Private Housing Supply in 1H 2024 to Yield 5,450 Units, Highest in a Decade!

The Government has ramped up the supply of private residential land for the seventh consecutive time to meet market demand, expanding the Confirmed List supply under the 1H2024 Government Land Sales (GLS) programme to 5,450 units—the highest level since 2H2013.

The GLS programme introduces land parcels on a half-yearly basis, and this marks the seventh straight increase in new private housing supply.

Total Potential Pipeline Supply of Private Homes and ECs to Reach 59,100 Units

The units slated for 1H2024 represent a 5.6% increase from the 5,160 units in 2H2023. Including this upcoming supply, the total potential pipeline of private residential properties (including Executive Condominiums, or ECs) in the market will stand at approximately 59,100 units.

The Ministry of National Development (MND) announced on Wednesday (6 December) that the 1H2024 GLS programme comprises 10 Confirmed List sites and nine Reserve List sites, catering to private residential, commercial, and hotel developments.

These 19 sites include a long-stay serviced apartment parcel at Media Circle in one-north, as well as the first private residential plot in the Bayshore precinct. The former is also the third long-stay serviced apartment site launched by the Government.

The release noted that housing demand is projected to stay resilient over the coming years. The increased supply on the Confirmed List for 1H2024 will help address demand and support a stable, sustainable property market. Spanning a diverse range of locations, these sites will provide varied housing typologies to cater to different needs.

MND added that the Government will continue to monitor economic trends and the property market closely, calibrating GLS land supply as necessary.

Loyang Besar EC Site Yields 710 Units; Tampines Plot Earmarked for Mixed Development

Of the 10 Confirmed List sites, nine are residential parcels, including an EC site at Jalan Loyang Besar that can yield 710 units. The remaining parcel is a commercial and residential mixed-use site at Tampines Street 94, which can yield 585 homes and 10,500 sq m (approx. 113,021 sq ft) of commercial space.

Including Jalan Loyang Besar and Tampines Street 94, the Government has introduced eight brand-new Confirmed List sites this round. Notable new additions include River Valley Green (Parcel A), located next to Great World MRT station, which can yield 380 units.

Among the nine Reserve List sites, six are residential plots, alongside one commercial site, one White site, and one hotel site. These nine sites can collectively yield 3,460 residential units, 93,850 sq m of commercial space, and 530 hotel rooms.

Analysts: Slower Pace of Growth Still Sufficient to Rein in Prices

In this latest GLS announcement, the Government has demonstrated its resolve to maintain an ample pipeline of housing to meet sustained market demand and stabilise home prices.

Property prices are shaped by supply and demand. Alongside cooling measures designed to manage demand, augmenting housing supply serves as an effective lever to keep price growth in check.

Excluding the EC site, the Confirmed List supply stands at 4,740 private homes—a 3% sequential increase. This marks the smallest uptick since 1H2021, likely reflecting the volume of upcoming project launches scheduled for 2024.

Experts: Bayshore May Yield 3,000 Private Homes; Keen Competition Anticipated

Although the Bayshore Road plot is placed on the Reserve List (yielding 480 units), it is the pioneer private residential site in the neighbourhood, making it an area to watch.

Given its prime location, the plot is expected to draw strong interest from both developers and homebuyers. Developers will likely seek a first-mover advantage in this precinct. With an estimated 3,000 private homes expected across the precinct in the future, competition is set to be intense.

According to the Master Plan, the Bayshore precinct will feature around 10,000 new homes, roughly 70% (7,000 units) of which will be HDB flats, with the remainder reserved for private residential housing.