HDB launches fifth DBSS site at Simei

April 8, 2008
HDB launches fifth DBSS site at Simei
By EMILYN YAP

THE Housing and Development Board (HDB) has launched a fifth Design,
Build and Sell Scheme (DBSS) site at Simei Road for sale.

According to Nicholas Mak, director of consultancy and research at
Knight Frank, the site may fetch between $49 million and $76 million,
or $130 to $200 per square foot per plot ratio (psf ppr), and is
likely to attract bidders such as medium-sized developers and
construction companies.

The Simei site is the first to be offered under the scheme this year
and has a site area of 16,825.5 square metres, with an allowable
gross floor area of 35,333.55 sq m.

Property consultants considered the site attractive as it is located
in a mature estate with comprehensive facilities. The site is a short
walk from Simei MRT station and East Point Mall, and is also close to
schools such as Anglican High School.

Director of marketing and business development at Savills Singapore,
Ku Swee Yong, noted: 'Demand should be strong with recent
announcements by the MNCs and foreign banks that they are pushing
backroom services into Changi's office and industrial parks.'

He estimated that the Simei site may fetch between $57 million and
$60 million, or $150 to $160 psf ppr.

On the supply side, Mr Mak pointed out: 'As there has not been any
major launch for a mass-market residential project in the Simei and
Tampines areas, flats in the DBSS development at Simei Road will be
more appealing to purchasers.'

He expected the site to take about 320 to 360 units.

The tender will close on June 3 at noon.

Under the DBSS, private developers undertake the design, construction
and sale of public housing. Flats sold under the scheme come with a
99-year lease and buyers have to meet HDB eligibility conditions
similar to those set for HDB-developed flats.

HDB awarded the fourth DBSS site in Bishan to Qingdao Construction
Group in February, which put in a bid of $135.9 million or $237 psf
ppr.

HDB plans to launch another two DBSS sites in Toa Payoh and Bedok.

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