The Housing and Development Board (HDB) has unfurled the tender for a mixed-use commercial and residential site at Tampines Street 94, marking its presence under the confirmed list of the 1H2024 Government Land Sales (GLS) Programme. This sprawling 252,989 sq ft site, boasting a gross plot ratio of 2.6, promises a maximum gross floor area (GFA) of 665,366 sq ft.This new launch can potentially accommodating 585 residential units and a commercial GFA of approximately 112,980 sq ft.

Marcus Chu, CEO of ERA Singapore, lauds the site, emphasizing its commercial allure and strategic location just a stone's throw from the Tampines West MRT station. "The site's commercial segment will fall under a single strata owner, facilitating greater control over tenant selection. Expect a vibrant retail mix, catering to residents' needs with facilities such as a childcare centre, supermarket, and food court," Chu elaborates.

Strategically adjacent to the Tampines West MRT station on the Downtown Line, the site's appeal is further enhanced by its proximity to the Tampines Regional Centre and Bedok Reservoir, highlights Mark Yip, CEO of Huttons Asia. "This mixed-use site promises unparalleled convenience with amenities at residents' fingertips and is surrounded by four primary schools within 1km, including the esteemed St Hilda's Primary School."

The educational landscape around the site is robust, featuring institutions like Junyuan Primary School, Tampines Primary School, Springfield Secondary School, and Temasek Polytechnic. Tampines, an established housing enclave, consistently experiences strong housing demand, supported by its strategic commercial hubs like the Tampines Regional Centre, Changi Airport, and Changi Business Park, as noted by ERA's Chu. This thriving demand offers a lucrative opportunity for investors eyeing the area's robust tenant pool, which is easily accessible via the Downtown Line.

Justin Quek, CEO of OrangeTee & Tie, underscores the significant foot traffic anticipated from the numerous BTO (build-to-order) flats in the vicinity. "Proximity to the Tampines West MRT station enhances travel convenience. Between 2003 and 2027, approximately 8,800 flats in Tampines will reach their Minimum Occupation Period (MOP). Islandwide, nearly 67,000 flats will hit MOP within this timeframe, bolstering the customer base for the upcoming project," he explains.

Reflecting on past developments, Huttons' Yip recalls the last GLS site sold in Tampines at Tampines Ave 11, also a mixed-use site. Awarded to a joint venture between UOL Group, Singapore Land Group, and CapitaLand Development for $1.206 billion, the site will integrate commercial and residential components with a bus interchange, community club, and hawker centre. The project, poised to launch later this year, will offer around 1,190 residential units.

Yip notes that the Tampines Ave 11 site, double the size of the Tampines St 94 site, attracted three bids at tender closure. He anticipates a similar bidding interest for Tampines St 94, with competitive bids likely ranging from $820 to $850 psf ppr. OrangeTee's Quek predicts fierce competition, with three to six bidders vying for the site, with the highest bid possibly reaching $900 to $980 psf ppr.

In the Outside Central Region (OCR), the new mixed-use development at Tampines Street 94 is considered a mid-sized venture, considering its estimated 585 residential units. ERA's Chu opines that the capital outlay won't be as steep as larger projects, making it an attractive proposition despite current market challenges. "We believe this site will capture significant interest from developers, possibly attracting a higher-than-usual number of bids," Chu asserts.

The tender for the GLS site at Tampines Street 94 is set to close on September 19, inviting eager anticipation from developers and investors alike.