The Urban Redevelopment Authority (URA) recently launched a tender for the Government Land Sale (GLS) site at Faber Walk in Clementi on September 12. The site is part of the 2H2024 GLS Confirmed List programme and is the last parcel of land available for sale in the private residential enclave of Faber Walk.
Spanning approximately 277,660 sq ft, the 99-year leasehold site has a gross plot ratio of 1.4 and is fully zoned for residential (non-landed) use. It is expected to yield up to 400 housing units.
According to Mark Yip, CEO of Huttons Asia, the previous GLS site sold in the Faber Walk area was in 2013 and launched in May 2014. It has since been developed into the 210-unit Waterfront @ Faber, completed in 2018. “Hence, considerable demand may have built up over the years,” he notes.
Marcus Chu, CEO of ERA Singapore, believes that demand for the new project could come from the landed homeowners in the neighbouring Faber Hills Estate. “The older landed homeowners might be looking to right-size their home, or multi-generation family members who want to buy homes within the same project,” he observes.
However, Chu also acknowledges that developers may be more cautious due to the site’s less attractive location compared to other sites on the 2024 Confirmed List, such as Bayshore, Chuan Grove and Chencharu, which are within established housing enclaves.
The Faber Walk GLS site is bounded by the Ayer Rajah Expressway (AYE) to the south, Sungei Ulu Pandan to the north and a landed housing enclave to the west. While the site is not within walking distance of many amenities, it is within close driving distance to various locations due to its proximity to the AYE. This includes the upcoming Jurong Lake District, NUS, and one-north.
“The project could appeal to homebuyers and investors as the site is not far from employment nodes in Jurong Lake District, the International Business Park, and industrial spaces in Pandan Loop,” says Wong Siew Ying, head of research and content at PropNex.
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However, the response to GLS sites since June 2024 has been relatively muted with just two to three bids, notes Chu. He expects a similar response for the Faber Walk site and believes that developers may submit bid prices in the range of $950 psf per plot ratio (ppr) to $1,050 psf ppr.
Meanwhile, Huttons’ Yip expects the site to attract up to three bidders with a top bid price of between $800 and $850 psf ppr.
The tender for the site will close on 19 November at 12pm. The recent bids for Jalan Loyang Besar and Margaret Drive GLS sites may indicate the range of bid prices submitted for this site. As such, industry experts are keeping an eye on the bidding process and its implications for the residential property market.