Frasers Property-led consortium outbids two others with S$2.13 billion offer for Bayshore Drive mixed-use site
Top bid for 99-year leasehold plot works out to about S$1,323 psf ppr
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[SINGAPORE] A large mixed-use commercial and residential site in the new Bayshore neighbourhood has fetched three bids at the latest state tender.
The top bid, by a consortium comprising Frasers Property, Frasers Centrepoint Trust (FCT), Sunway MCL, Sekisui House and Lum Chang Building Contractors, was nearly S$2.13 billion, which works out to around S$1,323 per square foot per plot ratio (psf ppr).
The consortium’s offer was 5.8 per cent higher than the second-highest bid of S$2.01 billion, or S$1,250.41 psf ppr, which came from a consortium that included City Developments, Hong Leong Holdings, Hong Realty and TID.
The lowest bid of nearly S$1.99 billion or S$1,235 psf ppr was from a tie-up involving CapitaLand Development, a UOL consortium and CapitaLand Integrated Commercial Trust.
The future development on the 618,500 square foot (sq ft) Bayshore Drive site, which will have up to 1,280 new private homes, will be integrated with the upcoming Bedok South MRT station on the Thomson-East Coast Line, a new bus interchange and retail spaces.
The 99-year leasehold site can be built up to a maximum gross floor area (GFA) of nearly 1.61 million sq ft.
The provisional results for the tender closing on Wednesday (Jul 15) were within market expectations. Analysts polled by The Business Times on Monday forecast one to five bids for the site, with the top bid projected at S$1,100 to S$1,400 psf ppr.
The consortium that placed the top offer said that if awarded the site, Frasers Property, Sunway MCL, Sekisui House and Lum Chang would jointly develop the residential component, while the retail component would be developed and fully owned by FCT, Sunway MCL and Sekisui House.
Neighbourhood centre for precinct
This is the second government land sales (GLS) site put up for sale in the Bayshore precinct – a new waterfront residential neighbourhood that will have about 10,000 new homes, comprising around 3,000 private housing units and 7,000 Housing & Development Board (HDB) flats.
The maiden plot, designated solely for private residential use, was sold in March last year to a consortium led by SingHaiyi Group at S$658.9 million or S$1,388 psf ppr – a record land rate for a 99-year GLS private housing site in the suburbs, or Outside Central Region (OCR). Located next to the Bayshore MRT station, the site is being developed into the Vela Bay condominium.
“However, the Vela Bay site is a pure residential site and the land price quantum is lower than for the second plot, in Bayshore Drive. Hence, the land rate must be adjusted to account for the differences,” said Mogul.sg chief research officer Nicholas Mak.
Property consultants noted that the Bayshore Drive site may also be compared with other large commercial and residential sites in the OCR sold at GLS tenders in the past few years. The most recent case would be the Hougang Central site, which fetched S$1.5 billion or S$1,179 psf ppr in December 2025.
In terms of 99-year leasehold condo launches in the Bayshore area, the most recent would be Vela Bay, which saw 72 per cent of its 515 units sold during the launch weekend in April this year at an average price of S$2,886 psf.
The Bayshore Drive site is the only mixed-use plot in the Bayshore precinct under the Urban Redevelopment Authority’s Master Plan 2025. The proposed project is envisioned as the neighbourhood centre for the precinct.
Out of the maximum GFA, the successful bidder will have to allocate at least 82,882 sq ft GFA for a bus interchange (including a minimum of 4,306 sq ft for shop and restaurant uses).
Up to 242,188 sq ft GFA can be allocated for commercial uses. “This will include a retail mall spanning about 237,882 sq ft in GFA and about 160,000 to 180,000 sq ft in net lettable area (NLA),” the consortium that placed the top bid said on Wednesday evening. The mall’s NLA includes Community/Sports Facilities Scheme space, subject to regulatory approval.
Frasers Property Singapore CEO Soon Su Lin noted: “As the project will be the only mixed-use development and transit hub of the new Bayshore waterfront precinct, our bid represents a defining opportunity to shape a highly connected, liveable and future‑ready community.”
The proposed development shall also include a sheltered public plaza of at least 21,528 sq ft on the first storey.
The existing Upper East Coast Bus Terminal (next to the Bayshore Drive plot) will be relocated to the new bus interchange. The Land Transport Authority will reimburse the developer of the Bayshore Drive site the construction cost of the new bus interchange, as well as the demolition cost of the Upper East Coast Bus Terminal.
The project completion period is seven years, longer than the five years for most 99-year residential sites under the GLS programme.
Many attractions
Analysts noted that some bidders may have been deterred from participating in Wednesday’s state tender because of the huge capital outlay and the technical complexities of an integrated mixed-use project.
However, the site has many attractions.
Marcus Chu, CEO of ERA Singapore, said: “The Bayshore Drive site’s main appeal is its proximity to Bedok South MRT station and East Coast Park.”
The site is diagonally across the road from the popular Temasek Primary School and beside Temasek Secondary School, noted Tricia Song, head of research for Singapore and South-East Asia at CBRE.
“Another key draw of the site is the potential upgrader demand from the nearby Bedok South and Siglap East HDB estates, as well as downgrader demand from landed estates around Lucky Heights, Kew Drive, the Bedok Ria area and Sennett Road,” she added.
PropNex head of research and content Wong Siew Ying noted that “land parcels that are directly connected to an MRT station are limited in supply, and mixed-use projects built on such plots tend to be sought-after among homebuyers”.
For instance, Pinery Residences, near the Tampines West MRT station, shifted nearly 93 per cent of its 588 units when it was launched in March 2026. Parktown Residence, in another part of Tampines, sold some 87 per cent of its 1,193 units over its launch weekend in February 2025, she added.
In a similar vein, Knight Frank Singapore head of consultancy Alice Tan said: “Residences within mixed-use integrated developments generally enjoy stronger pricing and broader buyer appeal because of convenience – shopping, dining and other offerings.”
As for the Bayshore Drive site, she said a “reasonable estimate” would place future residential launch prices to start from S$2,900 psf, and average around S$3,000 psf. “Select premium units with sea views, higher floors and integrated transport access could exceed S$3,200 psf,” Tan added.
There may also be some rarity value for the Bayshore Drive land parcel.
As Justin Quek, deputy group CEO of Realion (OrangeTee & ETC) Group, highlighted: “After the release of this second private land parcel for sale in Bayshore, there may be limited private residential development land left for acquisition here...
“Around 3,000 private homes have been planned for Bayshore, and over half of this supply has been released: Vela Bay has 515 units, and the Bayshore Drive site can yield up to 1,280 units.”
CBRE’s Song said that some residential units in the future project at the Bayshore Drive site may have unblocked views of East Coast Park and the beach, notwithstanding that there is a residential plot designated south of the site.
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