Government raises confirmed private housing supply by 26%, to launch first sale site in Marina South
SINGAPORE: The Government has raised the land supply for private housing on the Confirmed List under the Government Land Sales (GLS) Programme for the second half of this year by 26 per cent to 3,505 units, including the first sale site located in the Marina South precinct.
The Confirmed List comprises five private residential sites, including one executive condominium (EC) site, and one commercial and residential site, the Urban Redevelopment Authority (URA) said on Tuesday (Jun 7).
Together, the sites on the Confirmed List can yield about 3,505 private residential units (including 495 EC units) - up from 2,785 units in the programme for the first half - as well as 14,750 sq m gross floor area of commercial space.
URA said the supply of private housing on the Confirmed List was increased to maintain market stability and ensure sufficient supply amid market demand.
"The Government had earlier increased the supply of private housing on the Confirmed List for the 1H2022 GLS Programme to cater to the strong housing demand," said URA.
"With the demand for private housing remaining resilient, the inventory of unsold private housing units has continued to decline in recent months."
Ms Catherine He, head of research at Colliers noted that the number of residential units introduced on the Confirmed List is the highest since the 3,915 units in the second half of 2014.
"The increase in residential units introduced will help to provide a much-needed boost for developers to shore up their land inventory, as the supply from GLS sites is gradually stepped up," said Ms He.
"Under the backdrop of continued improvements in economic and labour conditions, healthy new home sales, and unsold inventory at a historical low, Colliers believes that these sites are likely to attract a healthy level of bidding activity. They are also located at upcoming residential estates and should see strong demand from upgraders."
NEW SITE IN MARINA SOUTH
Of the sites on the Confirmed List, Marina Gardens Lane, Tampines Avenue 11 and Tengah Plantation Loop (EC) are new sites. The other three sites, Bukit Timah Link, Hillview Rise and Lentor Gardens are transferred from the Reserve List in the previous Programme.
Analysts say the Marina Gardens Lane site, which is located next to Gardens by the Bay and overlooks the Marina Reservoir and the Straits of Singapore, is expected to be well-received.
"This is the first time the government is launching a site in the Marina South neighbourhood," said Ms He.
"Based on the latest Masterplan, it is one of five sites in the area with residential and commercial at the first storey, among other white sites, and is expected to kickstart development in the area where it will be a sustainable, car-lite estate comprising a mix of residential, commercial and hotel uses. Located near the CBD, it is also in line with the authority’s vision of turning the CBD into a more vibrant area for work live play," she added.
The site, expected to launch in December, can yield about 795 residential units and 750 sq m of commercial space.
"The Marina Gardens Lane site is the best site on the 2H 2022 Confirmed List. It offers a first-mover advantage to both developers and buyers. It is right next to Gardens by the Bay and will be directly linked to Marina South MRT station," noted Mr Lee Sze Teck, senior director of research at Huttons Asia.
Aside from the Marina Gardens Lane site, analysts also say the Tampines Ave 11 commercial and residential site will appeal to developers.
"HDB has launched several BTO projects in Tampines North over the past few years and one EC project will be launched for sale soon," said Mr Lee.
"Despite the increase in residents, there is a dearth of amenities like a mall in the area. The 1,190-unit mixed commercial and residential site at Tampines Ave 11 will inject much-needed amenities to the area."
Planned and announced every six months, GLS programmes release state land for private development.
Land on the Confirmed List is launched for sale at pre-determined dates, with most land parcels sold through tenders.
Land on the Reserve List, meanwhile, is not released for tender immediately, but is made available for application. A Reserve List site is put up for tender when a developer indicates a minimum price which is accepted by the government.
In this Programme, there are eight sites on the Reserve List, which can yield an additional 3,805 private residential units (including 1,000 EC units), 80,000 sq m gross floor area of commercial space and 530 hotel rooms.
Of these, six are private residential sites (including two ECs sites), one white site and one hotel site.
“The supply on the reserve list will give developers a good selection of sites to initiate for development if they assess that there is demand,” said URA.
“The Government will continue to monitor economic and property market conditions closely and adjust the supply of future GLS Programmes, as necessary."
Editor's note: This story has been corrected to reflect the accurate number of units available under the Confirmed List of the Government Land Sales (GLS) Programme for the second half of this year. We apologise for the error.