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Hong Leong Group bags Hillview Rise GLS site for S$460m
THE Hong Leong Group has clinched the 154,000 sq ft Hillview Rise residential site with a top bid of S$460 million - thanks in part to its proposed innovative construction methods and management with a focus on productivity.
Intrepid Investments and Garden Estates, subsidiaries of Hong Leong Holdings and Hong Realty respectively, submitted the top bid among a shortlist of six proposals for the 99-year site. Based on a 430,879 sq ft gross floor area, the price works out to about S$1,067 psf per plot ratio.
The government land sales (GLS) tender drew nine concept proposals from eight tenderers under a dual-envelope system, with Hong Leong Group's listed developer City Developments Ltd (CDL) linking up with CapitaLand to submit two separate proposals.
The Urban Redevelopment Authority (URA), which awarded the tender on July 3, said the winning proposal included "the extensive adoption of Prefabricated Prefinished Volumetric Construction (PPVC) with substantial layout modularization and high levels of construction integration in carrying out the development of the site."
It will adopt Mass Engineered Timber (MET) for the clubhouse, which would further increase the level of prefabrication and reduce the works to be done on the site.
Other features of the proposal include Building Information Modelling-based scheduling; QR code tracking for project scheduling; cloud-based logistics tracking during construction and Virtual Design and Construction (VDC) on digital platforms for different parties to share and coordinate information throughout the project's lifecycle.
URA said in a statement on Tuesday: "Overall, the concept proposal by Intrepid Investments and Garden Estates is robust in its proposed construction productivity plan and construction management plan which aim to achieve substantial reduction in manpower, leading to significantly improved productivity outcomes."
The concept and price revenue tender approach was adopted for this tender. In the first stage, the Concept Evaluation Committee (CEC) shortlisted those that had "substiantially satisfied" the evaluation criteria on construction productivity to proceed to the next stage.
The shortlist comprised the proposals by the winning bid; the two by CapitaLand and CDL; CSC Land Group (Singapore), Qingjian Realty and a tie-up between Yanlord Land and Soilbuild Group. Thereafter, the price envelopes for the shortlist were opened and the top bid was selected.
The tender for the site was launched on Dec 28 last year and closed May 3.
Lee Nai Jia, senior director and head of research at Knight Frank Singapore, said the winning bid was within expectations, considering recent land bids.
"The land parcel is very attractive, as it is close to retail amenities and is within walking distance to the MRT station. Better yet, it has the flavour of a very exclusive and private neighbourhood," he said. "While an increase in supply is expected to come onstream, it is still of limited availability as compared to other areas. Prospective buyers are likely to come from the owners of landed homes seeking to downsize, or young couples whose parents are living in the area."
Loke Kee Yeu, general manager for projects at Hong Leong Holdings, said: "We are pleased to be awarded the site at Hillview Rise under the Concept and Price Revenue tender system. "This award recognises our experience and readiness to adopt and use innovative construction technologies and methods to achieve high construction productivity and quality outcomes for our projects. Another important aspect that we will continue to emphasise is safe and efficient on-site process."