The Urban Redevelopment Authority (URA) tender for the Lentor Gardens (2) residential site concluded with only two bids, reflecting developers’ cautious approach amidst ample supply in the area. Kingsford Group emerged as the top bidder, offering S$429.23 million, equating to S$920 per square foot per plot ratio (psf ppr). This bid was marginally higher than the second bid from a consortium of Hong Leong Holdings, Mitsui Fudosan Co., and China Construction (South Pacific) Development Co.
The Lentor Gardens (2) site, which can accommodate 500 units, is the last of seven plots in the Lentor estate, contributing to a total of 3,454 units. The subdued interest is attributed to the site’s distance from the upcoming Lentor MRT station and the absence of nearby popular schools like CHIJ St. Nicholas Girls’ School. Additionally, the presence of unsold inventory from previous Lentor projects likely deterred more aggressive bidding.
Tricia Song, Head of Research at CBRE Singapore and Southeast Asia, noted that the S$920 psf ppr bid is the lowest land rate among the Lentor sites, significantly below the S$1,204 psf ppr record set by Lentor Central in 2021. Despite this, the Lentor area has seen robust sales, with 94% of units from existing projects sold.
The future launch price for Lentor Gardens (2) is expected to be around S$2,100 to S$2,200 psf, slightly below the current average at Lentor Central Residences. This reflects the ongoing demand in the area despite the challenges posed by location and competition.
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