Huttons’ comments on Orchard Boulevard GLS site

18 October 2023

The Orchard Boulevard GLS site is the first mixed-use site offered for sale in Orchard since the sale of a site along Orchard Road/Paterson Road in 2005. The commercial component provides added convenience for buyers on top of Tanglin Mall and the Orchard Road shopping belt which are nearby. The site will also enjoy doorstep access to Orchard Boulevard MRT station making travel a breeze.

Mixed-use developments with a direct connection to a MRT station have seen good sales in the past few years. Tenants are also willing to pay a premium to stay in these mixed-use developments.

However with the cooling measures crimping demand from foreigners, the unit mix, size and quantum will have to cater more towards the local market. While the smallish site may translate into a palatable quantum, developers are likely to tread carefully especially when interest rates may stay higher for longer.

Nevertheless it is still a very attractive site. There may be 1 to 3 bidders and the top bid could be around $1,500 psf ppr.