Pasir Ris white site clinched by Allgreen Properties, Kerry Properties tie-up
The Housing & Development Board (HDB) awarded a white site beside Pasir Ris MRT Station to Phoenix Commercial Pte Ltd and Phoenix Residential Pte Ltd. These two companies are owned by a joint venture between Kerry Properties and Allgreen Properties. Both companies are among the Kuok Group of Companies that Malaysian business magnate Robert Kuok controls. Their winning bid is almost $700 million, which translates to $684.48 per square foot per plot ratio (psf ppr) since the gross floor area is 1.02 million sq ft.
3 bids for 99-year plot lease
The concept of dual envelope and price revenue tender for the plot held under a 99-year lease was closed on the 14th of December 2018, having attracted three bids. Far East Commercial Trustee and Laguna Garden are the other shortlisted tenderer. Both of them bid $677.78 million, which translates to $662.75 psf ppr. A third bidder also made a tender but wasn’t shortlisted as there was a tie-up between Kajima Development and Singapore Press Holdings.
An integrated residential and commercial development
On the 22nd of March 2019, HDB declared in its release that the proposed development which consists of residential and commercial development integrated with a polyclinic, bus interchange, and town plaza will be well connected to public transport services and amenities. The development, now known as Pasir Ris 8, will as well serve as a community focal point upon completion.
In order to make this vision a reality, HDB shortlisted quality development concepts that are properly integrated with amenities and attractive public spaces using a concept and price revenue tender system. The concept proposals that were shortlisted by the Concept Evaluation Committee (CEC) at stage one of the tender process were the ones that adequately satisfied the evaluation criteria.
The Concept Proposals
At stage two of tender evaluation, the price envelopes of the tenderers whose concept proposal got shortlisted were opened for consideration. Thereafter, the site was awarded to the tenderer whose bid is highest among the tenderers whose price envelopes were considered in stage two.
The tender for the site was made available for sale on 27th of August 2018 and closed on 14th of December. The three tenderers were privileged to submit a concept proposal and present their proposals to the CEC. After CEC evaluated all the proposal, only two out of three proposals substantially satisfied the criteria for evaluation. The proposals that satisfied the evaluation criteria were submitted by Far East Organization as well as the tie-up between Kerry Properties and Allgreen Properties.
When the price envelopes of the shortlisted tenderers were opened, it was discovered that the Allgreen-Kerry partnership submitted the higher bid, which was why the site was awarded to the Allgreen-Kerry partnership.