The Urban Redevelopment Authority (URA) has delayed the release of a hotel site along Kallang River from December 2008 to June 2009. The site, which was to be released for sale in December, is part of the government’s plans to transform the Kallang Riverside into a waterfront lifestyle precinct.

“URA is currently working with other agencies to finalise the detailed planning and development conditions of the Kallang River site to relate to the broader plans for Kallang Riverside and, as more time is needed, the release of this site at Kallang River on the reserve list will be deferred to June 2009,” said the agency.

URA also announced that a commercial site at the corner of Stamford Road and North Bridge Road is now open for application under the reserve list system. According to URA, the site holds three historical buildings namely, Capitol Theatre, Capitol Building and Stamford House. These three buildings are to be retained and restored for use. On top of that, the developer of the site will also be required to develop at least 40 per cent of the total gross floor area (GFA) for hotel use.

Experts do not expect any interest in the site anytime soon due to the poor economic outlook. The conservation element and the fact that some of the GFA has to be devoted to hotel use may also deter potential bidders.