IOI Properties succeeds in RM4.68b tender for Singapore's Marina View land

KUALA LUMPUR: IOI Properties Group Bhd’s (IOIPG) unit has successfully tendered for a piece of land at Marina View, Singapore for S$1.51bil (4.68bil) from the Urban Redevelopment Authority (URA).

It said on Wednesday the parcel of leasehold land measured 7,817.6 sq metres (0.78 hectares).

“Based on information published by the URA, the Land, which is a 99-year leasehold land measuring approximately 7,817.6 sqm with a gross plot ratio of 13 times, is estimated to yield more than 100,000 sqm of space for 905 private residential units, 540 hotel rooms, and 2,000 sqm gross floor area of commercial space,” it said.

IOIPG said details of the proposed development to be undertaken on the land has yet to be finalised at this juncture as the development plans are still at a preliminary stage.

“Accordingly, further details such as, inter-alia, gross development value and gross development cost have yet to be ascertained at this juncture,” it said.

IOIPG said the parcel of land is located in Marina View within the Marina Bay area, which is Singapore’s major financial and business district.

It is strategically located along Marina View and next to Shenton Way, which are the two key roads within Marina Bay and the existing Central Business Development.

It added the land is situated close to the company’s IOI Central Boulevard Towers office development and other developments/ amenities such as Marina One, Asia Square, Singapore Conference Hall, Marina Bay Sands and Marina Centre as well as various cultural, recreational and entertainment offerings, which makes it a strategic site for mixed-used development.

On the rationale, it said following the completion of The Trilinq development in 2017, the group does not have any on-going residential development projects in Singapore.

The land tender represents an attractive and viable opportunity for the group to venture into a mixed-use development comprising residential, hotel and commercial elements in Marina Bay area.

IOIPG said the proposed development of residential units and a hotel on the land is expected to meet pent-up demand for city living opportunities within CBD of Singapore as the last residential launch in the vicinity was Marina One Residences in 2014.

Further, the proposed hotel development is expected to further complement the group’s existing developments in Singapore and be a valued addition to its investment properties portfolio.

It said the land tender was expected to augur well with the future growth of the group as the proposed development is envisaged to contribute positively to the future revenue stream and profitability of the group.