GLS to yield a total of 2,785 private homes
Five sites make up the confirmed list.
Comments from PropNex and Cushman & Wakefield concluded that the recently-announced Government Land Sales (GLS) Programme would yield a total of 2,785 private homes.
Five Confirmed Lists and eight Reserve List make up the GLS Programme. Lentor Central and Lentor Hills Road, located in Ang Mo Kio, Bukit Batok West Avenue in the West, and Dunman Road and Pine Grove, seen in the Central region, make up the confirmed list.
According to Cushman & Wakefield, Dunman Road site, the only mega-site, can generate around 1,035 units. This is due to its distance to the Dakota MRT station and amenities such as the Old Airport Road food centre.
Pine Grove is also expected to generate strong interest with an estimated 520 residential sites. The property finds itself connected to major roads such as Ayer Rajah Expressway, Clementi Road, and Ulu Pandan Road, as well as the Clementi and Dover MRT stations being 1 kilometre away. Launches nearby, namely Parc Clematis and Ki Residences, were also sold out at 94% and 78%, respectively, as of November 2021.
Lentor Central and Lentor Hills Road, meanwhile, are expected to yield an estimated 470 and 264 units, respectively. With these expected to be launched in May 2022, these are located near the upcoming Lentor MRT station and nearby amenities in Ang Mo Kio Town.
The site at Bukit Batok West Avenue 5 also echoed this same sentiment, as Cushman and Wakefield expects the property to yield around 485 EC units. This is also expected to experience the same demand, given the supply of new EC projects in the west.
Propnex Realty shared the same views as Cushman & Wakefield, as Ismail Gafoor, CEO, Propnex Realty, expected the launches to bring an injection of supply into both the Rest of Central Region and Outside Central Region Markets.
“This is a timely injection of supply as home demand in these two sub-markets has been very strong, supported by Singaporeans buyers looking to upgrade or enter the private residential market. The unsold stock in the RCR and OCR has depleted amidst the strong buying over the past year. As of the end of Q3 2021, the unsold stock in the CCR, RCR, and OCR stood at 6,880, 5,878, and 4,382 units respectively. Going by 2020’s sales level, the unsold stock in RCR and OCR will be cleared out within a year or so without any new injection of supply. In view of the new cooling measures, including the hike in Additional Buyer’s Stamp Duty (ABSD) to 35% for entities buying residential property, we expect developers to be less aggressive with their bids for development sites,” said Gafoor.