News: Bidadari mixed-use site attracts $1.132 billion top bid

Jun 14, 2017

SPH and Kajima Development jointly submitted the top bid of $1.132 billion for the site at Upper Serangoon Road. (Source: HDB)

The highly anticipated tender for a mixed commercial and residential site in Bidadari closed on Tuesday (13 June) after attracting 12 bullish bids from property developers, revealed the Housing and Development Board (HDB).

Singapore Press Holdings (SPH) and Kajima Development joined forces to submit the top bid of $1.132 billion for the approximately 273,842 sq ft site. The staggering price translates to $1,181 psf per plot ratio (psf/pr).

The second-highest bid of around $1.118 billion came from Far East Civil Engineering and Sekisui House. Other bidders included big-name players such as CapitaLand, GuocoLand and Frasers Centrepoint Limited.

Tay Huey Ying, Head of Research & Consultancy at JLL Singapore, noted that the top bid is some 50 percent higher than the $775 psf/pr paid for the nearby The Poiz Centre and The Poiz Residences mixed-use site in August 2014.

“That the highest bid was submitted by a local firm should arrest some concerns that foreign players are increasingly edging out local developers in vying for development land,” she said.

Located at Upper Serangoon Road, the land parcel was previously scheduled to go on sale in December 2016, but was deferred to March this year to allow the site requirements for the comprehensive development to be finalised.

Offered on a 99-year lease, the site could yield about 825 homes. The future project will also be integrated with a community club and neighbourhood police centre.

The HDB said a decision on the award of the tender will be made after the bids have been evaluated.

 

Romesh Navaratnarajah, Senior Editor at PropertyGuru, wrote this story. To contact him about this or other stories, email romesh@propertyguru.com.sg

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