The Kampong java road is a secondary road located in Newton, Singapore. The tender for the residential site located on the Kampong java road was won by Chip Eng Seng. The Chip Eng Seng Corporation limited (CES) is one of the construction and property group in Singapore that has been registered in the Singapore exchange securities limited. The tender that attracted seven bids was closed on the 15th of January. The Urban Redevelopment Authority (URA) revealed that the tender was won by CELH a unit of the Chip Eng Seng with a top bid of 418.8 million dollars. Guocoland had submitted the second top bid of 417.24 million dollars. This price tag was considered to be a bit low for the Kampong java site.
Kampong Java Site at Newton MRT Station by Chip Eng Seng
The Kampong java road site covers approximately 11,643.3 square kilometers with the maximum GFA (gross floor area) of approximately 32,602 square kilometers. Considering this GFA, the site can host close to 435 units. The Dunearn Road, Central Expressway (CTE) and the Newton MRT interchange station make the Kampong java road site easily accessible to many people. The site is also proximately located near important social amenities such as the school of Anglo-Chinese and the food center at Newton. Shopping malls including the United Square and ION Richard are just a few minutes away.
Investors for Kampong Java Condo
The new expansion in the Kampong java site that is being conducted by the Chip Eng Seng will attract many potential investors. This is due to the high number of people who are potential tenants and work in the medical cluster at Novena, Orchard Road and the central business district. According to the senior director and head of research at the Knight Frank Singapore, the breakeven price would be around 1,600 dollars per square feet. Obviously, this will be dependent on the building materials used.
Top Bids for Newton Site by Chip Eng Seng CEL Development
Ong Teck Hui who is senior director, research and consultancy say that the prices at the Kampong java road site have reduced greatly and there is a significant gap in the top bid of the site. This is in comparison to other sites that have been sold before with the likes of Dunear gardens and Fraser properties being brought into the picture. There have been concerns on whether the top bid on the Kampong java road site meets the Urban Redevelopment Authority’s reserve price. It only tends to reflect on the conditions of supply and demand that are affecting the market unfavorably. The supply of new units in the areas that have been significant over two years has been contributed by the sale of land in prime districts.