URA puts up housing sites at Chuan Grove and Holland Link for sale
The land plots are part of the 5,050 residential units to be released under the government land sales programme for the second half of 2024
THE Urban Redevelopment Authority (URA) has released for tender two residential sites under the confirmed list in Holland Link and Chuan Grove.
The land plots are part of the 5,050 residential units to be released under the government land sales (GLS) programme for the second half of 2024 to cater to housing demand and maintain market stability, announced URA on Tuesday (Dec 3).
The plot in Holland Link has a site area of 17,069 square metres (sq m) and a maximum gross floor area (GFA) of 23,897 sq m. URA estimates that the site could yield around 230 units. The maximum building height for this plot is six storeys.
The other confirmed-list plot, in Chuan Grove, has a site area of 15,831.5 sq m and a maximum GFA of 47,495 sq m, potentially yielding around 555 units.
A minimum GFA of 500 sq m has been stipulated for childcare facilities at the Holland Link and Chuan Grove sites.
Huttons Asia’s chief executive officer Mark Yip said that recent sales for the Chuan Park condominium project showed strong pent-up demand from residents living in District 19.
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ERA Singapore’s CEO Marcus Chu noted that, at its launch weekend, 76 per cent of the development had been sold at an average of S$2,579 per square foot.
Chu expects demand for a future development on the Chuan Grove site to come from those living in the landed estates in Serangoon Gardens, Chiltern, Bartley and Serangoon Central, as well as the HDB upgraders living nearby.
“Within the next four years, an estimated number of 3,815 HDB flats (four-room and larger) in Toa Payoh are set to fulfil their minimum occupation period, with the Chuan Grove site being one of the options for buyers to upgrade to,” said Chu.
The Lorong Chuan area has seen limited supply of new homes. Prior to the launch of Chuan Park, the last launch in the vicinity was Cardiff Residence in 2011.
“Developers could be encouraged by Chuan Park’s better-than-expected sales performance and will likely place competitive bids to capitalise on the spillover effects from the pent-up demand in the vicinity,” he added.
Market watchers expect the Chuan Grove site to be keenly contested, attracting up to five bidders, with a top offer of up to S$1,250 per square foot per plot ratio (psf ppr).
The other confirmed site, in Holland Link, is located near the Brizay Park Good Class Bungalow Area.
Yip from Huttons Asia noted that the most recent 99-year leasehold launch in the vicinity was Fourth Avenue Residences in January 2019. The project had an average selling price of S$2,658 psf in 2024. In the Holland area, a GLS site was sold for S$1,285 psf ppr in May 2024 to a CapitaLand-UOL led consortium.
He expects the Holland Link site to see one to two bidders, and a top offer between S$1,200 and S$1,300 psf ppr.
In the announcement, URA has also released two sites at Holland Plain and River Valley Green (Parcel C) for application under the reserve list.
The plot at Holland Plain has a site area of 15,716.9 sq m, and a maximum GFA of 28,291 sq m, which can yield around 280 units. The other plot at River Valley Green (Parcel C) can potentially provide for 470 homes, with a site area of 11,516.6 sq m and GFA of 40,309 sq m.
Huttons Asia’s Yip said these two sites are unlikely to be triggered for sale.
Regarding the Holland Plain plot, he said that developers are likely to wait for the response to the Holland Link GLS site before making a decision.
On its part, the River Valley Green precinct already has other sites that have been launched for sale.
“There is an existing tender for River Valley Green (Parcel B), which will close in February 2025,” Yip noted.
He added that if Parcel B is sold, there will be an estimated 2,090 units from the River Valley Green (Parcel A), as well as Zion Road (Parcel A) and (Parcel B) plots. “There is little incentive for developers to trigger the site for sale.”
While confirmed list sites are launched according to schedule regardless of demand, a site on the reserve list is put up for tender when a developer makes an offer acceptable to the government. The government said that it will “continue to release a steady supply of private residential units in coming GLS programmes, with supply calibrated to account for prevailing economic and property market conditions”.
The tender for the Chuan Grove site will close at noon on Jul 8 next year, while the Holland Link site’s tender will close on Jul 29, 2025.
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