URA releases more land

Sembawang, Stirling Road parcels to meet hot demand for landed properties

05:55 AM Sep 17, 2010
Millet Enriquez and Mok Fei Fei

SINGAPORE - The Urban Redevelopment Authority has released more land for sale, including a site earmarked for landed housing that will meet the growing demand for such prized real estate.

Under the Confirmed List of the Government Land Sales (GLS) Programme for the second half of 2010, the URA yesterday put up for auction 14 land parcels located at Sembawang Greenvale that can potentially yield 115 landed housing units. It is also releasing a land parcel at Stirling Road for sale under the Reserve List of the GLS.

Although the Government has taken stringent measures in granting PR status, market observers said it would still be on track in attracting immigrants who will further prop up the market for landed properties.

"There is a pent-up demand for such land," said Mr Nicholas Mak, executive director of research and consultancy at SLP International.

"In the last year, prices of landed properties have grown an average of 43 per cent compared to 37 per cent for non-landed properties," he noted.

The land parcels at Sembawang Greenvale will likely attract healthy bids from small developers and construction businesses, with land prices ranging from $150 psf to $240 psf, Mr Mak said.

Located along Sembawang Road, Sembawang Greenvale is situated next to the established landed housing estates at Straits Garden and Sembawang Straits Estate. Some of these land parcels come under new building guidelines in a pilot URA programme, allowing architects more creative leeway.

But while demand for land continues to be strong, Mr Colin Tan, Suntec Chesterton International's head of research and consultancy, said it was unlikely that the government would have much supply for landed property. He added developers would be more keen on sites for condominium projects.

The Sembawang land parcels will be sold via public auction on Oct 28.

The Stirling Road land parcel has a site area of about 1.05 hectares and a plot ratio of 4.2. With a maximum permissible gross floor area of about 475,000 sq ft, the 99-year leasehold site can potentially yield about 445 housing units. Mr Mak said the price for this property could range from $460 to $500 per square foot per plot ratio.

Source: http://www.todayonline.com