A Boon Lay Way residential site within walking distance to Jurong East MRT station was sold in a tender sales that received bids from 12 developers. This 1.2ha with 99 years leasehold tenure land parcel is in the core of Jurong Lake district that is earmarked to be the hub away from the city.
The highest bid of $369.4 millions came from MCL Land which translate to about $705.10 psf ppr.
This site has a GFA of 523,879 sq ft which can accommodate about 590 units. The breakeven price is estimated to be about $1,150 to $1,200 psf.
The top 3 bids were quite close and all exceeded analyst’s expectations.
The second highest bid was at $369.1 million with a marginal difference of about 0.1% from the highest bidder while the third highest bid was at $369 million. The lowest bid was at $251 million which works out to $479.12 psf ppr.
This is one of the smallest winning margin record for Government Land Sales tenders.
The land parcel is attractive to developers as it is within 5 minutes walk to the Jurong East MRT station and the future development will benefit from the panoramic views of the Jurong Lake and Jurong Country Club. This site is also in close proximity to the upcoming shopping mall Jem and the mixed-use Westgate project which are both expected to be completed by next year. These factors will be a big attraction for home buyers.
MCL Land spokesperson said “We're looking to have something iconic because the location is so prime… There will be the usual one-, two-, three- and four-bedroom units, although we will have more smaller units to cater to smaller families and the rental market.”
30 May 2012