The first Government Land Sales (GLS) site in Marina South was launched for tender on Monday, in a first step to kick-start development in the new neighbourhood.
The roughly 12,000 sq m site in Marina Gardens Lane, which is situated next to Gardens by the Bay, can yield about 790 residential units, the Urban Redevelopment Authority (URA) said. The plot is about the size of two football fields.
The 99-year leasehold residential development, which has a maximum gross floor area of 68,573 sq m, will have commercial spaces on the first storey. The building’s height could reach 163m.
Analysts expect keen interest from developers given the attractive location, but noted that some may be deterred by the size of the site and adopt a wait-and-see approach.
The Marina South site was announced in June as part of six confirmed sites under the GLS programme for the second half of 2022. It is part of a 45ha precinct which overlooks Marina Reservoir and the Singapore Strait, and will comprise a mix of retail, office, hotel and residential uses.
It can yield more than 10,000 homes, which will be served by an underground network connecting Gardens by the Bay and Marina South MRT stations on the Thomson-East Coast Line.
The precinct is envisioned as sustainable and car-lite, with pedestrian-friendly streets and a cycling network, URA said. Elevated routes will also connect Marina South to Gardens by the Bay and to the coast.
Developments in the area are required to attain the Building and Construction Authority’s Green Mark Platinum Super Low Energy certification.
“To build a vibrant residential neighbourhood, the Government is studying various possible housing options to be introduced to realise the long-term planning vision for the precinct,” the authority added.
Huttons Asia’s senior director of research Lee Sze Teck said the Marina Gardens Lane site is the most attractive one under the GLS programme for the second half of 2022.
As it is the first site in the Marina South precinct to be offered for sale, both developers and buyers will have first-mover advantage, he said.
“Owner-occupiers will benefit from the proximity to the Central Business District and enjoy vast greenery at Gardens by the Bay, while investors can tap the big pool of tenants in the CBD,” he added.
But a nearby development at Marina View, which was sold under the GLS programme in September 2021, could be a competitor for the Marina Gardens Lane site, said ERA Realty head of research and consultancy Nicholas Mak.
“The large number of units to be developed and sold within five years from the date of land acquisition also increases the development risk of this project,” he said.
Major developers, consortiums of developers and real estate funds could be attracted by the large project.
As four similar sites in the Marina South area will be launched for sale at a later date, some developers may wait to see the outcome of this tender before they make a move, Mr Mak added.
He expects two to five bidders, with the top bid between $1,360 and $1,490 per sq ft per plot ratio (psf ppr).
Mr Lee said the site may see up to five bidders, with the top bid between $1,250 and $1,350 psf ppr, in line with recent bids for land in the city fringe.
The tender will close on June 27, 2023.
URA said sites for an executive condominium in Tengah Plantation Loop and a commercial and residential development in Tampines Avenue 11 will also be launched in December.
Credit: Straits Times
