There were eight bids for the first private housing Government Land Sale (GLS) site in the upcoming Bayshore precinct, located on Bayshore Road. The 99-year leasehold site, which closed on March 18, can yield about 515 units and spans 112,992 sq ft. SingHaiyi-Garnet, a joint venture between SingHaiyi Group and Haiyi Holdings, submitted the top bid of $658.89 million, translating to a land rate of $1,388 psf per plot ratio (ppr).This bid is just 0.82% higher than the second-highest bid of $653.53 million, submitted by Sing Holdings. City Developments placed the third-highest bid at $620.8 million.As the number of bids received is the highest for a private housing GLS site since January 2022, it can be seen that developers have a strong interest in this plot. According to the CEO of OrangeTee & Tie, Justin Quek, the high bid prices indicate that developers have confidence in the potential of this location.Mark Yip, CEO of Huttons Asia, believes that this interest from developers is due to the need to replenish their land bank, especially after the strong sales in the past few months.Analysts also note the large gap of 36% between the highest and lowest bids received, showing mixed market sentiments among bidders. This bid by SingHaiyi is a new benchmark for Outside Central Region (OCR) land prices and is higher than the previous record set by MCL Land and CSC Land Group in November 2023 for the site of the recently-launched Elta, located at Clementi Avenue 1.With its location next to Bayshore MRT Station, the Bayshore Road plot offers a sea view and doorstep access to the station, making it the most desirable site in the Bayshore precinct. Additionally, the area will benefit from the long-term development plans, such as the Long Island coastal protection project, which will add reservoirs and parks fronting the Bayshore area.There has been no significant private condo launches in the Bayshore area for decades, leading to pent-up demand from HDB upgraders in the nearby Marine Parade and Bedok estates. Therefore, developers may be hoping to gain a first-mover advantage in the area.The bullish bids received for this site suggest that there is strong confidence in its potential and some analysts predict that prices at the upcoming development could start from $2,700 psf and average above $2,800 psf.
Investing in a Singapore Condo offers numerous advantages, with one of the most significant being the potential for capital appreciation. With its strategic location as a global business hub and strong economic foundation, Singapore has always been a popular choice for real estate investments. The continuous demand for properties in the country has resulted in a steady increase in property prices over the years, especially for condos in prime locations. Savvy investors who enter the market at the right time and hold onto their properties for the long term can expect substantial capital gains.