Colliers International has launched the tender for two adjoining freehold residential sites at 790 Upper Serangoon Road (pictured) and 1 Surin Avenue at an indicative price of S$40 million.
“Including a development charge of S$6.1 million, the price works out to be some S$934 psf,” said Tang Wei Leng, Executive Director of Investment Services at Colliers International.
Located in the vicinity of Upper Serangoon, the sites have a total land area of 42,846 sq ft and could be redeveloped to yield around 26 cluster terrace homes ranging from 3,500 to 5,000 sq ft per unit.
The 20,228 sq ft site at 1 Surin Avenue is occupied by a vacant, two-storey detached house, while the neighbouring 22,618 sq ft Upper Serangoon Road plot previously housed the Singapore Crocodile Farm.
According to Colliers, cluster housing appeals to buyers looking for bigger living spaces and investors keen on high rental yields.
New cluster developments could generate a rental yield of as much as four to five percent, up from three percent for conventional landed housing.
The tender for both sites will close on 15 August.