The tender for the 99-year leasehold residential government land sale (GLS) site at Lentor Gardens saw just one bid from GuocoLand and Intrepid Investments (a subsidiary of Hong Leong Group). The joint venture partners submitted a bid of $486.8 million, translating to a land rate of $985 psf per plot ratio (psf ppr). This was the lowest bid for a land parcel in the Lentor precinct since the tender for the Silat Avenue GLS site in 2018, which was awarded to a consortium led by UOL Group for $1.035 billion.
The two previous Residential GLS sites in Lentor were awarded last September. Those were the Lentor Central, which was sold to a consortium of China Communications Construction, Soilbuild Group Holdings and United Engineers for $481.03 million ($1,108 psf ppr) and the Lentor Hills (Parcel B) which was awarded to TID (a joint venture between Hong Leong Group and Mitsui Fudosan) for $276.36 million ($1,130 psf ppr), which can yield 470 and 265 units respectively.
In January 2022, a GLS site at Lentor Hills Road (Parcel A) was sold for $586.6 million ($1,060 psf ppr) and the 598-unit Lentor Hills Residences – a GuocoLand, Hong Leong Holdings and TID (a joint venture between Hong Leong Holdings and Mitsui Fudosan) project is expected to be launched soon.
GuocoLand’s launch of Lentor Modern last September was a huge success, with 84% of the units sold on launch weekend and now the integrated development is 88% sold at an average price of $2,104 psf. GuocoLand purchased the GLS site for $784.1 million ($1,204 psf ppr) in July 2021.
Mark Yip, CEO of Huttons Asia, notes that since the launch of the first GLS site at Lentor, bids have been on a downward trend. This is likely due to the negative economic aspects and Additional Buyer’s Stamp Duty Risks the developers may face if they are unable to sell all the units within five years.
Two more GLS sites at Lentor are available for sale under the 1H2023 GLS Programme. The 475-unit site at Lentor Central is expected to be launched for tender this month, while the 500-unit residential site at Lentor Gardens is on the Reserved List.
Leonard Tay, head of research at Knight Frank Singapore, says that when all seven sites are sold, they could bring a potential of 3,500 units to the Lentor area which would translate to almost 11,000 new residents.
The Lentor Gardens site, which is within walking distance of the Lentor MRT station, Thomson Nature Park and Yio Chu Kang Stadium and Sports Complex, is also about 1km from CHIJ St Nicholas Girls’ School.
The 530-unit residential site could see units priced around $1,950 to $2,050 psf when launched according to Steven Tan, CEO of OrangeTee & Tie.
Check out the latest listings near Lentor Gardens, Lentor Central, Lentor Hills Residences, Lentor Modern, Lentor MRT station, CHIJ St Nicholas Girls’ School is today’s closing of the residential GLS site at Lentor Gardens. The site drew just one bid from GuocoLand and Intrepid Investments at $486.8 million ($985 psf ppr). This was the lowest bid for a land parcel in the Lentor precinct since the tender for the Silat Avenue GLS site in 2018.
Lentor Central was sold to a consortium of China Communications Construction, Soilbuild Group Holdings and United Engineers for $481.03 million ($1,108 psf ppr) and the Lentor Hills (Parcel B), was awarded to TID (a joint venture between Hong Leong Group and Mitsui Fudosan) for $276.36 million ($1,130 psf ppr).
Further, the Lentor Hills Road (Parcel A) GLS site was sold for $586.6 million ($1,060 psf ppr). The 598-unit Lentor Hills Residences – a GuocoLand, Hong Leong Holdings and TID (a joint venture between Hong Leong Group and Mitsui Fudosan) development – is expected to launch soon.
GuocoLand’s launch of Lentor Modern integrated development recorded an impressive 88% sold at an average price of $2,104 psf after they purchased the GLS site for $784.1 million ($1,204 psf ppr) in July 2021.
Two further GLS sites are available for sale under the 1H2023 GLS Programme: a 475-unit site at Lentor Central and a 500-unit residential site at Lentor Gardens. When all seven sites are sold, they could bring a potential of 3,500 units to the Lentor area which would translate to almost 11,000 new residents.
Potential homebuyers will be drawn by the Lentor Gardens site’s connectivity to public transport and recreational facilities, as well as its proximity to CHIJ St Nicholas Girls’ School. Units could be priced around $1,950 to $2,050 psf when launched.
All in all, the Lentor area is set to be transformed with abundant new residences and a whole new community of residents.