A joint venture between Malaysia’s Sunway Berhad and Singapore’s Sing Holdings has emerged as the top bidder for a coveted residential Government Land Sale (GLS) site at Chuan Grove, Singapore. Their winning offer of SGD703.6 million, or SGD1,376 per square foot per plot ratio (psf ppr), represents a significant 7.3% premium over the second-highest bid. The tender for the 99-year leasehold site, which closed on July 8, attracted a total of seven bids, underscoring strong developer interest in the locality.
The Urban Redevelopment Authority (URA) is expected to officially award the site within one to two weeks, though it reserves the right to reject any tender. This project marks a significant first collaboration between Sunway and Sing Holdings in Singapore’s competitive property market. Following the official award and URA approval, a joint venture company will be established in Singapore, with Sing Holdings holding a 65% stake and Sunway the remaining 35%.
The Chuan Grove GLS site is strategically located along Chuan Grove, off Lorong Chuan in District 19. Spanning 170,409 square feet, the site allows for a maximum gross floor area of 511,232 sq ft, capable of accommodating approximately 555 new housing units. Its prime location offers excellent connectivity, being within 400 meters of the Lorong Chuan MRT Station on the Circle Line and adjacent to the NTP+ mall at New Tech Park. Additionally, four primary schools are situated within a 1 km radius, enhancing its appeal to families.
Analysts from HLIB Research anticipate the project to launch between the second half of 2026 and the first half of 2027. Assuming a typical land cost-to-Gross Development Value (GDV) ratio of 50%, the project’s GDV could reach around SGD1.4 billion.
Market confidence in the area is bolstered by the stellar performance of nearby developments. The most recent private residential launch, Chuan Park by Kingsford Group (approximately 200m away), saw an impressive 76% of its 916 units sold during its November 2024 launch weekend at an average price of SGD2,579 psf. As of July 8, URA caveats indicate that 84% of Chuan Park units have been sold, with the average price slightly higher at SGD2,585 psf, demonstrating sustained demand.
The land price of SGD1,376 psf ppr for the Chuan Grove site is comparable to The Orie at Toa Payoh, which was sold at SGD1,360 psf ppr and subsequently launched at an average price of SGD2,731 psf. Should the Chuan Grove project achieve a similar average launch price, it would represent a reasonable 5.9% premium over Chuan Park’s average price.
For Sunway, this collaboration marks an acceleration of its project development in Singapore, adding to its existing pipeline beyond its long-time partner Hoi Hup. Sunway currently has five ongoing and pipeline projects in Singapore, including private condominiums The Continuum and Terra Hills (launched in 2023), an upcoming Tampines site (1H26 launch), and Executive Condominiums (EC) Novo Place (launched Nov 2024) and Otto Place (slated for July 2025 launch). With Otto Place’s preview underway, Sunway will have four ongoing projects concurrently, a historical high for the group in Singapore.
Novo Place, also developed by Sunway-Hoi Hup, has achieved a near 99.4% take-up rate in less than a year, underscoring the strong demand for ECs due to limited new supply. Otto Place EC is similarly anticipated to sell well.
HLIB Research maintains a “BUY” call on Sunway with an unchanged target price of RM5.90, noting that the group’s widening exposure to the Malaysian economy and strategic overseas ventures position it as a strong proxy to domestic economic growth.
While the research house has made no changes to its forecasts pending the official award of the site, it estimates a potential share of profit for Sunway from the Chuan Grove project to be around RM40.4 million per annum (0.65 sen EPS), likely recognized over FY2027-FY2030, assuming a 10% net margin and a four-year recognition timeline.
