According to the latest report from CB Richard Ellis, the recent robust sales of government residential land sites clearly shows that developers are “displaying a hunger for land.”

With the Singapore economy on the road to recovery, activity in the real estate investment sales market started to strengthen in the beginning of 2010. In just the first three months of the year, the sales of residential Government Land Sale (GLS) sites have already accounted for some $934.66 million to date.

The GLS tender for the Sengkang West Avenue site closed in February with a top bid of $200.5 million ($365 psf/plot ratio), and was awarded to City Developments Limited. Also during the month of February, the mixed commercial and residential Ten Mile Junction at Choa Chu Kang Road/Woodlands Road was awarded to Far East Organization for $163.99 million or $437 psf/plot ratio. A site at Tampines Avenue 1 was also sold to Sim Lian Land Pte Ltd, who had submitted a successful bid of $302.00 million ($421 psf/plot ratio).

Two executive condominium (EC) sites were also sold during the quarter. The Compassvale Bow EC site received a winning bid of $193.28 million or $315 psf/plot ratio from Opal Star Pte Ltd (a joint venture of Fraser Centrepoint Limited & Lum Chang Building Contractors Pte Ltd), while a top bid of $127.80 million or $281 psf/plot ratio secured the site at Yishun Avenue 11 for MCC Land (Singapore) Pte Ltd, a new Chinese player.