The Housing and Development Board has launched a tender for an executive condominium site in Bukit Batok West. The site is located at Bukit West Avenue 8. The estimated cost of the project is S$515 million to S$600 million, but this is only the starting price. The final cost will be decided after the completion of the tender. However, if you are interested in purchasing an EC unit in Bukit Batok, you should keep in mind that you are not affected by the Additional Buyers’ Stamp Duty hike.
The Bukit Batok EC site is estimated to yield between five and six hundred residential units. The developer plans to build a cluster of projects in the area. The proposed development will be a one-to-one executive condominium, which is the ultimate luxury for a busy city. However, the HDB may be unable to approve the first bid, which would be the most expensive project in Bukit Batok.
The Bukit Batok West Avenue 8 executive condominium site is a prime location for developers. The development site is located a short walk from the Bukit Batok MRT station. It has a maximum gross floor area of 37,348 sq m and is expected to yield 375 units. The executive condominium site is situated near a park and future high-rise residential sites.
Bukit Batok West Avenue 8 EC is a new development in the area. It is one of the first ECs launched under the Government Land Sales scheme. The EC is located near several amenities, including the nearby Tengah Town and the West Mall. The upcoming development will also be near many shopping centers. Thus, the location makes it a highly-demanded area for the public.
There is a good chance that eight to 12 bidders will compete for the executive condominium plot in Bukit Batok. The top bid is expected to be around $241.2 million. The top bid, if successful, could fetch between $580 million and $630 million. The developer also plans to develop several other projects in the vicinity of Bukit Batok. A mid-sized EC plot could also fetch up to $600 per square foot.
Developers are keen on recharging their land banks. The site area of 134,004 sq ft is relatively small for an EC. A development of this size is deemed suitable for 375 units, which is within the preferred size range for new EC projects. The Bukit Batok EC size of the project does not have to be huge, which means that developers can benefit from economies of scale. However, the development is unlikely to sell out quickly. In any event, the development is expected to receive six to 10 bidders. The top bid is expected to be in the $209-$233 million range, which corresponds to around $580 per plot ratio.
The EC site is a hybrid public-private project located near the Tengah township. The development will comprise of 375 units at its finished stage. The last private residential project in the area was Le Quest, which received a great take-up when it was launched in August 2017. The EC site will be the first new development in the neighbourhood. The executive condo site in Bukit Batok is a desirable location for both homebuyers and investors.
The two top bidders for the Bukit Batok EC plot are members of groups with construction arms. That might have given them an edge. The market for private homes in the area is scarce, and developers are eager to replenish their land banks to meet demand. The top bid for a mid-sized parcel could be between $241.2 million and $261 million. While the top bid is not as competitive as the other bidders, it could still be worth bidding higher than this.