POSTED: 16 Jul 2013 9:36 PM | CNA

SINGAPORE

A residential site in Tampines had attracted 10 bids at the close of its tender on Tuesday, according to the Urban Redevelopment Authority (URA).

MCC Land (Singapore) Pte Ltd is the highest bidder at S$289.7 million for the 184,000 square feet land parcel. This works out to S$562 per square foot per plot ratio.

The top bid is 7.6 per cent higher than the second-highest bid of S$269.2 million submitted jointly by UOL Venture Investments and Kheng Leong Company.

Meanwhile, the lowest bid came from Allgreen Properties at S$183million.

Analysts said the top bid exceeded expectations as it comes after the Monetary Authority of Singapore’s (MAS) announced new loan curbs.

The break-even cost per square foot is estimated to be between S$1,000 to S$1,050 for the 99-year lease site.

When development is completed, the launch prices could exceed S$1,200 per square foot.

Analysts said developers may have been encouraged by the recent sales performance of J-Gateway and their need to replenish their land bank.

URA will announce the final winner for the tender at a later date.

– CNA/fa

http://www.channelnewsasia.com/news/business/singapore/top-bid-for-tampines/746448.html