URA launches tenders for two GLS sites at Media Circle
The tenders for 2 sites situated near Media Circle under the 2H2024 Government Land Sale (GLS) Program were released on Nov 26. Both 99-year leasehold sites under the Confirmed Lineup are zoned non commercial with commercial usage at the 1st floor.
The most recent GLS site in the vicinity to be awarded was a 114,462 sq ft site on Media Circle. The site was awarded in January to a shared venture including Qingjian Real estate and China Communications Construction Corporation, similarly called Forsea Holdings, that submitted the top quote of $395.29 million ($1,191 psf ppr). The site can be developed into a 355-unit project.
ERA’s Chu brings an extra careful perspective, noting that Media Circle (Parcels A and B) have a much less attractive place matched up to previous one-north spot GLS locations, which include Slim Barracks Rise (Parcel A) (now the 275-unit Blossom by the Park) that is next to the Buona Vista MRT Stop.
Mark Yip, CEO of Huttons Asia, adds in that the future work at the site would be well-positioned to tap into the tenant pool consisted of employees in one-north, Science Park, and the National University of Singapore. “Families with children learning in the neighboring Tanglin Trust School might be potential tenants too,” he adds.
The sites stand at the southerly end of the one-north part. “Media Circle was mostly developed as a company and technology park,” states Marcus Chu, Chief Executive Officer of ERA Singapore. “Thus, the immediate vicinity might not be sufficiently equipped with amenities to support a non commercial enclave.”
The future project might be a wanted add-on to the presently limited real estate alternatives for specialists doing work in one-north. “Present real estate options in the one-north area mainly depend on co-living spaces, serviced apartments and hotels,” states Chu.
The tenders for Media Circles (Parcels A and B) are going to close next year on March 4 and April 29, specifically. Yip assumes that the staggered terminating days will allow developers to check interest rate in the location and help them formulate tender proposals. He anticipates each site might bring in up to 3 proposals, with the leading bid of approximately $494 million or in between $1,000 to $1,100 psf ppr.
Another tender for an adjacent 62,046 sq ft residential site entirely zoned for long-stay serviced apartments closed in September. However, URA turned down the sole proposal of $120.09 million ($461 psf pprt) submitted by a consortium led by Frasers Property, regarding it “far too cheap”.
Media Circle (Parcel A) is located at the crossroads of Media Walk and Media Circle. Measuring 82,125 sq ft, it has a highest gross floor area (GFA) of 303,865 sq ft and can most likely generate about 325 real estate units. The adjacent Media Circle (Parcel B) estimates about 107,936 sq ft and has a total GFA of 464,129 sq ft. It can possibly yield around 500 residences.
Chu foresees a “lukewarm reaction” to the two latest Media Circle plots. “With a much smaller customer pool than most house sites to take advantage of on, property developers might not be as interested to compete for the Media Circle sites.” He includes that property developers may be much more interested in some other GLS spots in the Confirmed List, including the sites at Bayshore Road and Chuan Grove.
