Paya Lebar Quarter Singapore

14/10/2016

URA launches tender for the second land parcel in Paya Lebar Central

Published Date: 28 Oct 2014

The Urban Redevelopment Authority (URA) launched the second land parcel1 in Paya Lebar Central for sale by public tender today. This mixed-use site, which comprises office, retail and residential uses, can generate about 165,000 sqm of gross floor area (GFA) and will be a key development in the Paya Lebar Central.

Paya Lebar Central – vibrant commercial centre at the city fringe
As part of our decentralisation strategy, commercial clusters outside the city centre are created to provide job opportunities closer to homes, and reduce congestion and travelling times to and from the city centre.

Located at the fringe of the city centre, Paya Lebar Central is envisaged to be a bustling commercial centre with a mix of office, retail and residential developments and attractive public spaces. The precinct has about 12 hectares (ha) of land available for development and a total potential commercial floor space of about 500,000 sqm.

Paya Lebar Central will provide an attractive and accessible location for businesses that prefer to be located outside the Central Business District. The area is shaping up well with new developments such as Paya Lebar Square, One KM and the Workforce Development Agency’s Lifelong Learning Institute. Together with the Geylang Serai Market and the future Wisma Geylang Serai, the developments will enhance the Geylang Serai Precinct which has traditionally been a cultural and commercial hub for the Malay community. Please refer to Annex 1 for more information on Paya Lebar Central and details of these developments.

Land parcel at Paya Lebar Road / Sims Avenue – good connectivity, excellent frontage with spaces for the public to enjoy.

Located next to Paya Lebar Interchange MRT station, the 3.9 ha site at Paya Lebar Road / Sims Avenue enjoys direct connection to both the Circle Line (CCL) and East-West Line (EWL) stations, as well as excellent frontage along Paya Lebar Road, Sims Avenue, Tanjong Katong Road and Geylang Road. The development of the site will continue Paya Lebar Central’s transformation into a major commercial centre at the city fringe.

The future development is envisioned to be a quality mixed-use development comprising office, retail and residential uses. At least 90,000 sqm of the maximum permissible GFA of the development will be set aside for office use. The remaining GFA can be for additional office, retail, entertainment, food & beverage (F&B) and residential uses that will contribute to the attractiveness of the development as a destination for business and leisure.

Geylang River, a key feature in the plans for Paya Lebar Central, provides opportunities for attractive public spaces. The future development will incorporate a public plaza next to Paya Lebar MRT station and a landscaped pedestrian mall along and over the section of the Geylang River that flows through the sale site. These public spaces, which will be linked by comprehensive networks of pedestrian walkways, cycling paths and park connectors, can stage public events and be the focal points of activities for the local community, pedestrians, shoppers and businesses.

Source: Urban Redevelopment Authority (URA)

https://www.ura.gov.sg/uol/media-room/news/2014/oct/pr14-65

https://www.facebook.com/paya.lebar.quarter.singapore

14/10/2016

Paya Lebar Central set to become major commercial centre

Paya Lebar Central is set to become a major commercial centre at the city fringe, as part of plans by the authorities to create commercial clusters outside the city centre.

The Paya Lebar Central site comprises two adjacent parcels separated by Sims Avenue and the Geylang Canal. Australian developer Lend Lease will own about 30 per cent of the joint venture, with the rest owned by its investment partner, sovereign wealth fund Abu Dhabi Investment Authority.

Lend Lease said Thursday (May 14) it already has a "clear picture" of the design for the Paya Lebar Central project, but it will still have to work with authorities for the final design.

It said more than half - approximately 90,000 square metres (sqm) - will be reserved for office space. Also, 29,000 sqm will be set aside for about 440 private homes and more than 40,000 sqm will be used for a shopping mall. The 3.9-hectare site has a total gross floor area of 165,000 sqm.

The decentralisation plans by authorities aims to provide jobs closer to homes, and reduce congestion and travelling times to and from the city centre.

“It’s a central hub, as a mixed-use development, where people can live, work and play, and minimise the reliance on car transport, ideally,” said Asia CEO of Lend Lease, Mr Rod Leaver. “Because of the nature of the site, which has the canal running through, we are able to create an amazing public space, public realm which we can activate for the creation of a place the community can use."

Lend Lease said it plans to bring in new retail brands. The developer already manages several other shopping malls in Singapore, including Parkway Parade, 313@Somerset and JEM in Jurong East.

JEM is the third largest suburban mall in Singapore and Lend Lease said it currently has no plans to expand its retail foothold in that area, even with the upcoming developments there. Instead, the firm would like to focus on existing developments.

"One of the challenges we have is that Paya Lebar is a significant development,” said Mr Leaver. “It's one of our largest mixed-use urban regeneration projects in Singapore. And at the same time, for our Asia business, we have just recently won a significant development in TRX - the lifestyle quarter - in Malaysia. So we have a reasonably full book at the moment."

The Lifestyle Quarter in TRX is expected to contain a mixed-use development of over 17 acres, comprising a hotel, three residential towers and a new retail mall.

Still, Lend Lease said it has "some interest" in the commercial and residential projects, which may come up at the site of the High-Speed Rail terminus. The terminus will only occupy 20 per cent of the site, with the remaining 80 per cent to include offices, retail space, and maybe even homes.

Source: Channel News Asia

http://www.channelnewsasia.com/news/business/paya-lebar-central-set-to/1847798.html

https://www.facebook.com/paya.lebar.quarter.singapore

The project is part of broader decentralisation plans by the authorities to create commercial clusters outside the city centre, in providing jobs closer to homes, and reducing congestion and travelling times to and from the city centre.

14/10/2016

Paya Lebar mixed-use site draws bullish S$1.67b top bid

The tender for a large mixed-use site in Paya Lebar Central has attracted bullish bids from developers, underlining their confidence in the prospects of the area as a regional hub as well as in Singapore’s long-term prospects.

The nearly 4-ha site on Paya Lebar Road and Sims Avenue garnered a top bid of S$1.67 billion, or around S$942.56 per square foot per plot ratio (psf ppr), from a group consisting of Roma Central, Milano Central and Verona Central, said the Urban Redevelopment Authority at the close of tender yesterday.

The three entities are linked to Australian developer Lend Lease, said analysts that include Cushman & Wakefield’s director of research Christine Li.

Ms Li said the highest bid was near the top end of the S$850 to S$950 psf ppr that the market had forecast.

The 99-year leasehold plot was launched for sale by tender in October last year from the Confirmed List of the Government Land Sales programme for the second half of 2014.

It is the second land parcel in Paya Lebar Central to be put up for sale, as part of the Government’s decentralisation strategy to develop commercial centres at the city fringes.

The site can generate about 1.78 million sqf of gross floor area, but at least 969,000 sqf must be set aside for office use, with the rest for commercial, retail and residential uses. Given the size of the site and scale of development, it was no surprise that four of the six bids consisted of consortiums.

The top bid was 8.8 per cent higher than the second-best bid from a consortium of six trustee managers linked to a diverse group of large developers.

“The six bids for the Paya Lebar mixed-use site demonstrate continued confidence in Singapore as a global commercial hub,” said Mr Desmond Sim, head of South-east Asia research for CBRE. “The top bidder is clearly looking forward to Singapore’s long-term growth prospects backed by sound economic fundamentals, and not with a rear view.

“The Metropolis and the one-north cluster of offices testify to the resounding success of the growth of sub-regional centres. From the bids, it is clear that the bidders are confident that Paya Lebar will see the same level of success,” he added.

Analysts said that developers were drawn to the attractive location, which is adjacent to Paya Lebar Interchange MRT station, and its connectivity through four main roads: Paya Lebar Road, Sims Avenue, Tanjong Katong Road and Geylang Road.

In addition, the office segment is firmly on the uptrend and has outperformed both residential and industrial sectors, said Cushman & Wakefield’s Ms Li.

“The light industrial clusters nearby could complement and provide service lines for future office occupiers ... By disallowing developers to strata-subdivide the office component beyond five strata lots, the premium quality of the office building is preserved,” said Ms Li.

“This will likely attract listed companies and multinational corporations to establish their headquarters in the building, enhancing the overall attractiveness of the commercial hub,” she said.

However, Mr Ku Swee Yong, chief executive officer of property agency Century 21, warned that the commercial sector may see more challenging times ahead given rising interest rates, which may make it difficult for the top bidder to recoup the investment for many years.

Source: TODAY Online

http://www.todayonline.com/business/paya-lebar-mixed-use-site-draws-bullish-s167b-top-bid

https://www.facebook.com/paya.lebar.quarter.singapore

SINGAPORE — The tender for a large mixed-use site in Paya Lebar Central has attracted bullish bids from developers, underlining their confidence in the prospects of the area as a regional hub as well as in Singapore’s long-term prospects. The nearly 4-ha site on Paya Lebar Road and Sims Avenue garne...

14/10/2016

Lend Lease to hold 30% of joint venture that won tender of big Paya Lebar mixed-use site

Australian property developer Lend Lease said on Wednesday that it will own 30 per cent of the joint venture for a large mixed-use site in Paya Lebar which it just bagged with a bullish top bid of $1.67 billion in the Government Land Sales programme.

Seventy per cent of the joint venture will be held by one of Lend Lease's major global investment partner, which the company did not identify.

Said Lend Lease Group chief executive officer and managing director Steve McCann: "This is a great opportunity for continued success in the region, leveraging Lend Lease's global capabilities to develop large scale urban regeneration projects in major cities around the world."

"It further cements Lend Lease's position in the Singapore market and leverages its leading integrated property capabilities encompassing development, construction, investment management and asset and property management platforms."

Among its Singapore porjects, Lend Lease developed Jem shopping mall in Jurong East and 313 Somerset.

The 99-year leasehold site in Paya Lebar, which comprises two plots separated by Sims Avenue, has a potential gross floor area of 1.78 million sq ft. It has direct connections to the Paya Lebar Mass Rapid Transit (MRT) Interchange that serves both the Circle and East-West lines.

Trumping the offers of five other bidders, Lend Lease's bid translated to a price of $943 per sq ft (psf) per plot ratio (ppr) for the 3.9 hectare site. Market watchers were expecting a top offer between $1.24 billion to $1.51 billion - or $700 psf ppr to $850 psf ppr.

Source: The Straits Time

http://www.straitstimes.com/business/lend-lease-to-hold-30-of-joint-venture-that-won-tender-of-big-paya-lebar-mixed-use-site

https://www.facebook.com/paya.lebar.quarter.singapore/