The confidence in Jurong West land plots couple with rejuvenating plans to transform Jurong into a commercial and entertainment hub has caused MCL Land to place the top bid of $630.13 psf ppr for the adjacent plot of land next to their neighbour project Lakeville.
MCL Land top bid is also a significant higher bid than HY Realty’s of $592.46 psf ppr and its bid is slightly less than Lakeville’s bid of $651psf ppr. The number of bids received for the latest tender exercise came from 9 developers suggesting that developers are more cautious given that the previous Lakeville bid drew interest from 12 developers. Analyst note that despite the market softening for the past 2 years, the plot of land still draw significant interest from the various developers.
Jurong West Tender by MCL Land
However, many analyst were quick to note that the tender from MCL Land is the only bid that exceed the $600psf mark which the rest were below the psychological mark. This suggest there although developers show keen interest in the site, the developers are reserved on their bids given that the TDSR has affected buyer sentiment.
Despite general buyer sentiments, MCL Land’s spokesperson will keen to note that they are familiar of the buyer’s profile in Jurong and are confident that Jurong will be one of the strongest growth story in Jurong due to the upcoming high speed railway as well as the upcoming Jurong commercial hub.
MCL Land Latest Tender
Based on the bid price of the project, analyst note that the breakeven price for the development should be $1,00psf and the selling price should be in the range of $1,300psf. MCL Land note that the requirement to use prefabricated prefinished volumetric construction (PPVC) might add to the cost of the construction cost and that MCL Land will target Lake Grande buyers to the range of young families and singles who are keen in the Jurong region.
Pricing for Lake Grande Condo
Plans are underway for the latest jurong tender Lake Grande condo to comprise of 600 units and pricing at $1,300psf. Analyst note that this price psf is considered acceptable among buyers who are bounded by the TDSR. Also, confidence is achieved that J Gateway was also fully sold out at $1,480psf and therefore the pricing is priced realistically for potential buyers.