11-Way Tussle for Upper Serangoon Road Mixed-Use Land
A plump mixed-use site at Upper Serangoon Road was clinched by Asset Legend Limited, a subsidiary of Cheung Kong. It offered the highest price of $276.8 million when tender closed on 27 Nov 2014. The 99-year land parcel with residential and 1st storey commercial located strategically at Upper Serangoon Road and Tampines Road has a maximum permissible floor area (GFA) of 30,292 m2. This works out to $848.84 per square foot per plot ratio (psf ppr).
The said sale site is just conveniently situated opposite the road to Kovan MRT and the Heartland Mall.
The 2nd bid submitted by SL Capital Ventures Pte Ltd at $240 million is 13.29% lower than the highest bid; while the 3rd highest bid by consortium Verwood Holdings, TID Residential and Intrepid Investments at $234.6 million is 15.24% below Asset Legend’s offer.
In early November 2014, the Building and Construction Authority (BCA) introduced new construction requirements. This is to improve construction productivity. All projects constructed on government land sale sites starting from November henceforth have to ensure a level of prefabrication adherence. This includes the utilization of drywall for the internal partitions in residential land. This means that developers will have to factor in this higher cost as more workers will have to be employed in factories to be assigned to this task.
Hence, the closing of the tender date was extended from 13 Nov to 27 Nov to allow tenderers more time to factor in this new requirement into their bid/offer.
The top bidder Asset Legend will name this mixed-use new condo Singapore launch as Stars Of Kovan. It represents the landmark of Kovan, a shining beacon not to be missed. This project is estimated to launch in March/April 2016. Anticipation is running high with many buyers on the lookout for Cheung Kong’s projects as they are often associated with high standards and quality.