URA launches tenders for two GLS sites at Media Circle
The most latest GLS site in the vicinity to be awarded was a 114,462 sq ft area on Media Circle. The site was granted in January to a shared venture comprising Qingjian Real estate and China Communications Construction Co, also referred to as Forsea Holdings, which submitted the leading bid of $395.29 million ($1,191 psf ppr). The site could be created into a 355-unit property.
The future project may be a welcome addition to the presently limited housing options for specialists working in one-north. “Current real estate selections in the one-north location mainly depend on co-living spaces, serviced apartments and hotels,” says Chu.
The sites stand at the southern end of the one-north area. “Media Circle was mainly developed as a company and tech park,” states Marcus Chu, CEO of ERA Singapore. “As such, the instant vicinity may not be sufficiently set up with amenities to sustain a non commercial enclave.”
ERA’s Chu gets a much more cautious perspective, considering that Media Circle (Parcels A and B) have a less attractive place compared to previous one-north spot GLS locations, like Slim Barracks Rise (Parcel A) (now the 275-unit Blossom by the Park) that is near to the Buona Vista MRT Station.
Another tender for a nearby 62,046 sq ft household site entirely zoned for long-stay serviced apartments closed in September. However, URA declined the only proposal of $120.09 million ($461 psf pprt) proposed by a consortium led by Frasers Property, regarding it “way too low”.
The tenders for 2 sites positioned near Media Circle under the 2H2024 Government Land Sale (GLS) Programme were released on Nov 26. Both 99-year leasehold sites within the Confirmed List are zoned residence with retail usage at the first floor.
Media Circle (Parcel A) rises at the juncture of Media Walk and Media Circle. Figuring 82,125 sq ft, it has a maximum gross floor area (GFA) of 303,865 sq ft and can potentially generate around 325 housing units. The adjacent Media Circle (Parcel B) measures around 107,936 sq ft and has a maximum GFA of 464,129 sq ft. It can potentially produce around 500 houses.
The tenders for Media Circles (Parcels A and B) will close next year on March 4 and April 29, respectively. Yip thinks that the staggered termination days will enable developers to keep track of interest rate in the location and help them create tender quotes. He anticipates each spot could draw in up to 3 quotes, with the top quote of approximately $494 million or in between $1,000 to $1,100 psf ppr.
Mark Yip, CEO of Huttons Asia, adds that the future project at the site might be well-positioned to tap into the tenant pool consisted of employees in one-north, Science Park, and the National University of Singapore. “Households with children studying in the nearby Tanglin Trust School may be potential renters too,” he adds.
Chu foresees a “warm feedback” to the two newest Media Circle plots. “With a smaller purchaser pool than a lot of residence sites to take advantage of on, developers might not be as eager to contest for the Media Circle sites.” He adds that developers might be more considering other GLS spots in the Confirmed List, including the sites at Bayshore Road and Chuan Grove.
