HDB launches Hougang residential site for condo development

HDB has launched a residential site at Hougang Avenue 7 for application by interested developers.

According to HDB, the 99-year leasehold land parcel is on the Reserve List and can yield up to 395 condo units.

The site has a maximum gross floor area of 471,102 sq ft, a maximum gross plot ratio of 2.8 and spans 168,251 sq ft.

It is close to Kovan and Hougang MRT stations, as well as Heartland Mall, Hougang Mall and Hougang Plaza.

Based on caveats lodged, units at nearby Kovan Residences were sold between $798 psf and $1,009 psf in February.

About two weeks ago, the government also released a residential site on the Reserve List at Hougang Ave 2 for interested developers. Another four plots will be released soon.

In addition, four more sites from the Confirmed List will also be made available to the market.

The authorities have ramped up the release of sites under the government’s land sales programme for the first half of 2010, as home prices spiked in 2009, and developers put in fierce bids during the state land tenders.

On Monday, National Development Minister Mah Bow Tan also announced that the land sales programme for the second half of 2010 will carry a greater variety and larger number of sites in the Reserve List.

However, Chua Chor Hoon, research head for DTZ in Southeast Asia, said that it is likely for the sites to receive “good demand” in the current land sales programme.

“With the H2 2010 land sales programme still a few months away, developers will not wait for it to be announced as some need to replenish their land bank and there are attractive sites in the H1 2010 programme.”

Meanwhile, property developers continue to see fairly healthy demand for recently launched projects.