Singapore

Supply of land for private homes set to go up

Woodleigh Lane site expected to generate most interest among developers

The supply of private homes from confirmed Government land sales is set to go up in the first half of next year.

On the Confirmed List are five private residential sites which can yield 2,330 units, higher than the supply of 2,170 units from confirmed sale sites in the second half of this year, the Ministry of National Development (MND) announced yesterday.

But the supply of 2,330 units from the Confirmed List under Government Land Sales (GLS) Programme for the first half of next year is closer to the final 2,445 units resulting from GLS in the second half of this year after the sale of a reserve list site in December was triggered, MND noted.

Ten sites, including one mixed-use and two commercial sites, were put on the reserve list and are expected to yield 5,135 units.

Ms Tricia Song, head of research at Colliers International Singapore, noted that while the supply in the confirmed list rose by 7 per cent over the first half of this year, the reserve list supply fell by 4 per cent.

"In view of the bidding interest and aggressive bids seen this year, we are slightly surprised that the government did not increase the residential supply," Ms Song said.

Three interesting sites


Dr Lee Nai Jia, Edmund Tie and Company's head of South-east Asia research, said "there was a lot of talk that there is going to be more supply due to the competitive bidding".

However, he noted bidding activity is just one of many indicators the Government looks at in determining how much land to release.

Other factors include economic growth and home sales in a particular area.

"... We are slightly surprised that the government did not increase the residential supply" Ms Tricia Song, head of research at Colliers International Singapore

Together, the Confirmed and Reserve list sites can yield up to 7,465 private homes.

Market watchers were excited about the new sites on the confirmed list, with many singling out a parcel in Woodleigh Lane.

Mr Ong Teck Hui, JLL's national director of research and consultancy, predicted between seven and 10 bidders for the site, which he said was the most attractive of the five confirmed plots.

He noted that the site is in the city fringe and close to the Woodleigh MRT station and upcoming Bidadari new town.

Zouk fans might get a chance to relive their memories of the popular nightclub, as the Jiak Kim Street plot on which the club was sited is on the reserve list. - STRAITS TIMES ONLINE

EconomyZOUK