People’s Park Centre, Loyang Valley en bloc tenders close without bids

THE collective sale tender for People’s Park Centre and Loyang Valley both recently closed without bids, making them the latest en bloc sites not to find buyers this year.

For People’s Park Centre, this is the 99-year leasehold mixed development’s second attempt at a collective sale. It was first put up for sale on Jul 6 at a reserve price of S$1.8 billion, which closed on Aug 18 with no bids. The tender was relaunched on Nov 8 at the same reserve price, which works out to a land rate of $2,620 per sq ft per plot ratio (psf ppr) including the differential premium and the premium to top up the land tenure to a fresh 99-year lease.

Industry observers have cited its large price tag exceeding S$1 billion as a stumbling block for developers, especially in view of rising construction costs.