A prime mixed-use site in the Jurong Lake District has shattered price records with a top bid of just under $1 billion - almost $200 million more than the market expected. The huge offer stunned analysts and dramatically underscored demand for well-located land in the up-and-coming area. The knockout bid of $969 million - or $1,012 per sq ft (psf) per plot ratio (ppr) - came from heavyweights CapitaMalls Asia, CapitaMall Trust and CapitaLand.
It is easily the highest offer for any mixed-use site outside the city centre and reflects confidence in the suburban office market, the remaking of Jurong and the value that developers see in choice locations near MRT stations, say experts. The second highest bid - $917 million lodged jointly by United Engineers and Singapore Press Holdings - was also far ahead of market expectations. A Keppel Land-led joint venture with Perennial Real Estate offered $785 million. Frasers Centrepoint and private fund Phoenix trailed the field of five with a joint bid of $640 million, 34 per cent lower than the top offer.
They suggest a shift of developers' interest to explore opportunities in suburban commercial land, especially when a substantial amount of office space has been released in the city over the past few years. 'Given limited suburban office supply, the Jurong site might provide good opportunities that developers see value in,' she added. Experts also weighed in on what the site might be used for apart from offices. Savills' Ms Tay said the remaining 60 per cent GFA could be used for apartments as there will be a good market for well-located homes.
- The Straits Times, P32
Exchange Rates (extracted from xe.com)
1.00 SGD = 0.80 USD
1.00 SGD = 5.22 CNY
1.00 SGD = 2.45 MYR
1.00 SGD = 0.49 GBP
1.00 SGD = 877.42 KRW
1.00 SGD = 36.35 INR
1.00 SGD = 6,906.43 IDR
1.00 SGD = 6.26 HKD
ST Index change: 3,119.9 (+1.25) *As at Thu 26 May 2011 09:17 AM
SIBOR (3 mths): 0.43750 (S$)
SWAP (3 mths): 0.27294 (S$)
No comments:
Post a Comment