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28-06-2011, 06:28 AM
Business Times - 28 Jun 2011
URA releases Kallang Riverside site terms
8,196 sq m plot can have 16-storey hotel with about 490 rooms
By FELDA CHAY
THE Urban Redevelopment Authority (URA) yesterday released detailed sales conditions for a 99-year leasehold hotel site at Kallang Riverside.
The 8,195.6 square metre site along Kallang River has a maximum permissible gross floor area (GFA) of 22,948 sq m, and can potentially yield about 490 hotel rooms. It can be built to a maximum of 16 storeys.
On top of a maximum GFA, the land parcel also has a minimum total GFA for the development built: it cannot be less than 20,563 sq m, said URA.
Slated for a hotel development, the plot of land can also house complementary amenities for retail and food and beverage uses, although a minimum 60 per cent of the total GFA must be used for hotel rooms and hotel-related uses. The remaining GFA can be for commercial and residential purposes.
Nicholas Mak, head of research at SLP International, believes that the chances of the site being triggered for a tender this year are slim.
'As there is no shortage of hotel development sites in the Government Land Sales (GLS) programme, there is a less than 50 per cent chance that this site will be triggered for tender in the second half of 2011.
'The developer who is interested in this site must have a more medium-term view for this vicinity. Presently it is still a 'work-in- progress' location. There is no major shopping area or centre of white-collar employment on this side of Kallang River.'
He believes that the site could fetch between $155 million and $168 million if it is up for tender in today's market. This works out to between $630 and $680 per square foot per plot ratio (psf ppr).
The waterfront site is located 'just minutes' from the Central Business District and the Orchard Road shopping belt, said URA. It is flanked by both direct river frontage and adjoining park land.
The future Sports Hub will also be 'just a stone's throw away' from the area - which is part of the Greater Marina Bay district. Kallang Riverside is also one of the key growth areas unveiled in the Master Plan 2008.
'The precinct will have a wide range of uses developed within a park and riverfront setting,' said URA.
'With proposed prime condominiums and hotel developments along Kallang River, as well as a recreation, retail and entertainment cluster at the historic Kallang Airport, Kallang Riverside will be the new waterfront lifestyle precinct at the city's edge.'
This land parcel is the second hotel site to be put on the reserve list. The first site is located just beside it and sits at the intersection between the riverside and Geylang Road. It was made available for sale on the reserve list in 2009. A tender has not been triggered for the site.
URA releases Kallang Riverside site terms
8,196 sq m plot can have 16-storey hotel with about 490 rooms
By FELDA CHAY
THE Urban Redevelopment Authority (URA) yesterday released detailed sales conditions for a 99-year leasehold hotel site at Kallang Riverside.
The 8,195.6 square metre site along Kallang River has a maximum permissible gross floor area (GFA) of 22,948 sq m, and can potentially yield about 490 hotel rooms. It can be built to a maximum of 16 storeys.
On top of a maximum GFA, the land parcel also has a minimum total GFA for the development built: it cannot be less than 20,563 sq m, said URA.
Slated for a hotel development, the plot of land can also house complementary amenities for retail and food and beverage uses, although a minimum 60 per cent of the total GFA must be used for hotel rooms and hotel-related uses. The remaining GFA can be for commercial and residential purposes.
Nicholas Mak, head of research at SLP International, believes that the chances of the site being triggered for a tender this year are slim.
'As there is no shortage of hotel development sites in the Government Land Sales (GLS) programme, there is a less than 50 per cent chance that this site will be triggered for tender in the second half of 2011.
'The developer who is interested in this site must have a more medium-term view for this vicinity. Presently it is still a 'work-in- progress' location. There is no major shopping area or centre of white-collar employment on this side of Kallang River.'
He believes that the site could fetch between $155 million and $168 million if it is up for tender in today's market. This works out to between $630 and $680 per square foot per plot ratio (psf ppr).
The waterfront site is located 'just minutes' from the Central Business District and the Orchard Road shopping belt, said URA. It is flanked by both direct river frontage and adjoining park land.
The future Sports Hub will also be 'just a stone's throw away' from the area - which is part of the Greater Marina Bay district. Kallang Riverside is also one of the key growth areas unveiled in the Master Plan 2008.
'The precinct will have a wide range of uses developed within a park and riverfront setting,' said URA.
'With proposed prime condominiums and hotel developments along Kallang River, as well as a recreation, retail and entertainment cluster at the historic Kallang Airport, Kallang Riverside will be the new waterfront lifestyle precinct at the city's edge.'
This land parcel is the second hotel site to be put on the reserve list. The first site is located just beside it and sits at the intersection between the riverside and Geylang Road. It was made available for sale on the reserve list in 2009. A tender has not been triggered for the site.
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