Although local market analysts initially predicted a more conservative price ceiling for the site, the tender for the Hougang Central mixed-use plot concluded with a surprisingly aggressive top bid.
The winning offer, submitted by a powerhouse consortium specifically comprising CapitaLand Development and UOL Group, reached a staggering S$1.5 billion, or S$1,179 per square foot per plot ratio (psf ppr). This bold figure certainly raised eyebrows, for it comfortably exceeded earlier expert forecasts that ranged merely between S$800 and S$1,000 psf ppr.
The tender, which officially closed on December 16, 2025, received three competitive bids, proving that developers remain very hungry for prime regional land assets.
Coming in at a close second was local heavyweight Sim Lian Group, offering a high S$1.47 billion or S$1,155 psf ppr, while a partnership led by Frasers Property, Sekisui House, and Lum Chang only placed third with S$1.4 billion, equating to roughly S$1,101 psf ppr.
The victors, operating as Horizon Residential and Horizon Commercial, are clearly keen to replicate their past commercial success, specifically recalling their 2023 win for a similar Tampines mixed-use site for S$1.21 billion.
That specific project, Parktown Residence, successfully moved 87% of its 1,193 units at a solid average of S$2,360 psf in February 2025, suggesting this team knows exactly how to handle large integrated developments.
The 99-year leasehold, 4.7-hectare site situated above Hougang MRT station is a rare gem, promising the area’s first major retail mall with over 430,000 square feet of commercial space, which is nearly double the size of Hougang Mall. It is also situated near established amenities including eateries and small retailers and neighboring shophouse rows.
Scheduled for a public sales launch in the first half of 2027, this project will yield an estimated 835 residential units alongside a modern supermarket and spacious food court.
It is a massive undertaking, requiring complex engineering and construction to integrate with the bus interchange and future Cross Island Line.
Since this is the first Government Land Sales site in Hougang since 2014, pent-up demand from local upgraders is expected to be fierce. Observers note that there have been no other comparable projects mentioned in the vicinity since the debut of The Florence Residences in 2019.
With direct connectivity to two subway lines by 2030, future residents will enjoy enviable access, making that bold billion-dollar price tag seem like a very calculated strategic risk. The development is likely to attract significant interest from young professionals seeking private home ownership in a well-connected location with modern amenities.
