Commentary on the Closing of the Tender for the EC Land Parcel at Senja Close

SINGAPORE, 5 August 2025 – “The tender for the EC site at Senja Close saw five bids, with the top bid of $252.9 million (or $771 psf ppr) put in by City Developments Limited.

The winning bid was 6.3% higher than the next highest bidder, TID Residential Pte Ltd.

In total, Senja Close received five bids, likely due to the lower price quantum and larger pool of buyers drawn in by the comparatively affordable prices of ECs. The relatively small scale of this development, with just 295 units, also further reduces development risk.

“Factoring in the 15-month wait-out period, both sites are expected to launch after November 2026. In total, we may see up to four EC launches in 2026, yielding around 1,985 units. The Tampines St 95 and Jalan Loyang Besar sites are likely to launch in Q1 2025. ” Said Eugene Lim, Key Executive Officer, ERA Singapore.

“CDL’s optimistic bids for both sites are reflective of their confidence in the present EC market. This positivity likely stems from the resilient demand observed at recent EC launches and the tight EC supply.”

“Due to their relatively lower costs versus private residential plots, EC sites present developers with a more measured level of risk. But with EC land costs on the rise, coupled with the MSR and income cap limitation, ECs are gradually becoming more aligned with the needs of second-time buyers looking to upgrade from their HDB flats, while remaining an aspirational option for first-time buyers who are willing to shell out a hefty downpayment.”

The 6.3% difference between the two highest bids highlights developers’ cautious stance in the face of ongoing global economic uncertainty. It signals growing uncertainty and a measured approach to land acquisition amid persistent market headwinds.

The western region has seen its fair share of EC launches in the past few years, including the recently launched Otto Place. However, many of these developments are in or near the emerging Tengah township, which is an up-and-coming estate still in the early stages of development.

Homebuyers looking for an EC in the west with access to established amenities may find this Senja Close EC site particularly appealing. Its proximity to Bukit Panjang town centre, just two LRT stops away, further enhances its appeal.”

“The supply of EC sites has been moderate, with only two sites released annually since 2019. The recently launched Otto Place has sold 60.5% of its units since its debut in late July and will open for second-timer applications on 19 August. The steady take-up highlights the underlying demand for ECs amid a limited pipeline.”

Demand for this future EC development will come primarily from HDB upgraders living in and around the area. Between 2022 and 2026 alone, an estimated 1,774 flats (4-room and larger) in Bukit Panjang, Choa Chu Kang, and Bukit Batok will fulfil their Minimum Occupation Period (MOP). This ample stock of MOP flats in these estates could contribute to a potential pool of eligible buyers, as HDB upgraders are one of the biggest buyer groups of ECs.

 

For media enquiries, please contact:

Lisha Rodney
Public Relations Manager, ERA Singapore

Email: [email protected]

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