While the robust sales take-up of recent project launches gave developers’ confidence to replenish their landbank, it also raises the probability of the Government stepping in to stabilise the market. Thus developers are expected to be cautious so as to manage any downside risks.
Bayshore Road
The Bayshore Road GLS is significant due to its many firsts. It is the first private residential site in the upcoming Bayshore precinct. It is the first private residential site to have doorstep access to Bayshore MRT station. It may be the first private residential site offering both sea views and doorstep access to a MRT station.
With the TEL line, residents can get to the Downtown in around 20 minutes. Temasek Primary School is within 1km to the site. In the future, there will be a mixed commercial and residential development above Bedok South MRT station which is one stop away.
The strong demand of more than 5,000 applicants for the 1,006 4-room flats in the two Bayshore BTOs attests to the popularity of living near the East Coast.
It may attract up to 4 bidders. The last GLS site sold along East Coast was Seaside Residences for $858 psf ppr in Jan 2016. Taking into account the different site characteristics and market conditions, the top bid may be around $1,200 psf ppr or up to $570 million.
Media Circle (Parcel A and B)
The Media Circle (Parcel A and B) GLS sites are located in one-north, Singapore’s premier R&D hub. They are also close to Singapore Science Park and NUS. Demand for homes in one-north has been robust. Of the 424 units launched in one-north since Apr 2023, close to 75% has been sold, attracting a good mix of owner-occupiers and investors.
Investors can tap on the tenant pool in one-north, Science Park and NUS. Families with children studying in the nearby Tanglin Trust School may be potential tenants as well. Rents for 2- to 4-room apartments in one-north range from $5,300 to $9,200 per month on average, about 20% to 30% higher than $4,100 to $7,700 monthly rents in the Dover area.
The two sites have different tender closing dates. This will allow developers to monitor interest in the area and help them to formulate tender bids. It may also mean the supply of new homes in Media Circle will be well spaced out. The last bid in Media Circle was $1,191 psf ppr in Feb 2024. Each site may attract up to 3 bidders and the top bid may be between $1,000 and $1,100 psf ppr or up to $494 million.
