Commentary on Closing of Tender for GLS Site at Hougang Central

The tender for the Government Land Sale (GLS) site at Hougang Central closed today, on 16 December 2025. The site can yield up to 835 residential units, along with an estimated 40,000 sqm of commercial space.

Overall, the site attracted three bidders, with the highest bid of $1.5 billion (or $1,179 psf ppr) submitted by Horizon Residential Pte. Ltd. and Horizon Commercial Trustee Pte. Ltd., a consortium comprising CapitaLand Development and UOL Group. 

“This result was anticipated due to its considerable size and the complex development factors involved. The relatively low response indicates developers' cautious and strategic approach to creating a future landmark project in Hougang, and it does not suggest any weak sentiment.” said Marcus Chu, Chief Executive Officer (CEO), ERA Singapore. 

“While the land rate of $1,179 psf ppr seems modest compared to other recently awarded sites, this is mainly due to the large land size. Despite nine sites being listed on the 1H 2026 GLS Confirmed List, developers were not discouraged from bidding on the Hougang Central site. Their interest indicates ongoing confidence in the site’s strong features and favourable market conditions.”

“At $1.5 billion ($1,179 psf ppr), the highest bid exceeds the winning price for the previous GLS mixed-use site, which includes both residential and commercial components and is linked with a bus interchange. The Tampines Avenue 11 site, now known as Parktown Residence, was awarded for $885 psf ppr in July 2023. Similar to Parktown Residence, Hougang Central’s planned mixed-use development will also feature an integrated bus interchange and MRT station with Cross Island Line (CRL) connectivity."

“If the site is awarded, this will mark CapitaLand and UOL’s latest venture into developing a mixed-use development integrated with a Bus Interchange. The two developers have a proven track record of delivering such projects, exemplified by their successful partnership on Parktown Residence.”

“The narrow 2.1% price gap between the top two bids indicates shared confidence among developers in the potential of the Hougang Central site. As the next flagship development in the North-East region, the project is well-placed to capitalise on pent-up demand. It is likely to attract both HDB upgraders and landed right-sizers, considering this is Hougang’s first non-landed private residential GLS plot in over a decade, since the Upper Serangoon Road site (now Stars of Kovan) was awarded in 2014.”

“With approximately 40,000 sqm of commercial space, nearly double that of the nearby Hougang Mall, the development is set to become a significant lifestyle hub. Combined with the increased footfall anticipated from the upcoming ITH, the site could develop into a lively community centre, similar in size and influence to Waterway Point or NEX.”

Buyer Demand

“The supply of new private homes in Hougang has remained limited since its last two major launches, namely the 1,472-unit Riverfront Residences (2018) and the 1,410-unit Florence Residences (2019). With both developments fully sold, the upcoming project is well positioned to attract strong interest, not only from Hougang residents but also from nearby towns such as Serangoon, Sengkang, and Punggol.”

“Upcoming rail expansions will also support future development. When Phase 1 of the Cross Island Line (CRL) is completed around 2030, Hougang MRT station will become an interchange, connecting the CRL to the existing North-East Line (NEL). This improved connectivity shortens travel times to key CRL stops across eastern and north-eastern Singapore, including Pasir Ris and Ang Mo Kio.”

“Various educational institutions are also expected to be within a 1 km radius of the future development. These include CHIJ Our Lady of the Nativity, Punggol Primary School, Montfort Junior School, Yio Chu Kang Primary School, Holy Innocents’ High School, and Anderson Serangoon Junior College.”

“Within D19 itself, there are several landed property enclaves in Hougang and Serangoon. Long-time owners might be interested in right-sizing into newer, non-landed homes where maintenance is easier, especially if household sizes are smaller. These neighbourhoods include landed home pockets around Surin Avenue and Jalan Pelikat, as well as those along Parry Avenue and Kovan Road. Further west of the site is Serangoon Garden, another longstanding landed estate in D19 where demand from right-sizers could emerge.”

“Aspiring HDB upgraders in D19, especially those living in 5-room or executive flats, may also boost future demand. With median resale prices ranging from $700,000 to $1.05 million as of 3Q 2025, these flat owners could have enough starting capital for a new condominium in the area.”

“Projects with doorstep access to MRT stations have traditionally been top performers. This pattern persisted in 2025, as shown by Springleaf Residence and Parktown Residence, which recorded strong initial take-up rates of 92% (870 out of 941 units) and 87% (1,041 out of 1,193 units) respectively. These outcomes highlight persistent buyer demand for well-connected homes.”

Outlook

“Singapore’s residential market is entering a renewed phase of optimism, driven by the remarkable sales performance of 2025’s launches. In the first eleven months of 2025 alone, developers sold 10,754 new private homes (excluding Executive Condominiums), a substantial 62.3% rise from the full-year 2024 total of 6,626 units. This momentum is likely to encourage more developers to actively replenish their land banks as they prepare to seize the next wave of buyer demand.”

“Excluding ECs, six GLS sites are currently open for tender, complemented by another seven private residential plots on the 1H 2026 Confirmed List. By offering a diverse range of sites across market segments, this pipeline guarantees a steady private housing supply, while aiding the Government’s efforts to stabilise land prices.”

For media enquiries, please contact:

Lisha Rodney

Public Relations Manager, ERA Singapore

Email: [email protected]

Disclaimer

This information is provided solely on a goodwill basis and does not relieve parties of their responsibility to verify the information from the relevant sources and/or seek appropriate advice from relevant professionals such as valuers, financial advisers, bankers and lawyers. For avoidance of doubt, ERA Realty Network and its salesperson accepts no responsibility for the accuracy, reliability and/or completeness of the information provided. Copyright in this publication is owned by ERA and this publication may not be reproduced or transmitted in any form or by any means, in whole or in part, without prior written approval.