Residential site at Petir Road receives nine bids

Number of bids indicates developers’ optimism on site’s location, which is near Pending LRT station.

A residential site, situated at Petir Road, on the south-eastern fringe of Bukit Panjang HDB estate, received a good response of nine bids, Leonard Tay, CBRE Research Director said.

The Urban Redevelopment Authority closed the tender for the residential site at Petir Road on Thursday, according to a CBRE Research report.

“The subject site is situated at Petir Road, on the south-eastern fringe of Bukit Panjang HDB estate. It is about 10 minutes’ walk from the Pending LRT station. When the Downtown Line 2 is completed in 2015, the nearest station will be Hillview station, which is a short drive away.” Mr. Tay said.

“The quantum of the bids indicates that the developers are optimistic about the location this site, given the sell-out of 429-unit Tree House condominium – adjacent to the subject property – during the second quarter of 2010. The top bid of $177.40 million reflects $345 psf/plot ratio and translates to a breakeven cost of $680 psf to $700 psf. Units in this new residential project will possibly sell for above $800 psf. Tree House was launched at $830 psf on the average in April 2010. Units in Mi Casa, a new project at Choa Chu Kang Avenue 3, were sold at $700-$850 psf in July-September 2010. In the resale market, units in 12-year-old Maysprings, were sold at between $560 psf and $760 psf over the same period,” he added.

The site at Petir Road was launched for public tender on 31 August 2010. The site was offered for sale on a 99-year lease.