URA tender for hotel site coming up

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THE Urban Redevelopment Authority (URA) will launch a public tender for a
hotel site at New Bridge Road in two weeks' time, it said yesterday.

The
0.45ha site was made available for sale through the government's reserve list
system in April 2007. Under the reserve list system, the government will put
up a site for public tender only if it receives an application from a developer
who commits to bid for the site at or above the minimum price which is
acceptable to the government.

URA said that it has received an
application from a developer who has committed to bid at a price of not less
than $43.9 million for the land parcel, which triggers the public
tender.

Analysts said that interest seems to be returning to small
development sites with good attributes.

Earlier this month, a government
tender for a small hotel site on Short Street closed with a whopping 14 valid
bids received. The number of bids - 15 in all, including one bid judged
invalid because it was below the minimum bid price - is one of the highest
received for a Government Land Sales tender.

The New Bridge Road site,
which can house a boutique hotel development with about 200 rooms, is also
thought to be attractive as it is very close to Outram Park MRT Station and
should receive several bids, analysts said. It has a maximum permissible gross
floor area of 168,853 sq ft.

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