The Housing and Development Board (HDB) has released a 99-year leasehold Executive Condominium (EC) site at Jalan Loyang Besar under the confirmed list of the Government Land Sales (GLS) program for the first half of 2024. Covering 28,405.5 square meters, the site could accommodate approximately 710 new residential units, attracting significant interest from developers and homebuyers alike.

High Developer Interest Anticipated

Industry experts expect strong competition for the Pasir Ris EC site due to the limited supply in the area:

• The last EC project in Pasir Ris, Sea Horizon, launched in 2013.

• No new Build-To-Order (BTO) flats have been introduced in the area since 2020.

• Resale prices for Sea Horizon have surged, averaging S$1,239 psf in 2024, up from the original launch price of S$800 psf.

According to Ngiam Juyong from Huttons Asia, this limited supply has created pent-up demand. Wong Siew Ying from PropNex and Justin Quek from OrangeTee & Tie both expect strong demand from upgraders in Pasir Ris and Tampines, noting that only two EC plots have been released in Singapore’s eastern region since 2020.

Expected Bidding Prices

Analysts estimate that bidding for Jalan Loyang Besar could reach between S$650 and S$760 psf per plot ratio (ppr). Competition is likely to involve five to eight developers.

• Marcus Chu from ERA Singapore predicts an intense bidding process.

• Developers must also account for the S$16,000 household income ceiling, which may affect demand for larger EC units.

Timing and Economic Considerations

Chu added that if the project launches in early 2026, it could benefit from a more favorable economic environment, potentially boosting buyer interest. Recent EC launches in the eastern region include:

• Tenet EC (2022)

• Tampines Street 62 site, awarded in 2023 to Sim Lian Land & Sim Lian Development at S$721 psf ppr

Tender Schedule and Bundling Strategy

• The tender for Jalan Loyang Besar closes at noon on August 1, 2024.

• It will be bundled with the launch of a residential site at Margaret Drive later in May.

According to Chu, bundling these launches could balance developer interest and support stable home price growth in the region.