if they reduce absd, this market could spike big time.
Senior
if they reduce absd, this market could spike big time.
Junior
In a statement, ERA's key executive officer, Eugene Lim, said: "It is possible that the top bidder had expected keen competition for this site (so) they decided to put in such a high bid."
He added: "The breakeven is estimated to be just below S$1,500 psf, and they may have to sell around S$1,600 to S$1,800 psf to account for profit."
Christopher Tang, CEO of Frasers Centrepoint Commercial, said in a statement that the company plans to develop a "12-storey integrated complex comprising 900 residential units sitting on top of a retail mall, bus interchange and community club".
He added that the top bid also "demonstrates our confidence in the suburban mall sector, and is in line with our strategy to strengthen our foothold in the Yishun area".
Junior
Next revision on DC rates will see huge jump in commercial & Residential for sector 115. Not forgetting WRC & TSL impact.
Senior
Originally Posted by Pro888
hahah to me they just demonstrated their lack of knowledge of their competitors ...
Junior
can't help agree w u ... heads gonna roll, esp with their new thai bosses eagerly watching them ...
Newbie
Crazy bid...
You can be crazy when you have the money...
I think I am right on the lowest bid.. we should take average bid prices. Drop the highest and lowest bid and the average of the rest should be a fair bid.
No $1700 psf no sell.. I think this is going to be hot. Yishun with lots of potential with all the flats. They can recover their cost easily.
Newbie
Developer might lower psf for residential and raise psf for commercial to squeeze the profit out. If developer holds on to the commercial to rent out, rentals will be adjusted upwards accordingly. Residents will eventually have to pay more for goods and services when they shop there.
Senior
if i recall correctly, they don't have much land bank remaining, maybe that swayed their judgement.
i have never seen far east getting out bidded by that kind of margin. usually when they gp in, they go big, but Fraser just kicked the ball out of the park.
half beast half freak
can, but they r not willing to do so.Yishun condo cannot be selling more than 1500 psf la, this will make our guardians jump!The cooling measures are not working......
Can they don't award to the highest bidder but give to the lowest bidder??
zheng hu oso 钱不够用
Not Newbie
Nobody's head will roll. Kun Charoen's working style is very hands-on and I will not be surprise if he is the one who raised the recommended bid price to make sure he will win.
This parcel of land is a definite must buy for them as they already have Northpoint there, there will be economy of scale if they are able to integrate both development. Just imagine what will be the impact if the parcel is won by Far East? They will definitely try to divert traffic away from Northpoint. Double whammy for Fraser. Look at Guthrie's bid on Jurong West and how they managed to integrate two developments and how successful it is. Hopefully Yishun will be the same.
So i will say this is a defensive yet aggressive bid. If you look at Fraser's last bid at Cecil street, they are equally aggressive at the bid.
Whether it is a smart or stupid move, only time will tell.
Newbie
红狮招标得非常有意义顺顺利利， 发发发
红狮知道，义顺是金色的土地，靠近乌节路。。。
未来有非常光明的发展。。。。Chiak Beh Liao.
Newbie
may be second bidder kana question by mangement why estimate so low, don't you know Yishun Ai Huat Liao, Golden Land why you loose to top bidder almost 50%, You Know We Are FEO, how can loose so much, malu, 去吃西风啦.
Junior
Agree. Billionaire got lots of money and always act alone. FC has broken away from collaboration with FEO & Sekisui (Watertown, eCO bedok, Q Bay etc). How much Peter Lim paid for Thomson Medical compared to the last done price???
Newbie
My wild guess, there will be medical suites at the commercial area. Supporting KTP hospital. Future MRT is coming to NS12 and more Hdbs will be built. Maybe the temporary BuS interchange is a hidden treasure. Really Stunning.
Junior
Maybe heads will roll at FEO instead. hahaha
Junior
Speculation:
Current management no longer keen to stay, i.e. do one spectacular stunt before exit.
Or maybe already told to leave by Thai tycoon who might put in his own people...... so quickly pull this fantastic and memorable deal so that government will say *Clap Clap*, "Thanks for the good price! We are happy to sell to you."
But if you ask me the real deal? I think this tycoon is damn smart.
He wants to pull traffic into the north with 2 two mega malls, i.e. Causeway Point, Northpoint.
AMK Hub - CMI
NEX too small
Junction 8 too small
Toa Payoh - nothing
Orchard Road too expensive.
Toa Payoh and northwards will have traffic pulled towards these two mega FC malls.
The timing of completion will coincide with the Woodlands, Sembawang, Admiralty revamp plan.
Sim Lian's Bukit Panjang integrated development will pale in comparison to this and crowd might even be pull into the north to shop, play.
Junior
From OSK DMG
Scoop of the Day: FNN Properties won a HDB land sales at Yishun yesterday,
with a winning bid of $1.43bn (implied $1,078psf) or 48% higher than the next
highest bidder (Far East at $731psf) out of total of 5 bidders. It is also 36% higher
than previous mix-use tender at Yishun Ring Rd site won by CEL Property
($794psf in Jan-13, yet to launch). We strongly suspect the low number of
bidders is driven by specifics of this site as it mandates a combination of
Residential and Retail, plus a community centre and a Bus Interchange. The
aggressive bidding by FNN is understandable as plot is adjacent to NorthPoint
(cap value $2,415psf based on gross rental of $16.6psf) which has one of the
highest average retail traffic count at 3.4mil per month. The ASP for residential is
likely to be high at $1,800psf, but good plot location beside Yishun MRT should
ensure good subscription in our view.
Junior
From FC
"The average monthly footfall in FY2011 @ Northpoint was about 3.2 million per month, the highest in FCT’s portfolio"
This is more than Compass point, Causeway Point, Centrepoint etc.
With Yishun population increasing another 40% in the next few years & Thai billionaire takeover of FNN, thus the aggressive price tag.
Maybe (only maybe) because FC has left FEO & Sekisui, so they were weak in their bidding.
Junior
Another comparing
Vivocity footfall (2010) ~ 43.6 million
Northpoint (2011) ~ 38.4 million, will increase to 55 million in few years time (ah ga ah ga nia)
Junior
It is about human traffic movement.
Same like Jurong point. Ppl out of mrt have to pass thru mall before hopping onto bus. Going thru few rounds of expansion to attain 43.2 m footfall in 2011.
How big is northpont compared to Jurong point? Room of expansion.
Compass point - Ppl out of mrt, go straight up to LRT. Taping out & in later cost $$$. Also troublesome. Bus interchange at one side, shopping at the other side.
Bus-stop outside Yishun mrt, not many buses, wait very long. Only serve a fraction of Yishun (chong pang) residents.
Bus-stop outside Ang Mo Kio mrt, with many buses high freq. Serve about a third of AMK residents.
Senior
The road for sure will get more congested and garment will make more money throughout ERP.
Junior
Same for Causeway pt which doesn't enjoy the high footfall. Bus interchange directly below mrt. Bypass shopping.
Junior
Another underpass will be built that will link directly from mrt to future hub. What will happen to northpoint if yishun hub goes to other ppl hands??
Junior
Yishun will be one of the beneficiaries of the North-South Expressway. Don't pray-pray. From Yishun to the City in 30 minutes according to the LTA's projections:The road for sure will get more congested and garment will make more money throughout ERP.
http://www.lta.gov.sg/content/ltaweb...ssway-nse.html
Senior
But pay through the nose and still get jam.
Junior
Speculated Scenario: Again emphasized speculated......But pay through the nose and still get jam.
F developer: Bro, north side infrastructure CMI lah..........
G.o.d. : No money leh, most of the land sales from CCR go to improve CCR infrastructure leh.
F: No lah, you cannot like that lah..... not fair to the north people you know.....
G.o.d. : I also know, but north people poor leh. I build also cannot take back money.
F: Wah lau, north people also your people, do something leh. The north people pay the most for ERP through CTE everyday leh. I got two big malls in the north leh, everytime see rental hike up in CCR, I also upset leh.... I can't pay proper dividends to my shareholders leh.
G.od.: Don't BS me lah, you got the most footfall in the current mall leh.
F: Aiyah, I'm businessman, where got enough but I tell you to improve the north infrastructure will also benefit you and me mah.....
G.o.d.: You are right, I have been quite an a**h**** Ok lah, tell you what..... I tear the whole Y***** interchange down. You bid super crazy price for this land then i got money to improve the whole darn place. I also worry that the next round of sacrificial offerings from the north won't be enough to keep my G.o.dly position. I need to secure more worshippers by improving the place and make them happy.
F: Bro, finally you are using your brain. I got your interests at heart.
G.o.d. Don't BS me lah, we got both interests at heart. You are a unscrupulous businessman, I'm a power-monger.
F: Yea, we should all go to hell together. *Shake Hands*
G.o.d: Gentleman agreement ah......until the tender results come out....
F: So much for transparency.....
G.o.d: Well, history and law are written by the victors and that includes me, the almighty. The rest are just collateral damage.
F: No comments, I just want my yield and money. I got a thousand face buddha in Thailand to answer too now as well.
Invester
HDB has awarded a mixed commercial and residential development site (pictured) at Yishun Avenue 2/Yishun Central 1 to Frasers Centrepoint, after the developer submitted a stunning bid of S$1.43 billion.
Frasers' top offer was about 50 percent higher than the second bid of S$969.3 million from Far East Civil Engineering, Far East Orchard and Sekisui House.
The 99-year leasehold site has a land area of 41,084.9 sq m and maximum gross floor area (GFA) of 123,254.7 sq m, with a plot ratio of 3.0.
The proposed mixed-use development is expected to generate 890 housing units and will be integrated with a bus interchange and community club.
Newbie
HDB huat Liao
Senior
If you ask anyone working in FMCG companies, they will tell you that Jurong point is one of their most important outlet in Singapore. When there is malls people will come. When you have 2 malls side by side + MRT and bus interchange? Thats a no brainer.
"Never argue with an idiot, or he will drag you down to his level and beat you with experience."
Newbie
Maybe this will be interchange station like Bishan. Possible?
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