The Urban Redevelopment Authority (URA) has recently launched a tender for a Government Land Sale (GLS) site located at Bayshore Road. The 112,992 square feet, 99-year leasehold site, is located next to the Bayshore MRT Station on the Thomson-East Coast Line (TEL). It is zoned for residential use with a maximum gross floor area (GFA) of 474,570 square feet and has the potential to yield 515 homes. The site is under the Confirmed List of the 2H2024 GLS Programme.
This GLS plot in Bayshore Road marks the first private residential site in the upcoming Bayshore precinct, a 60-hectare estate built on reclaimed land between the East Coast Parkway (ECP) and Upper East Coast Road. In the next few years, approximately 10,000 new homes will be developed in this area, with 30% designated for private housing.
CEO of Huttons Asia, Mark Yip, notes that this site could be the first private residential site offering sea views and doorstep access to an MRT station. He anticipates that the future project at this site will be highly desirable among buyers due to its connectivity. Residents will be able to reach the downtown area in just 20 minutes via the TEL. The site also has easy access to the ECP, enabling a 15-minute commute by car to the Central Business District (CBD).
In addition to residential developments, the Bayshore Drive area will also see the construction of various amenities such as shops, eateries, and sports facilities. “In the future, there will be a mixed commercial and residential development above Bedok South MRT Station, which is just one stop away,” Yip adds. The site is also located within a 1 to 2-kilometer radius of schools such as Temasek Primary School, Temasek Secondary School, and Temasek Junior College.
Singapore’s urban landscape is characterized by towering skyscrapers and state-of-the-art infrastructure. Condominiums, strategically situated in desirable locations, offer a perfect balance of opulence and convenience, catering to the needs of both locals and foreigners. These modern residences are typically equipped with luxurious facilities like swimming pools, fitness centers, and round-the-clock security services, elevating the living experience for residents and attracting potential renters and buyers. For investors, these desirable features result in higher rental yields and appreciation of property values over time. Additionally, with the addition of Singapore Projects, the allure of these condos is further enhanced.
The Bayshore precinct has also earmarked approximately 7,000 Housing & Development Board (HDB) flats. Last month, the first Build-To-Order (BTO) project in the area was launched for sale, offering 1,440 units of two-room flexi to four-room flats spread across two developments.
There was a high demand for the 1,006 four-room flats at the two Bayshore projects, with over 5,000 applicants, translating to an application rate of almost five times. “The strong demand reflects the popularity of living near the East Coast,” Yip observes. Considering this demand, he anticipates that the Bayshore Road GLS site may attract up to four bids from developers, with a top bid of around $570 million, or $1,200 per square foot per plot ratio (psf ppr).
CEO of ERA Singapore, Marcus Chu, believes that the future project at this site will also attract interest from current residents of existing private condos nearby, who are looking to upgrade. Demand could also be bolstered by homeowners in nearby landed residential enclaves, such as the Kew and Sennett estates, who are seeking to right-size.
Moreover, Chu notes that the last new launch in the vicinity was the 841-unit Seaside Residences on Siglap Road in April 2017. During its launch weekend, 70% of the 560 units released were taken up at an average sale price of around $1,700 psf. “Despite the challenges faced by developers in the market, the Bayshore site could be the land parcel that many of them have been waiting for this year,” Chu says. He predicts that the site will receive around four to six bids, with bid prices ranging from at least $500 million or $1,050 psf ppr.
The tender for this site will close at noon on March 18, 2025.