Punggol Drive site receives four bids

The public tender for the site located at Punggol Drive / Punggol East closed yesterday with four bids.

Qingdao Construction (Singapore) offered the top bid of $136.2 million, which works out to $237 psf, below analysts’ estimates of $250 psf to $290 psf.

The second-highest bid came from Sunway Developments, SC Wong Holdings and Hoi Hup Realty at $133.2 million.

ChoiceHomes Investments Pte Ltd and CEL Development Pte Ltd offered $119.9 million for the 15,700 sq m site, while the lowest bid came from Frasers Centrepoint Limited at $103.4 million.

“The site received a fair response of four bids. The quantum of bids is quite modest, which is expected for a location that is lacking in amenities and further away from the Punggol Central,” said Mr. Li Hiaw Ho, executive director for CBRE Research, adding that units in the new EC project will possibly sell for around $600 psf.

“With the government’s plans to develop Punggol New Town into a residential estate with mostly waterfront housing, the executive condominium project will be attractive to young couples and couples with young children,” added Mr. Li.