Capitaland Uol Group Tops Bid Mixed Use Development Plot Hougang Central 15 Bil Bid Or 1179 Psf Ppr
Hougang Central Sees Competitive GLS Site Bidding
On December 16, the bid for the 99-year leasehold mixed-use GLS site located at Hougang Central concluded with three competing proposals. The highest bid was submitted by a consortium made up of UOL Group, CapitaLand Development, and CapitaLand Integrated Commercial Trust, reaching $1.5 billion, or $1,179 per square foot per plot ratio (psf ppr).
The planned development will segregate its residential and commercial components between the developers. UOL and CapitaLand Development are set to take on the residential aspect, while CapitaLand Integrated Commercial Trust will handle the commercial segment, which it plans to fully own.
As with the upcoming Sembawang Road EC, this initiative will significantly impact local community dynamics. The Hougang Central project is designed to be a vibrant community hub featuring approximately 830 residential units, a large mall with 300,000 square feet of net lettable area, and a public event space. This will make it the largest mall in Hougang and a central fixture for further area development.
CapitaLand Integrated Commercial Trust’s CEO, Tan Choon Siang, mentioned that this marks their first venture in Singapore’s northeastern sector, positioning the firm as a major player in high-quality commercial real estate in the region.
Developers Show Strong Confidence in Hougang Central
According to PropNex’s head of research Wong Siew Ying, the land rate offered for the Hougang Central site is notably high compared to other recent mixed-use developments, underscoring strong confidence in the private housing market, especially for integrated developments. This sentiment is reflected in the bids for other sites such as Chencharu Close and Tampines Street 94, which demonstrated increasing land prices.
Furthermore, the project at Hougang Central will be the first mixed-use development integrated with a transport hub in the area, directly linking to the Hougang MRT Station—an anticipated interchange for the North-East and Cross Island Lines by 2030. This integration promises substantial convenience and accessibility, adding value to both residential and commercial components of the development.
Proximity to amenities such as Hougang Stadium, Punggol Park, and various schools further enhances the location’s appeal, potentially attracting a significant number of HDB upgraders and landed property owners looking to resize.
The narrow margin between the highest and the second-highest bids also highlights a shared optimism among developers regarding the site’s potential. This GLS site, the first in Hougang in over a decade, follows the previously sold plot at Upper Serangoon Road, now developed into the Stars of Kovan.
With a long gap since the last residential land release in the area and only a few new project launches since 2022, the Hougang Central development is poised to meet a pent-up demand in the market. This anticipation is reflected in the expectations of real estate experts who foresee selling prices for the new project to hover in the range of $2,500 to $2,600 psf, aligning with current market trends for high-quality, transit-oriented developments.