Latest news with #GuocoLand
Business Times
23-05-2025
- Business
- Business Times
The best is yet to be for Tengah property prices, say DBS analysts
[SINGAPORE] Property developers such as GuocoLand could benefit from a potential rise in home prices near popular primary schools, particularly in emerging areas like Tengah New Town. Still, DBS Group Research cautioned in a report, titled 'Primary school premium: Fact or Fiction?', that price appreciation also depends on factors such as transport access, tenure, and project attributes. DBS analysts Tabitha Foo and Derek Tan said in the report, published on Thursday (May 22), that some primary schools are more popular than others because of historical ties valued by parents who are alumni, or their specialised programmes, the school culture, or proximity to home. Under Singapore's school balloting system, children living nearer oversubscribed schools are given higher priority for admission, which has prompted some parents to buy homes nearby to boost their child's chances of a place, they added. 'This 'proximity advantage' could make nearby properties more attractive to parents seeking to maximise their admission priority,' they said. However, while properties within 1 or 2 km of such schools generally appreciate more in price than their district averages, the trend is not consistent across all locations, the analysts noted. A NEWSLETTER FOR YOU Tuesday, 12 pm Property Insights Get an exclusive analysis of real estate and property news in Singapore and beyond. Sign Up Sign Up For instance, the analysts said that a study of a sample of popular schools found that homes near Catholic High School and CHIJ St Nicholas Girls' School registered compound annual growth rates that were generally over 5 per cent – higher than their respective district averages. In contrast, properties near Singapore Chinese Girls' School and Rosyth School recorded more mixed results; some projects near these schools underperformed their surrounding districts. The analysts said that while moving closer to a popular school is 'one of the key factors driving potential price appreciation', it is also important to consider other factors. These include entry timing and price, proximity to MRT stations, lease tenure, the age of the project, the availability of multiple primary schools, and other development attributes. These considerations, they noted, may explain the variation in price trends across different school zones, despite similar proximity advantages. Looking ahead, the analysts said the upcoming Tengah New Town could be a development to watch, particularly with Anglo-Chinese School (Primary) School planning to relocate there by 2030. While the analysts said it is still early to quantify the impact the school's relocation will have on property prices in Tengah, they observed that the town is rapidly developing with numerous Build-To-Order launches, as well as the award of multiple Executive Condominium sites. DBS' report cited the awarding of a recent private condominium land parcel in Tengah to GuocoLand, Hong Leong Holdings and CSC Land Group in January under the Government Land Sales programme. The 25,458.4-square-metre site on Tengah Garden Avenue is zoned 'Residential with Commercial at 1st storey', and can potentially yield about 860 residential units. GuocoLand, which announced its results in February for its first half-year ended Dec 31, 2024, noted steady demand for its residential developments in Singapore. The property developer reported a net profit of S$74.6 million for H1, up 13 per cent from S$66.2 million in the year-ago period. The group attributed the improved performance to its main business engines: property investment and property development.
Business Times
23-05-2025
- Business
- Business Times
School proximity may boost home prices – but not everywhere: DBS report
[SINGAPORE] Property developers such as GuocoLand could benefit from a potential rise in home prices near popular primary schools, particularly in emerging areas like Tengah New Town. Still, DBS Group Research cautioned in a report, titled 'Primary school premium: Fact or Fiction?', that price appreciation also depends on factors such as transport access, tenure, and project attributes. DBS analysts Tabitha Foo and Derek Tan said in the report, published Thursday (May 22), that some primary schools are more popular than others because of historical ties valued by parents who are alumni, or their specialised programmes, the school culture, or proximity to home. Under Singapore's school balloting system, children living nearer oversubscribed schools are given higher priority for admission, which has prompted some parents to buy homes nearby to boost their child's chances of a place, they added. 'This 'proximity advantage' could make nearby properties more attractive to parents seeking to maximise their admission priority,' they said. However, while properties within 1 or 2 km of such schools generally appreciate more in price than their district averages, the trend is not consistent across all locations, the analysts noted. A NEWSLETTER FOR YOU Tuesday, 12 pm Property Insights Get an exclusive analysis of real estate and property news in Singapore and beyond. Sign Up Sign Up For instance, the analysts said that a study of a sample of popular schools found that homes near Catholic High School and CHIJ St Nicholas Girls' School registered compound annual growth rates that were generally over 5 per cent – higher than their respective district averages. In contrast, properties near Singapore Chinese Girls' School and Rosyth School recorded more mixed results; some projects near these schools underperformed their surrounding districts. The analysts said that while moving closer to a popular school is 'one of the key factors driving potential price appreciation', it is also important to consider other factors. These include entry timing and price, proximity to MRT stations, lease tenure, the age of the project, the availability of multiple primary schools, and other development attributes. These considerations, they noted, may explain the variation in price trends across different school zones, despite similar proximity advantages. Looking ahead, the analysts said the upcoming Tengah New Town could be a development to watch, particularly Anglo-Chinese School (Primary) School planning to relocate there by 2030. While the analysts said it is still early to quantify the impact the school's relocation will have on property prices in Tengah, they observed that the town is rapidly developing with numerous Build-To-Order launches, as well as the award of multiple Executive Condominium sites. DBS' report cited the awarding of a recent private condominium land parcel in Tengah to GuocoLand, Hong Leong Holdings and CSC Land Group in January under the Government Land Sales programme. The 25,458.4 sq m site on Tengah Garden Avenue is zoned 'Residential with Commercial at 1st storey', and can potentially yield about 860 residential units. GuocoLand, which announced its results in February for its first half-year ended Dec 31, 2024, noted steady demand for its residential developments in Singapore. The property developer reported a net profit of S$74.6 million for H1, up 13 per cent from S$66.2 million in the year-ago period. The group attributed the improved performance to its main business engines: property investment and property development.
Yahoo
09-02-2025
- Business
- Yahoo
GuocoLand tops five bidders for River Valley Green Parcel B with $1,420 psf ppr bid
The site is next to Kim Seng Park and fronts the Singapore River (Source: EdgeProp Landlens) The River Valley Green (Parcel B) tender closed on Feb 7 with five bids. The top bid of $627.84 million came from GuocoLand. Based on the land area of 126,326 sq ft and maximum gross floor area of 442,142 sq ft, the price translates to a land rate of $1,420 psf per plot ratio (ppr). The 99-year leasehold site can yield about 475 residential units with commercial space on the first level. "If we are awarded the site, we plan to build a high-end waterfront residential development with two towers," says Dora Chng, GuocoLand residential District 9 site in Robertson Quay "is the last residential site with direct access to the Singapore River", adds Chng. It is next to Kim Seng Park and fronts the Singapore River. The site also has direct access to the Great World MRT Station on the Thomson-East Coast Line and is just across the road from the popular River Valley Primary School, which should attract families with children of school-going age. Search for the latest New Launches, to find out the transaction prices and available units GuocoLand's bid was 7.9% higher than Sing Holdings' bid of $576.33 million ($1,308 psf ppr). Developers may also have viewed the River Valley Green (Parcel B) site more favourably due to its long frontage facing the Singapore River compared to the other River Valley Green sites, reckons Tricia Song, CBRE head of research for Singapore and Southeast Asia. "The slightly keener interest for [River Valley Green (Parcel B)] perhaps reflects a recovery in developers' confidence in the primary home sales market, supported by strong take-up rates at recent new project launches, as well as moderating interest rates towards the end of 2024," says Wong Siew Ying, head of research and content, PropNex. According to Mark Yip, CEO of Huttons Asia, the bids received were the highest number of bids and tender price for a GLS tender in the Core Central Region (CCR) since Irwell Bank Road, off River Valley Road, in January 2020. The tender attracted seven bids, with City Developments Ltd (CDL) winning the site with a bid of $583.9 million ($1,515 psf ppr). The site at Irwell Bank Road has since been developed into the 540-unit Irwell Hill Residences, which obtained its Temporary Occupation Permit in November 2024. Based on caveats lodged, the latest transaction at Irwell Hill Residences was for the sub-sale of a 678 sq ft, two-bedroom unit on the 15th floor that changed hands for $1.9 million ($2,802 psf) in January. River Valley Green (Parcel B) was initially placed on the Reserve List and zoned for 360 homes and 220 long-stay serviced apartments (SA2). However, in October 2024, it was launched for sale along with three other sites under the 2H2024 GLS programme. GuocoLand's top bid of $1,420 psf ppr for Parcel B is also 7.2% higher than the neighbouring Parcel A. Read also: Allgreen's $1,304 psf ppr at the top of two bids for Zion Road Parcel B Wing Tai Holdings won the River Valley Green (Parcel A) tender in June 2024 with a bid of d $464 million ($1,325 psf ppr). The new project on the site is expected to debut sometime in 2Q2025 as River Green, which is expected to have more than 400 recently awarded GLS sites in the vicinity include Zion Road Parcel B (estimated 610 units) site, which drew two bids and was awarded for $730.09 million ($1,304 psf ppr) in August 2024 to Allgreen Properties, and the SA2 (long-stay serviced apartments) hybrid site at Zion Road Parcel A (735 residential units, 435 SA2 units) which drew a lone bid of $1.1 billion ($1,202 psf ppr) from a joint venture between CDL and Mitsui Fudosan, which were awarded the site in April 2024. Marcus Chu, CEO of ERA Singapore, says that River Valley Green (Parcel B) drew the most bids among the sites. "The previous three sites in the vicinity only had an average of 1.7 bids each," he says. However, developers in the area will have to contend with heightened competition, with 1,725 residential units and 435 SA2 units expected in the pipeline from the three prior sites, says CBRE's Song. Nearby developments Riviere (455 units) saw 47 transactions in 2023 at a median price of $3,083psf and five units change hands in 2024 at a median price of S$2,848 psf. The freehold 545-unit Rivergate, completed in 2009, saw 13 transactions at a median price of $2,809 psf in 2024. Taking the cue from the launch prices at prior sites and new developments, Song reckons the new development at River Valley Green (Parcel B) could be launched at an average price of $3,000 psf. Read also: Wing Tai Holdings submits top bid of $1,325 psf ppr for residential GLS site at River Valley Green Mohan Sandrasegeran, SRI head of research & data analytics, anticipates the launch price for the new project to be in the range of $2,800 to $3,000 psf. "With recent new launches in the area, such as Irwell Hill Residences and The Avenir almost fully sold, we may still see healthy demand when this new project is launched for sale to buyers," says Justin Quek, CEO of OrangeTee & Tie. Check out the latest listings for River Green properties See Also: Singapore Property for Sale & Rent, Latest Property News, Advanced Analytics Tools New Launch Condo & Landed Property in Singapore (COMPLETE list & updates) Allgreen's $1,304 psf ppr at the top of two bids for Zion Road Parcel B Wing Tai Holdings submits top bid of $1,325 psf ppr for residential GLS site at River Valley Green Tender launched for Zion Road (Parcel B) GLS site En Bloc Calculator, Find Out If Your Condo Will Be The Next en-bloc HDB Resale Flats Up For Sale, Affordable Units Available
