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SINGAPORE: The Government launched on Thursday (December 3) the Government Land Sales (GLS) program for the first half of 2021, with sites capable of producing around 7,045 private residential units, 101,200 square meters of gross area of commercial space and 1,070 Hotels. rooms available.
Four sites in this GLS program are new: two parcels at Slim Barracks Rise in one-north are on the Confirmed List, while one at Jalan Tembusu, on Mountbatten Road, and one at Tampines Street 62 are on the Reserve List.
The other nine sites, comprised of five residential sites, three white mixed-use sites, and one hotel site, have been transferred from the Reserve List in the second half of this year.
Planned and announced every six months, GLS programs free up state land for private development.
This GLS program comprises a total of 13 sites, of which four are on the Confirmed List and nine on the Reserve List.
Land on the Confirmed List is put up for sale on predetermined dates, and most parcels are sold through tenders.
Meanwhile, the land on the reserve list is not immediately put out to tender, but is available for application. A site on the reserve list is submitted for bidding when a developer indicates a minimum price accepted by the government.
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“MODERATE SUPPLY”
In a press release, the Ministry of National Development (MND) highlighted the impact of the COVID-19 pandemic on this GLS program.
“The 1H2021 GLS Program land supply has been carefully calibrated to take into account COVID-19 and the macroeconomic situation,” the ministry said.
“Given the continuing uncertainties in economic and labor market conditions, the Government has decided to maintain a moderate supply of private residential units on the Confirmed List and will not introduce any new sites for predominantly commercial or hotel use in the GLS 1H2021 Program.
“However, there is a good selection of additional supply sites on the Reserve List that developers can initiate for development if they assess that there is demand.”
(Table: Ministry of National Development)
The Slim Barracks Rise sites will go out to tender in June, while the other two sites on the Confirmed List, an additional parcel at 62 Tampines Street and a piece of land in Lentor Central, will launch in April.
The two sites at Slim Barracks Rise, in the one-north area, caught the eye of an analyst.
“Demand for housing for the sites could be generated by the growing workforce in the vicinity. Parcel A can generate approximately 265 units and Parcel B can produce about 140 units,” said Ong Teck Hui, senior director of research and consulting. by JLL. .
“Both sites are relatively small and could attract many bidders due to their lower total development costs, which reduces risk.”
The Reservation List sites at Jalan Tembusu and Tampines Street 62 will be available from May, while the other sites on the list, including a white site at Marina View and a hotel site at River Valley Road, are currently available. .
All three sites on the GLS Program Confirmed List for the second half of 2020 have been put out to tender. Bids for the sites, at Ang Mo Kio Avenue 1, Northumberland Road and Tengah Garden Walk, will close in April and May next year.
The Tampines Street 62 parcel on the Confirmed List for this GLS program was previously on the Reserve List. Both plots of Tampines are intended for executive condominiums.
“The government will continue to closely monitor the economic and real estate market conditions and adjust the supply of future GLS Programs as necessary,” MND said.
“The supply of private housing in the GLS 1H2021 Program, along with the supply of units that are already in process, will sufficiently meet the housing needs of the population when completed in approximately four or five years.”
