC site that will be released in Tampines this year. So it is quite normal to have such bid price.

This is positive attitude to have such bid price for this project. This project will be given at 99-year private lease.

The comparison of top bids received on this project are the ranked one bid is 8.6 % higher than the second top bid placed that is S$172.8 million or it can be stated as $278 psf ppr this bid has been placed by Frasers Centerpoint and Lum Chang Bulding Contractors. 3rd top bid was from Grand Isle Holdings and the bid was for S$260 psf ppr another company El development offered a price of S$239 psf ppr.

Buy Sell Rent invest In Singapore Property Real Estate

Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

www.property-elite.com

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