Hong Leong-Led Consortium Secures Top Bid of $821 psf ppr for Tengah Gardens Avenue GLS Site

Introduction

In a recent development, a Hong Leong-led consortium has emerged as the top bidder for the Tengah Gardens Avenue GLS site. This significant move marks a crucial milestone in the real estate landscape of Singapore, particularly in the burgeoning town of Tengah. The bid, valued at $821 per square foot per plot ratio (psf ppr), is a testament to the consortium’s confidence in the potential of this strategic location.

Background on the Tengah Gardens Avenue GLS Site

The Tengah Gardens Avenue GLS site is part of the Government Land Sales (GLS) programme for the first half of 2024. This site, measuring approximately 2.55 hectares, is the first condo land plot to be released in Tengah. It is strategically located beside Hong Kah MRT Station, which is just one stop away from Tengah MRT Station along the Jurong Region Line[2].

Key Features of the Site

  • Site Area: The site spans approximately 2.55 hectares, equivalent to 274,479 square feet.
  • Gross Plot Ratio: The site has a gross plot ratio of 3.0, indicating a potential for 860 residential units.
  • Commercial Space: The site includes 3,000 square meters of commercial space, catering to retail and business needs.
  • Lease Period: The lease period for the site is 99 years[2].

The Bidding Process

The bidding process for the Tengah Gardens Avenue GLS site was highly competitive, with several notable bidders vying for the top spot. The Hong Leong-led consortium ultimately secured the top bid of $821 psf ppr, narrowly surpassing the second-place bid of $815 psf ppr by a mere 0.73%[1].

Comparison with Second-Place Bid

  • Top Bid: $821 psf ppr
  • Second-Place Bid: $815 psf ppr
  • Difference: 0.73% higher than the second-place bid

Implications of the Top Bid

The successful bid by the Hong Leong-led consortium has significant implications for the future development of Tengah Gardens Avenue. Here are some key points to consider:

Development Potential

  • Residential Units: The site’s gross plot ratio of 3.0 indicates a potential for 860 residential units, catering to a diverse range of buyers.
  • Commercial Space: The inclusion of 3,000 square meters of commercial space will provide ample opportunities for retail and business activities.
  • Economic Impact: The development of this site is expected to boost the local economy, creating jobs and stimulating growth in the area.

Strategic Location

The site’s proximity to Hong Kah MRT Station and its connection to the Jurong Region Line make it an attractive location for potential residents. This strategic location offers easy access to various parts of Singapore, enhancing the overall livability of the area.

Sustainability and Smart Town Features

Tengah is Singapore’s first smart and sustainable town, with a focus on green living and innovative urban planning. The development of Tengah Gardens Avenue will align with these sustainability goals, providing residents with a modern and eco-friendly living environment.

Conclusion

The Hong Leong-led consortium’s top bid of $821 psf ppr for the Tengah Gardens Avenue GLS site marks a significant milestone in the development of Tengah. This strategic location, coupled with its potential for residential and commercial growth, positions Tengah Gardens Avenue as a prime opportunity for real estate investors and developers. As the project moves forward, it is expected to contribute positively to the local economy and enhance the livability of the area.

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