URA launches tenders for two GLS sites at Media Circle
The tenders for 2 sites located around Media Circle under the 2H2024 Government Land Sale (GLS) Program were started on Nov 26. Both 99-year leasehold sites following the Confirmed List are zoned residence with retail usage at the first floor.
ERA’s Chu brings an extra cautious perspective, considering that Media Circle (Parcels A and B) have a less attractive area matched up to previous one-north area GLS sites, like Slim Barracks Rise (Parcel A) (currently the 275-unit Blossom by the Park) that is close to the Buona Vista MRT Stop.
The tenders for Media Circles (Parcels A and B) are going to close next year on March 4 and April 29, respectively. Yip believes that the staggered termination days will certainly let developers to keep track of interest in the location and assist them formulate tender bids. He expects each location might draw in up to three quotes, with the top bid of approximately $494 million or between $1,000 to $1,100 psf ppr.
The sites stand at the southerly end of the one-north part. “Media Circle was mainly created as a company and tech park,” says Marcus Chu, Chief Executive Officer of ERA Singapore. “As such, the instant vicinity may not be completely set up with facilities to support a non commercial enclave.”
The future project might be a wanted inclusion to the currently minimal real estate choices for specialists doing work in one-north. “Current real estate options in the one-north location mostly focus on co-living spaces, serviced apartments and hotels,” says Chu.
One of the most recent GLS site in the vicinity to be awarded was a 114,462 sq ft area on Media Circle. The site was awarded in January to a mutual venture including Qingjian Real estate and China Communications Construction Co, also referred to as Forsea Holdings, which submitted the best quote of $395.29 million ($1,191 psf ppr). The site could be created into a 355-unit property.
Media Circle (Parcel A) is located at the crossroads of Media Walk and Media Circle. Measuring 82,125 sq ft, it has a maximum gross floor area (GFA) of 303,865 sq ft and can potentially generate about 325 real estate units. The adjacent Media Circle (Parcel B) sizes up approximately 107,936 sq ft and has a total GFA of 464,129 sq ft. It can potentially yield about 500 residences.
Another tender for an adjacent 62,046 sq ft residential site entirely zoned for long-stay serviced apartments closed in September. However, URA turned down the sole proposal of $120.09 million ($461 psf pprt) sent by a consortium led by Frasers Property, considering it “too cheap”.
Mark Yip, CEO of Huttons Asia, adds that the future work at the site might be well-positioned to tap into the tenant pool comprised of workers in one-north, Science Park, and the National University of Singapore. “Family members with children studying in the neighboring Tanglin Trust School may be potential tenants too,” he adds.
Chu foresees a “lukewarm action” to the two most current Media Circle plots. “With a smaller customer pool than most house sites to take advantage of on, property developers might not be as keen to contest for the Media Circle sites.” He adds that developers may be more considering some other GLS sites in the Confirmed List, including the sites at Bayshore Road and Chuan Grove.
