By Kristie Neo | Posted: 09 October 2012 2117 hrs

SINGAPORE

A land parcel at Woodlands Avenue 6/Woodlands Drive 16 for executive condominium (EC) development has attracted a total of five bids at the close of tender.

The top bid was jointly placed by Fraser Centrepoint’s unit – Opal Star and Lum Chang’s Binjai Holdings for about S$150.2 million, or about S$302 per square foot per plot ratio (psf ppr).

According to the Housing and Development Board, the top bid was about 1.6 and 8.8 per cent above the second and third highest bids respectively.

The site has an area of about 16,500 square metres (sqm) and a maximum gross floor area of around 46,200 sqm.

Senior manager for research and consultancy at Dennis Wee Group (DWG), Lee Sze Teck, said that the level of interest was in line with expectations, and comparable to a nearby executive condominium site which was sold to developer Hao Yuan for S$318 psf ppr in May 2012.

Another executive condominium site La Casa received six bids when it was put up for sale in 2004 due to its site location, which is a distance away from Woodlands MRT station.

DWG estimates the breakeven price for the Woodlands Avenue 7/Woodlands Drive 16 site to be around S$600 to $650 psf, with an estimated sale price of between S$680 and $730 psf.

DWG expects healthy demand for ECs to continue, but anticipates a slower take-up from buyers as there are more options in the market to choose from.

Mr Lee said developers will have to differentiate their project from others in terms of design, theme and quality.

The 99-year lease site was launched for tender by HDB on 23 August.

HDB said it will evaluate the bids before awarding the tender at a later date.

– CNA/ck