The Singapore property market continues to see robust competition for government land sales (GLS) sites, with tenders launched since July attracting significant developer interest. Huttons Asia reports that every GLS site put up for tender since July has garnered more than six bids. The most recent tender even saw an impressive ten bidders, marking the highest level of competition since 2021.
Mark Yip, CEO of Huttons Asia, highlights the intense competition, stating that tender prices have been pushed upwards due to the “winner take-all” nature of the tender process. Developers are eager to secure attractive sites to bolster their portfolios, suggesting that this bidding intensity is likely to persist.
A previous report from Knight Frank indicated a potential modest reduction in the confirmed supply of GLS sites in 2026. The report also suggested a possible shift towards reserving more sites for developer-initiated triggers.
Looking ahead, Yip identifies three specific sites – Dunearn Road, Kallang Avenue, and Lentor Central – that are expected to draw considerable attention. He anticipates that these sites could attract between two and seven bidders each.
Here’s a closer look at each of these sites:
Dunearn Road: This site, strategically located near the Sixth Avenue MRT station in the Bukit Timah area, is expected to attract between four and seven bidders. Huttons Asia projects a top bid ranging from $1,350 to $1,450 per square foot per plot ratio (psf ppr). The area’s desirability is underscored by a previous tender for a site in the Turf City housing estate, which drew nine bidders and a winning bid of $1,410 psf ppr.
- The Holland Plain site, situated across from the Dunearn Road site, may potentially be moved to the H1 2026 Confirmed List. If all these sites are successfully launched and sold, approximately 1,225 new dwelling units could be added to the area within the next two years, further enhancing its residential appeal.
Kallang Avenue: This site stands out as the first GLS site designated for private residential living in the vicinity of the Kallang MRT station. Its unique waterfront feature, which Yip describes as “rare” in today’s market, is expected to make it highly sought after by both developers and prospective homebuyers. The waterfront aspect adds a distinct premium to the location, setting it apart from other available sites.
Lentor Central: As the eighth site within the Lentor precinct, Lentor Central represents the sole private residential enclave within Ang Mo Kio. Yip notes that less than 50 units remain unsold from previously launched projects in this precinct, indicating strong demand in the area.
- “The area is popular among buyers for its attractive entry price. Going by the fast pace of sales in recent OCR project launches especially in Lentor/Springleaf, demand for attractively priced private homes remained high,” Yip said. Interest in the Lentor Central site is projected to be similar to that seen in the last two years, with an estimated two to four bidders and bids ranging from $900 to $1,000 psf ppr. The consistent demand in the Lentor area reinforces its attractiveness to both developers and buyers.
Despite the limited supply of land and sustained developer interest, caution is expected to prevail. Developers are anticipated to remain selective in their bidding strategies, carefully evaluating the risks and potential returns associated with each site.
To mitigate risks and enhance their competitiveness, developers may increasingly consider forming consortiums. This collaborative approach allows them to pool resources, share financial burdens, and diversify their portfolios, ultimately increasing their chances of securing desirable GLS sites in Singapore’s competitive property market. The formation of consortiums could become a more common strategy as developers navigate the challenges and opportunities presented by the GLS program.
