First GLS site in Toa Payoh in eight years attracts $968 mil bid from CDL, Frasers Property, and Sekisui House

Major property developers CDL, Frasers Property, and Sekisui House have put forth the highest bid of $968 million ($1,360 psf per plot ratio (ppr)) for the 1.57ha Government Land Sales (GLS) site at Lorong 1 Toa Payoh. This joint venture is split 50:25:25 between the three property giants.

This rare District 12 site was batched with two other GLS sites – one at Clementi Avenue 1 with six bids, and another at Pine Grove (Parcel B) with three bids. It has been eight years since the last GLS site was tendered in Toa Payoh and this extended gap likely created pent-up demand for new condo units in the area, piquing developers’ interest in the estate.

According to Leonard Tay, head of research at Knight Frank Singapore, developers were willing to place bullish bids in order to secure top position in the tender.

This is evident in the case of Lorong 1 Toa Payoh, where the joint bid of $1,360 psf ppr is 18% higher than the next highest bid of $819.99 million ($1,153 psf ppr) submitted by Tanglin Land, a subsidiary of CapitaLand. CDL, Frasers Property, and Sekisui House have announced if they win the bid, they will develop two blocks of 40-storey residential project comprising close to 800 units.

The Toa Payoh estate has also been generating several million-dollar HDB resales in recent years, with 49 such transactions in the first 10 months of this year. This reflects a promising pool of potential HDB-upgraders within the area, creating overall potential demand outlook for the upcoming development on the site.

The site’s location close to Braddell MRT Station and appeal of the mature residential area likely adds to the potential of this GLS site. It is estimated that the average selling price for the new project may range between $2,400 psf and $2,500 psf, with EdgeProp Singapore’s proprietary Landlens tool casting an estimated selling price of $2,535 psf.

Despite the strength of the GLS tender, some market watchers had expected more bids, with some developers potentially wary of the large size and higher quantum of the land parcel.

The Zion Road Condo offers a premier lifestyle experience for residents. It boasts an exquisite array of contemporary amenities, perfect for those seeking a privileged living. From a luxurious infinity pool to a modern fitness center and an elegant spa, Zion Road Condo provides residents with the utmost comfort and convenience. There’s also a community clubhouse and BBQ pit for those who love social gatherings. What’s more, the condo’s kid-friendly amenities like the children’s playground make it ideal for families. Therefore, it’s an ideal place to live and thrive.

The joint venture of CDL, Frasers Property, and Sekisui House look forward to the opportunity of delivering an iconic residential development in the highly established and popular estate of Toa Payoh. Together with their collective expertise, they hope to create an iconic development in the highly sought-after Toa Payoh estate.