ST : DBSS site at Bedok Reservoir draws six bids

Nov 3, 2010

DBSS site at Bedok Reservoir draws six bids

THE tender for a land parcel at Bedok Reservoir Crescent, slated for public housing, closed yesterday with six bids received.

CEL Development came out tops with a bid of $112.6 million, or $224.3 per sq ft per plot ratio (psf ppr) for the site, which could yield 430 homes under the Design, Build and Sell Scheme (DBSS). Analysts said the top bid was more subdued than bids in the past.

The second highest bid came from Kwan Hwee Investment, at $109.8 million or $218.7 psf ppr, which was just 3 per cent lower than CEL's. This was followed by a joint bid by Hoi Hup Realty, Sunway Developments and SC Wong Holdings, at $107.2 million or $213.3 psf ppr. At the bottom was a joint bid from United Engineers Developments and Maxdin at $88.2 million, or $175.5 psf ppr.

The site is located about 10 minutes' walk from Bedok Town Park MRT station, which is expected to be completed in 2017.

Mr Nicholas Mak, executive director of SLP International Property Consultants, said the top bid could translate to a break-even cost of about $430-$470 psf. He found the bids varied across a narrower range, compared to the previous tender for a DBSS site at Tampines Avenue 5/Central 8, where the top bid was $261 psf ppr.

But he doubts that the sites left available for sale before the end of the year, at Upper Serangoon Road and Yuan Ching Road, will fetch higher bids.

'They do not enjoy a close proximity to the nearby MRT station compared to this site at Bedok Reservoir Crescent,' he said.

CHERYL ONG