The Urban Redevelopment Authority (URA) has announced tenders for two residential properties located in Holland Link and Chuan Grove.
The plots form part of the 5,050 residential units that will be released under the approved list of the government’s sale of land (GLS) programme for the second quarter of 2024 to cater to rising demand for housing and ensure market stability.
The land located in Holland Link has a site area of 17,069 sq m and the maximum gross floor area (GFA) of 23,897 square m.
URA estimates that the site could yield around 300 units. The maximum height of a building in this plot is six storeys.
The other confirmed-list plot in Chuan Grove has a site area of 15,831.5 sq m, and a maximum GFA of 47,495 sq m. It could yield around 555 units.
A minimum GFA of 500 sqm is set for the childcare facilities on the Holland Link and Chuan Grove sites.
The development was sold at an average of $2,579 per square foot (psf) during its launch weekend.
The Chuan Grove development site is likely to be in great demand by residents of Serangoon Gardens and Chiltern estates, Bartley, Serangoon Central as well as HDB upgraders.
Within the next four years, an estimated amount of 3,815 HDB flats (four-room and larger) located in Toa Payoh will fulfil their minimum occupation period and the Chuan Grove site being one of the options for buyers to upgrade.
The Lorong Chuan area has had an insufficient supply of new homes. The most recent new home launch within the region was Cardiff Residence which took place in 2011.
Developers could be motivated by Chuan Park’s superior sales performance and will likely submit bids in order to capitalize on the spillover effects from the slack demand in the vicinity.
The Chuan Grove site is expected to be a magnet for up to five bidders with the highest offer reaching $1,250 per plot.
The second confirmed site is near Brizay Park Good Class Bungalow Area.
Fourth Avenue Residences was the most recent 99-year Leasehold Launch in the region in January of this year. The project was able to achieve an average of $2,658 per square foot in 2024.
A GLS site in Holland was sold to a CapitaLand/UOL consortium for $1,285 per square ft annually, in May.
Holland Link will have between two and one bidder and a bid that is between $1,200 to $1,300 per square foot.
In the announcement, URA also released two sites located in Holland Plain and River Valley Green (Parcel C) for application under the reserve list.
The parcel in Holland Plain has a site area of 15,716.9 sq m, and an maximum GFA of 28,291 sq m. This could yield 280 units. The other plot in River Valley Green (Parcel C) can potentially provide for up to 470 houses, with an area of 11,516.6 sq m, and a GFA of 40,309 sq m.
These two sites aren’t likely to be sold.
He added that, with regard to the Holland Plain plot of land, developers will likely be waiting to see the results of the Holland Link GLS before making the final decision.
River Valley Green has already launched several other sites available to be sold.
There is a tender currently in process for River Valley Green (Parcel B) that will expire in February 2025.
If Parcel B is sold it will result in approximately 2,090 units of River Valley Green (Parcel A), as well as Zion Road (Parcel A) and (Parcel B) plots. There is little incentive for developers to trigger the sale of the property.
The confirmed list sites are launched according to schedule without regard to demand, a property on the reserve list is put up for tender after a developer has made an offer that is acceptable to the government. It will continue to release an ongoing supply of residential units owned by private individuals in the coming GLS programs, and the supply being calibrated to reflect the market’s economic and property conditions.
The tender for the Chuan Grove site will end at noon on July 8, 2025, while the Holland Link site’s tender will close on July 29, 2025.