Tampines Street 94 site launched for tender, estimated to yield 585 private residential units

The government has launched a mixed-use commercial and residential site at Tampines Street 94 for tender under the 1H2024 Government Land Sales (GLS) programme. Given its proximity to an MRT station and several primary schools within a 1-kilometre radius, analysts expect keen interest from developers.

The Housing & Development Board (HDB) announced on Thursday (27 June) the launch of the Tampines Street 94 site for tender under the Confirmed List of the 1H2024 GLS programme. Situated opposite Tampines West MRT station, the 99-year leasehold site spans 23,512 square metres (approx. 253,081 square feet) and can yield an estimated 585 private residential units, alongside about 10,500 square metres of commercial gross floor area.

With its sizeable commercial space, the development could become another key commercial and retail hub in the Tampines estate. The surrounding vast catchment of HDB flats will also drive footfall to the commercial component, significantly enhancing the site's appeal.

Within 1 km of the site are Junyuan Primary School, St. Hilda's Primary School, and Tampines Primary School, while SAFRA Tampines is also close by.

Between 2023 and 2027, around 8,800 HDB flats in Tampines will reach their Minimum Occupation Period (MOP), forming a strong pool of prospective upgraders for the new project.

Market watchers anticipate between three and six bids for the site, with top bid estimates ranging from $900 to $980 per square foot per plot ratio (psf ppr).

The projected scale of under 600 units is seen as palatable for developers. However, as part of the site sits directly above an underground MRT line, the developer will be required to build an underground pedestrian link connecting the project to the MRT station, which could bump up construction costs.

The top bid is projected to land between $632 million and $699 million, which translates to $950 to $1,050 psf ppr.

Tender to close on the same day as Media Circle site

The last state land parcel sold in the area was at Tampines Avenue 11, also a mixed-use site but roughly twice the size of Tampines Street 94. That tender drew three bids, with the top offer coming in at $885 psf ppr.

The tender for the Tampines Street 94 site will close at 12 noon on 19 September, alongside the Media Circle site.

Separately, the Urban Redevelopment Authority (URA) announced on Thursday that the River Valley Green (Parcel A) site, which closed on 19 June, has been awarded to the highest bidder, Winchamp Investment.

Winchamp Investment, a subsidiary of Wing Tai Holdings, submitted a top bid of nearly $464 million, translating to roughly $1,326 psf ppr.

The River Valley Green (Parcel A) site occupies an area of 9,293.3 square metres (approx. 100,000 square feet) and can accommodate around 380 residential units.

The Tampines site's primary advantages lie in its integrated commercial component and seamless MRT connectivity. Having the commercial space held under a single strata ownership will also allow for tighter control over tenant curation, ensuring the retail mix meets the daily needs of residents with amenities such as a childcare centre, supermarket, and food court.