Public residential land tenders passed over by developers in Q3

Singapore 24 Oct 2014
Public residential land tenders passed over by developers in Q3

Government residential land sales were snubbed by policy-battered property developers in Q3. According to Colliers, the average number of developers who participated in public residential land tenders plummeted to 4.7 in 3Q 2014 from 8.6 and 6.3 recorded in 1Q and 2Q 2014, respectively.

The average number of participating developers has plummeted there were only four sites sold in 3Q, most of which commanded lower values as they were generally sited at more outlying locations than those awarded in the previous quarter.

Location aside, developers have also demonstrated an increasing level of selectiveness and guardedness in their bids – a sign that the confluence of multiple cooling measures and the Total Debt Servicing Ratio (TDSR) framework that have been impeding the private collective land sales market is starting to take its toll on the public residential land sales segment,” stated Colliers.

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