Government ramps up private housing supply; offers three EC sites on Confirmed List
Following the progressive ramp-up of private real estate supply in the GLS programs over the last 3 years, the supply of private residential units offered for sale has actually increased continuously from 16,100 units at the end of 2021 to around 21,000 units since end-November 2024.
The ramp-up of supply from the GLS programmes has added to the stabilisation of the personal residential market, as reflected by the moderation in property price drive. Based on the URA private property price index, price expansion has regulated to 6.8% in 2023 from 10.6% in 2021 and 8.6% in 2022.
The 3,475 non commercial units on the Reserve Listing of 1H2025 are more than the 3,090 units in 2H2024. Including the Reserve Lineup, the overall exclusive housing supply of 8,505 units in 1H2025 is on a the same level with the 8,140 units in 2H2024.
In view of the tight competition for EC locations amongst developers and going up EC land costs, the authorities has ramped up the supply of EC sites, with three plots potentially yielding 980 units in the Confirmed Listing of 1H2025. This is a change from previous GLS programmes ever since 2018, with only one EC spot presented in each of the half-yearly land sales programmes, notes PropNex.
The last time 3 EC plots were launched for sale in an one GLS programme remained in 2H2014 when EC spots in Sembawang Road/Canberra Link, Anchorvale Crescent, and Woodlands Avenue 12 were launched for tender. In 1H2014, four EC sites (2 in Yishun, one each in Sembawang and Choa Chu Kang) were released available for sale using the GLS.
Ten plots will be supplied under the Confirmed List, comprising 9 residential sites, 3 of which are executive condominium (EC) plots. The tenth plot is a residential cum commercial site. The 10 sites can yield an approximated 5,030 residential units, including the 980 EC units.
The increase in the EC land source in 1H2025 can “go some way to ease the opposition among property developers in land tenders and guide to moderate EC land cost and prices accordingly”, states Ismail Gafoor, CEO of PropNex.
The Reserve Listing consists of four private residential locations, one business site, three White locations and one hotel site, that can potentially yield an additional 3,475 private residential units and 199,900 sqm (2.15 million sq ft) gross floor area (GFA) of commercial spot.
To make certain that there is adequate supply to meet housing need and to keep market balance, the state has actually sustained the supply of nonpublic household units by providing 8,505 units in the upcoming Confirmed List and Reserved List of the 1H2025 GLS Government Land Sales (GLS) program 1H2025.
Private household rates are anticipated to see more modest increases in 2024, with the collective rate raise over the first 3 quarters of the year at around 1.6%.
In regards to household units for sale, it’s in line with the 5,050 units used in the Confirmed List of 2H2024. However, it’s almost 60% higher than the regular supply on the Confirmed List in each GLS program from 2021 to 2023.
7 brand-new plots will be presented in the 1H2025 GLS programme. They consist of a plot at Lakeside Drive nearby the Jurong Lake Gardens in Jurong Lake District, Dunearn Road in the brand-new housing development in Bukit Timah Turf City, and Telok Blangah Road on the former Keppel Golf Course area.
The site of the previous Singapore Indian Fine Arts Society on Dorsett Road, off Rangoon Road, which can generate about 430 units, will even be launched for sale in 1H2025. A residential and commercial site at Hougang Central, that can produce a new mixed-use property development with 835 residential units and over 400,000 sq ft of commercial area, is marketed. It will likely be incorporated with the Hougang MRT Station on the Northeast Line.
It was an unprecedented year for GLS tenders. For the first time, URA did not award the tender for three plots – Marina Gardens Crescent, the Jurong Lake District master developer site, and plots in Media Circle (for long-stay serviced apartment use). The URA turned down the bids offered because they were too reasonable. These sites are currently listed on the 1H2025 Reserve Checklist.
In addition to locations in two brand-new real estate districts, most of the sites are near MRT stops, which can interest property developers and buyers as well, notes Gafoor. “In our sight, one of the most tempting ones are the mixed-use site in Hougang Central (835 units) that will be connected to the Hougang MRT terminal, the Telok Blangah Road plot (740 units) and Dunearn Road (370 units) site in new real estate precincts, and within minutes’ walk to the MRT stop, in addition to the Lakeside Drive website (575 units) that is right next to the Lakeside MRT terminal, Jurong Lake Gardens and the Jurong East business hub.”
Also on the Confirmed Checklist is the non commercial plot in Upper Thomson Road (Parcel A), which viewed no quotes when its tender finalized in June 2024. In the past, the plot was to provide a mix of non commercial units and long-stay serviced apartments. Of note, the URA has actually supplied even more versatility this time; it stated that serviced apartment/long-stay serviced house usage would not be mandated for the spot however can be allowed based on approval from technical firms, notes PropNex.
