Kingsford places top bid of S$918.3 million or S$1,326 psf ppr for first condo plot on former Keppel Club site
Plot draws just two other bids
[SINGAPORE] The first government land sale (GLS) plot offered out of the former Keppel Club site garnered just three bids at a tender that closed on Tuesday (Nov 4), fewer than market watchers had expected to see. But the bid prices were within expectations.
Kingsford Group placed the top bid of S$918.3 million or about S$1,326 per square foot per plot ratio (psf ppr) for the 99-year leasehold private housing site, which can yield about 745 private homes.
The top bid was 4.4 per cent above the second-highest bid of S$880 million or S$1,271 psf ppr from a tie-up between GuocoLand and Intrepid Investments, and 6.4 per cent above the third bid of S$863.26 million (or S$1,246.49 psf ppr) from a consortium comprising Frasers Property, Metro Holdings and Soilbuild Group Holdings.
Tricia Song, CBRE’s head of research for Singapore and South-east Asia, described the participation rate as “lukewarm”, but added that the bunching of bids within a relatively tight range reflects “consensus on pricing”.
The turnout for the tender was lower than the four to nine bids forecast by analysts polled by The Business Times earlier this week. The top bid was within the S$1,100 to S$1,450 psf ppr forecast by the analysts.
Marcus Chu, chief executive officer of ERA Singapore, said the three bids at the latest tender “contrasted sharply with the fierce competition for past sites in emerging precincts”. “The site in Bayshore Road, for example, saw eight bidders at its March tender close, while the Dunearn Road plot drew nine bids during its June closing.”
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Chu added: “Developers may have been cautious because of the greater developmental risk associated with Telok Blangah’s higher quantum. At S$918.3 million, its top bid significantly exceeds Bayshore’s S$658.9 million and Dunearn Road’s S$491.5 million.”
In a similar vein, Mogul.sg chief research officer Nicholas Mak said: “Not many developers would want to put so many of their financial eggs in one basket, and even fewer have pockets deep enough to bid on this site alone without any joint-venture partners.”
The 147,350 square foot plot is part of the new Berlayar housing estate – which will have about 7,000 public housing and 3,000 private housing units – coming up on the former Keppel Club site. The development of the site will kickstart the progressive transformation of the Greater Southern Waterfront (GSW).
Realion Group deputy CEO Justin Quek said some developers may be waiting for smaller land parcels in the new housing estate to be launched.
A Kingsford Group spokesperson said: “We would be happy to be awarded the site as it is the first private residential site to be launched in the GSW. This may present a first-mover advantage to the developer in the sale and design of the project.”
Huttons Asia CEO Mark Yip noted the site’s proximity to the Telok Blangah MRT station and major expressways. “Employment options are available in Mapletree Business City, Pasir Panjang Power District and the redevelopment of Harbourfront Centre,” he added.
Mak of Mogul.sg pointed to three popular schools nearby – Radin Mas Primary, CHIJ (Kellock) and Gan Eng Seng Primary. “The site naturally appeals to family buyers prioritising proximity to schools.”
The Berlayar estate will feature new commercial and community amenities within the surrounding future public housing developments; these include shops, eateries, supermarkets and preschools.
“Being one MRT stop away from VivoCity, future residents will also enjoy easy access to a wide range of entertainment and lifestyle offerings,” the Urban Redevelopment Authority noted in tender documents on the Telok Blangah Road site.
PropNex head of research and content, Wong Siew Ying, said the new project on the Telok Blangah Road site could attract a diverse mix of buyers, including HDB upgraders from nearby Bukit Merah and Queenstown estates. “It may also appeal to investors since the plot is not far from the Central Business District, and other employment hubs in one-north and the Science Park, as well as future commercial spaces in the GSW.”
“A useful indicator of homebuying interest in the GSW is perhaps the firm demand witnessed for new build-to-order public housing flats at Berlayar Residences in the HDB’s October 2025 BTO exercise,” she added.
Wong estimates the average selling price of the new condominium project on the Telok Blangah site at potentially above S$2,800 psf.
Song of CBRE said the project could be launched at S$2,700-2,800 psf on average.
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