Qingjian Joint Venture’s bid of S$1,191 for Media Circle was closely followed with a S$385 Million (S$1,160) bid by a joint-venture between Intrepid Investments(Hong Leong Holdings), Garden Estates(Hong Realty), TID Residential (Hong Leong Holdings & Mitsui Fudosan).

CEL Development & Singhaiyi Property Development jointly bid S$321 million or S$967/sf ppr.

The latest project’s breakeven cost could be approximately S$2,000 psf. Analysts predict that launch pricing will be between S$2,300-S$2,400 on average psf, which is slightly lower than Blossoms At The Park, due to the distance from MRT.

The highest bid for Media Circle reflects the confidence of developers in One-North’s demand for homes.

A smaller site requires a lower capital investment, allowing developers to remain agile, minimize costs and reduce risks.

This could be due a constant fear of risk among developers because of the high rate environment, the macroeconomic headwinds, and the cooling measure.

Blossoms By the Park was launched just after the last increase in Additional Buyers Stamp Duty rates (ABSD). It sold 74.5 percent or 205 units out of its total 275 units, at a price median of S$2,427/sqft.

The company has sold over 85 percent of its total units.

Investors and those working in Science Park could find the new development attractive because of its proximity to these employment centers.

Lentor Mansion Showflat Address

Qingjian Realty and Forsea Residence, with a bid of S$395,000,000, won the government land tender for a plot of residential land in one-north. They beat two other groups.

The bid by the joint venture of S$1,191 psf ppr, while in line with expectations, is 4.4 % lower than that paid by EL Development for a nearby plot at Slim Barracks, where it will build Blossoms By The park.

The plot for The Hill @ One North, which is currently under construction, was purchased by Gao Xiuhua of Kingsford Development at S$1,210 psf ppr. The two condominiums are both located in Slim Barracks. They were sold in the year 2021.

The Media Circle site bids came in higher than any other GLS site that was offered on Thursday (Jan. 18). A GuocoLand/Hong Leong Group group made an offer for the Marina Gardens Crescent White site at S$770.5 Million or S$984 PSF ppr.

Today’s results reveal that developers are hesitant to build on large plots, and more inclined towards smaller sites in order mitigate risk. This is due to an uncertain market marked with escalating prices and shrinking margins.

Media Circle in the Rest of Central Region is estimated to yield 355 residential apartments, with commercial spaces on the ground floor. This 99-year leasehold is located near one-north’s office clusters. It measures 10,632.1 sqm and has a maximum permitted gross floor surface (GFA).

The bids from Qingjian and Forsea Residence were within the range of S$1,050 – S$1,250 per square foot ppr that most analysts polled The Business Times anticipated. The market had anticipated more interest, with up to six bids.

Both Slim Barracks locations attracted 10 bids apiece in 2021.