Tuesday, December 8, 2009

HDB receives top bid of S$38.5m for Westwood Ave residential site

Chappelis Pte Ltd has submitted a top bid of S$38.5 million for a residential site at Westwood Avenue.

The Housing and Development Board (HDB) said it received a total 32 bids, with the lowest one at S$16.8 million from Boon Keng Development.

The second highest bid came from a partnership between Hoi Hup Realty and Sunway Developments, which put in a bid of some S$38 million.

Act-Nobel Homes rounded off the top three bids with its offer of S$35.1 million.

Other bidders of the site included Soilbuild Group, Sing Holdings, Frasers Centrepoint and Sim Lian Land.

The land parcel located in Jurong West has an area of 14,098.9 square metres and is proposed for landed housing development with a 99-year lease.

Based on the top bid of S$38.5 million, this works out to about S$254 per square foot.

Property consultancy CB Richard Ellis (CBRE) said it expects terrace houses that are put up for sale there to be priced around S$1.25 million to S$1.30 million each.

“The alternative is cluster housing that can appeal to home buyers who are attracted by the facilities offered,” said Li Hiaw Ho, executive director, CBRE Research.

“Currently, houses in Westville and Westwood landed estates are sold in the resale market at S$850,000 to S$1.1 million each. Potential buyers could comprise locals working in the manufacturing firms in Jurong and Tuas, as well as academics at the nearby Nanyang Technological University,” Li added.

The consultancy said the tender suggests that the property market has recovered significantly compared to a year ago.

Last year, the same site was launched for tender and received only two bids of S$10.8 and S$11.8 million, both of which were rejected by the government as they were considered too low.

HDB said it will award the tender within the next two weeks after the bids have been evaluated.

Source : Channel NewsAsia – 8 Dec 2009

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