Questions around this news
What are the key details of the Holland Drive residential site?
The Urban Redevelopment Authority released the site under the first-half 2024 Government Land Sales Programme’s Confirmed List. The release says it could accommodate about 680 homes. It describes a low-rise area capped at six storeys and a high-rise area subject to a technical height control of 164 metres Singapore Height Datum. The tender was scheduled to close at noon on 14 May 2024.
What factors could affect developer interest in the Holland Drive site?
The release points to the nearby Holland Village MRT station and the adjacent One Holland Village shops, which it describes as developing into a lifestyle hub, as attractions. It also notes that not all of the site lies within one kilometre of Henry Park Primary School. The commentary says this, along with the site’s relatively large potential size, could temper demand.
What does the Confirmed List mean in a government land sales programme?
A Confirmed List is a group of land parcels that the government has committed to offering for sale during a specified land sales programme period. Sites on the list are generally put up for tender according to the announced schedule, rather than being offered only after a developer applies to trigger their sale.
What does price per square foot per plot ratio mean in a land tender?
Price per square foot per plot ratio, often shortened to psf ppr, expresses a land bid relative to the maximum floor area permitted on the site. It helps compare land prices across sites of different sizes and development capacities, though it does not by itself represent the final selling price of homes built there.
February 27, 2024 -- The Urban Redevelopment Authority (URA) has released a residential site at Holland Drive for sale today under the first half 2024 (1H2024) Government Land Sales (GLS) Programme.
The site at Holland Drive is launched for sale under the Confirmed List and can potentially yield about 680 residential units. The tender for the Holland Drive site will close at 12 noon on 14 May 2024. There is a low-rise zone capped at 6-Storeys; and a high-rise zone with a technical height control of 164m SHD.
CBRE comments:
The Holland Drive site is next to the partially completed One Holland Village mixed development, which drew 15 bids from 10 consortiums, was eventually awarded via Concept-and-Price Tender on 16 May 2018 for S$1.213bn or S$1,888 psf ppr. All the 296 units at One Holland Village Residences has been sold by August 2023, since its launch in November 2019, at an average price of $2,807psf.
We find this site to be attractive, with its next door completed One Holland Village shops shaping up as a bustling lifestyle hub and its proximity to the Holland Village MRT station. However, we observe that not the entire plot is within 1km radius of Henry Park Primary School, and this may temper developer demand for this site, especially given the relatively large size of 680 units. For similar-sized GLS comparables, Lorong 1 Toa Payoh site tender with 775 buildable units saw only 3 bids when tender closed in November 2023, with a top bid price of S$1,360psf ppr. The prime Orchard Boulevard site, with just 280 buildable units, was most recently awarded at S$1,617psf ppr, among 4 bids received. Developers are generally still cautious on large investor-focused sites.
We thus expect 3-5 bids for this site, with a top bid of S$1,450psf ppr.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2023 revenue). The company has more than 130,000 employees (including Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
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At a glance
- Company
- CBRE Group, Inc.
- Ticker
- NYSE: CBRE
- Location
- Holland Drive
Key figures
- Potential residential units
- about 680
- Tender closing time and date
- 12 noon on 14 May 2024
- Low-rise zone limit
- 6-Storeys
- High-rise zone technical height control
- 164m SHD
- CBRE expected bids
- 3-5 bids
- CBRE estimated top bid
- S$1,450psf ppr
SEC filings
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
- 4Insider transaction Filed
Earlier from CBRE Group, Inc.
- High-floor Grade A strata office floor in the heart of CBD for sale via Expression of Interest
- CBRE commentary for closing of URA sale site at Orchard Boulevard and EC site at Plantation Close (2)
- Creating Resilience – Moderate Growth Expected in Singapore Commercial Real Estate Despite Headwinds
- CBRE Commentary on Monthly New Home Sales for December 2023
- Freehold 2nd floor shophouse unit located in the heart of Holland Village for sale via Expression of Interest
