The growth in prices in the property market in 3Q 2023 and the strong crowd turnout at the project launches in Nov 2023 may have led to an increase in confidence among developers. This may have resulted in the strong bid prices for the three GLS sites.
The tenders for Clementi Ave 1 and Pine Grove (Parcel B) attracted 6 and 3 bidders, respectively. The proximity of the two sites may have diluted the participation for some developers as they chose 1 over the other.
Clementi, home to many good schools from primary to tertiary, usually sees very strong demand for project launches on the first day. Clavon sold 70% of its units on launch day in 2020, Parc Clematis sold 70% of the units released for sale in 2019 while The Clement Canopy sold 80% of released units on the first day of sales in 2017.
Lor 1 Toa Payoh GLS site saw a strong bid price as it has been 8 years since the last GLS site was sold for private housing. The potential pent-up demand for homes in this popular HDB estate and the lack of competition could have led to the strong bid. Past project launches in Toa Payoh like Gem Residences and Trevista have sold more than 50% on the first day, affirming the popularity of Toa Payoh estate among buyers.