Property Herald: Condo land tender closed with new record land price for Newton area

1.0 Introduction

The Government Land Sale (GLS) tender for the 99-year leasehold condominium site at Peck Hay Road (the subject site) closed today. With a plot ratio of 4.9 times, the 59,347 square feet (sq ft) site could potentially yield about 315 residential property units. This development site is part of the GLS programme Confirmed List for the first half of 2026 (1H 2026).

This site has the highest plot ratio among the nine Confirmed List sites in the GLS programme for the 1H 2026. A building of 35 to 40 floors could be built on this site.

2.0 Why this GLS tender drew fewer bids than previous land tenders

The tender for the subject site attracted four bids from property developers, which is lower than the average number of GLS tender bids in the past year. In the past 12 months, the GLS residential tenders attracted an average of 5.4 bids.

The four bids in the tender that closed today is also lower than the eight bids that were submitted in the previous GLS tender for another residential GLS site in the Newton area that closed in November 2025.

A contributing factor for the lower number of bids could be that property developers opined that there is no shortage of attractive residential sites offered by the government in the next six months. The GLS tender for another prime residential site at River Valley Green, which is in the Core Central Region (CCR), will close next week on 18 June.

Another reason is that the high land rates for residential land parcels in the Newton area. The previous land tender in November 2025 set a record land rate of $1,819.98 psf ppr for that location.

Some developers who did not participate in the Peck Hay Road land tender may feel that this land valuation is too rich and are keeping their powder dry for other asset acquisition.

3.0 Land price analysis

The top bid of $542.4 million submitted by a joint venture between City Developments and Hong Realty Pte Ltd in the GLS tender that closed today translates to a land rate of $1,865.15 psf ppr. It is a significant 8.4% higher than the second highest bid.

This is the widest gap between the highest and second highest bid in a GLS residential tender since the GLS tender for the previous Newton residential that closed in last November, when the price gap between the highest and second highest bids was 12.3%.

At the same time, the $1,865.15 psf ppr land rate is also 2.5% higher than the $1,819.98 psf ppr land rate paid for the previous 99-year leasehold condominium site in the Newton area that was sold last November.

The aggressive bids in both land tenders shows that the developers are highly confident of the northward trajectory of high-end condominium prices.

Table 1: GLS sites comparable to Peck Hay Road GLS site

Below is the list of comparable GLS sites that are sold. The residential projects on the first five sites are already launched for sale.

Name of new development / GLS site location	Tender closing date	Land price ($)	Land rate ($psf ppr)	Estimated No. of units
Upperhouse at Orchard Boulevard	Feb-24	$428,280,980	$1,616.77	301
Skye at Holland	May-24	$805,390,000	$1,285.09	666
River Green	Jun-24	$463,999,999	$1,325.27	524
Promenade Peak	Jul-24	$730,088,888	$1,304.33	596
River Modern	Feb-25	$627,835,896	$1,420.00	455
Holland Link (parcel 1)	Jul-25	$368,368,368	$1,432.09	230
Dunearn Road (parcel 1)	Jun-25	$491,454,208	$1,410.01	380
Bukit Timah Road (near Newton MRT)	Nov-25	$566,291,712	$1,819.98	340
Dunearn Road (parcel 2)	Apr-26	$532,999,999	$1,624.91	335
Holland Plain	May-26	$454,000,000	$1,490.86	280

Source: Mogul.sg Research

4.0 Key attractions of the subject site

The locational strengths of this site far outweigh its weaknesses, which is why we expect bullish bids in the land tender. Below are the descriptions of the key attractions of the subject site.

4.1. Short distance to Newton MRT station

The subject site is situated about 200 metres, or a 3-minute walk from Newton MRT station, which is also an MRT interchange linking the North-South Line and the Downtown Line. In addition, the site is also located near to bus stops, which would increase the accessibility to public transportation for the residents

Source: Mogul.sg Research

4.2. Housing demand to rise due to Newton area redevelopment

In Master Plan 2025, URA has planned for 5,000 private homes in the Newton area. Due to the precinct being transformed into a mixed-use urban village, the demand for housing in the Newton area is expected to rise over time.

4.3. Near to many popular primary schools

The site is near to some of the most popular primary schools in Singapore. It is within 2 km of six primary schools, including Anglo-Chinese School (Junior), Anglo-Chinese School (Primary), St Joseph’s Institution Junior and Singapore Chinese Girls’ School (Primary).

Table 2 shows the list of primary schools that are within 2 km of the subject site.

Table 2: Primary schools within a 2 km radius of Peck Hay Road GLS site

S/N	Name of school	Estimated distance from subject site (metre)
1	Anglo-Chinese School (Junior)	500
2	Anglo-Chinese School (Primary)	850
3	St. Joseph's Institution Junior	1,250
4	Saint Margaret's Primary School	1,250
5	Singapore Chinese Girls' School (Primary)	1,550
6	Farrer Park Primary School	1,550

Source: Mogul.sg Research

4.4. Short distance to CBD

From Newton MRT Station, it takes about 17 minutes to get to Raffles Place MRT Station by train. Residents living on the subject site who work within the CBD would be able to commute to their office quickly, decreasing the time spent on commuting.

4.5. Future commercial developments near subject site

Based on the Master Plan for the Newton area, there will be new commercial developments in the area, which will provide retail amenities and employment opportunities for the residents.

4.6. Food options at Newton Food Centre

The subject site is about 450 metres from Newton Food Centre, or a 6 minutes’ walk. Residents living in the future development on the subject site would be able to have convenient access to nearby food options without having to travel far.

5.0 Drawback of the subject site

There are not many drawbacks to this GLS site.

5.1. Lack of nearby retail amenities for daily necessities

There is currently a shortage of retail amenities such as retail malls, shops and supermarkets near the subject site. Residents living on the subject site would have to travel about 1 km to obtain their groceries from the Orchard Road area.

6.0 Potential launch price of residential development on this site

As the strengths of this condominium site outweigh its drawback, the land tender drew an aggressive top bid that set a new benchmark land price for residential sites in the CCR.

Based on the top bid submitted in the tender today, we expect the new residential development on the Peck Hay Road site to be launched in the first half of 2028 at about $3,600 to $3,900 psf.