Government ramps up private housing supply; offers three EC sites on Confirmed List
Following the progressing ramp-up of personal housing supply in the GLS programs over the last three years, the inventory of private housing units offered available for sale has increased steadily from 16,100 units at the end of 2021 to around 21,000 units since end-November 2024.
Additionally on the Confirmed Listing is the residential plot in Upper Thomson Road (Parcel A), that observed no quotes when its tender closed in June 2024. Previously, the plot was to provide a blend of non commercial units and long-stay serviced apartments. Of note, the URA has supplied even more flexibility this time around; it stated that serviced apartment/long-stay serviced apartment use would not be mandated for the location but can be enabled subject to approval from technical agencies, notes PropNex.
In view of the tight competition for EC sites among property developers and rising EC land costs, the authorities has increase the supply of EC sites, with three plots potentially yielding 980 units in the Confirmed List of 1H2025. This is a change from previous GLS programmes ever since 2018, with just one EC area offered in each of the half-yearly land sales programmes, notes PropNex.
The Reserve List consists of four private housing locations, one business location, three White spots and one hotel site, which 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.
The 3,475 household units on the Reserve Listing of 1H2025 are higher than the 3,090 units in 2H2024. Consisting Of the Reserve List, the total exclusive housing supply of 8,505 units in 1H2025 is on a level with the 8,140 units in 2H2024.
Hillock Green showflat locations
In addition to locations in two new real estate districts, most of the spots are nearby MRT terminals, which might entice property developers and buyers as well, notes Gafoor. “In our view, the most tempting ones are the mixed-use site in Hougang Central (835 units) that will be attached to the Hougang MRT terminal, the Telok Blangah Road plot (740 units) and Dunearn Road (370 units) site in brand-new housing precincts, and within mins’ walking to the MRT station, as well as the Lakeside Drive site (575 units) that is right next to the Lakeside MRT terminal, Jurong Lake Gardens and the Jurong East business hub.”
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 property developer location, and plots in Media Circle (for long-stay serviced apartment use). The URA declined the bids offered because they were too reasonable. These spots are currently listed on the 1H2025 Reserve Checklist.
Seven new plots are going to be introduced in the 1H2025 GLS programme. They include a plot at Lakeside Drive nearby the Jurong Lake Gardens in Jurong Lake District, Dunearn Road in the brand-new real estate development in Bukit Timah Turf City, and Telok Blangah Road on the previous Keppel Golf Course area.
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, rate development has regulated to 6.8% in 2023 from 10.6% in 2021 and 8.6% in 2022.
Ten plots will be supplied under the Confirmed List, comprising nine residential locations, three of which are executive condominium (EC) plots. The tenth plot is a housing cum commercial area. The 10 sites can generate an approximated 5,030 household units, featuring the 980 EC units.
To guarantee that there is adequate supply to meet housing demand and to keep market balance, the state has actually maintained the supply of exclusive property units by offering 8,505 units in the upcoming Confirmed List and Reserved List of the 1H2025 GLS Government Land Sales (GLS) program 1H2025.
Private household costs are anticipated to see even more small gains in 2024, with the collective rate increase over the first 3 quarters of the year at about 1.6%.
The site of the previous Singapore Indian Fine Arts Society on Dorsett Road, off Rangoon Road, which can produce about 430 units, will in addition be released for sale in 1H2025. A residential and commercial site at Hougang Central, that can generate a brand-new mixed-use development with 835 residential units and over 400,000 sq ft of commercial area, is sold. It will likely be integrated with the Hougang MRT Terminal on the Northeast Line.
The last time three EC plots were launched for sale in a single GLS program remained in 2H2014 when EC spots in Sembawang Road/Canberra Link, Anchorvale Crescent, and Woodlands Avenue 12 were released for tender. In 1H2014, 4 EC sites (2 in Yishun, one each in Sembawang and Choa Chu Kang) were launched available for sale via the GLS.
The increase in the EC land source in 1H2025 can “go some way to soothe the competition amongst developers in land tenders and help to moderate EC land cost and prices accordingly”, states Ismail Gafoor, CEO of PropNex.
In terms of residential units for sale, it’s in line with the 5,050 units offered in the Confirmed List of 2H2024. Nevertheless, it’s almost 60% higher than the regular supply on the Confirmed List in each GLS program from 2021 to 2023.
