The recent Urban Redevelopment Authority (URA) tender for Media Circle Parcel A, a residential site with commercial space on the first storey, concluded with a cautious response from developers. Despite a strong performance in January’s new launches, only three bids were submitted for the 325-unit plot, reflecting developers’ selective approach amidst economic uncertainties and rising costs.
The top bid of S$315m, or S$1,037 per square foot per plot ratio (psf ppr), was placed by a consortium of Qingjian Realty, China Communications Construction Co., and Siong Construction & Engineering Pte Ltd. This bid was 13% lower than the adjacent Media Circle site, which was awarded at S$1,191 psf ppr in February 2024. The top bid also surpassed the next highest offers from EL Development and Sing-Haiyi by 6% to 7%.
Tricia Song, CBRE Head of Research for Singapore and Southeast Asia, noted that developers are likely cautious due to the availability of more attractive sites under the Government Land Sales (GLS) programme, coupled with heightened construction and financing costs. The location’s appeal is further limited by its distance from the nearest MRT station and lack of comprehensive amenities, making it less attractive to local owner-occupiers.
The one-north area, known for its strategic R&D hub, appeals more to expatriates and young professionals. However, the ample new supply and potential competition from upcoming projects like Bloomsbury Residences and unsold inventory at nearby developments may also deter developers. The future launch price for the Media Circle project is expected to be around S$2,350 to S$2,450 psf, lower than nearby projects closer to the MRT station.
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