Sengkang site receives top bid of S$247m

The tender for a 99-year leasehold site at Buangkok Drive / Sengkang East Drive closed yesterday, with Qingdao Construction (Singapore) Pte Ltd offering the highest bid of S$247 million.

“The top bid of S$247.0 million or S$391 psf/plot ratio is within market expectations,” said Mr. Li Hiaw Ho, Executive Director of CB Richard Ellis (CBRE).

“A new project will breakeven at S$760 psf – S$780 psf. Currently, units in H2O Residences at Sengkang West Avenue / Fernvale Link are being marketed at the median price of S$940 psf. Some 330 units of this 521-unit condominium have been sold to date.”

Meanwhile, the second highest bid was jointly submitted by Opal Star Pte Ltd and Lum Chang Building Contractors Pte Ltd at S$239.8 million. Other groups which participated in the tender were Centurion Re Pte Ltd (S$196.9 million) and Best Desire Investments Limited (S$145.2 million).

Launched on 30 March 2011, the site has a total area of 19,549.2 sq m and a maximum permissible gross floor area (GFA) of 58,647.6 sq m. It is zoned for condominium housing of about 20 storeys and can potentially yield up to 550 housing units.

Mr. Li added that the site is situated at Buangkok Drive / Sengkang East Drive and adjacent to the Austville Residences executive condominium. It is also close to Kangkar LRT station and Rivervale Plaza.

HDB said it will evaluate the tender result and a decision on the award will be made at a later date.

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