How Would the Highest Supply of Housing Since A Decade Ago Influence the Real Estate Market?

On December 6, 2023, the Urban Redevelopment Authority (URA) unveiled a promising outlook for the 1H2024 Government Land Sales (GLS) with the release of 10 Confirmed List sites and 9 Reserved List sites. These sites are projected to yield a substantial 8,910 private residential units, 107,750 sqm gross floor area (GFA) of commercial space, and 530 hotel rooms.

The Confirmed List sites, contributing significantly to this surge, will introduce 5,450 private residential units in 1H2024. This marks an increase from the 5,160 units in 2H2023 and represents the highest supply on the Confirmed List within a single GLS program since 2H2013.

Source: URA

Out of these 10 sites, 7 sites stand out due to various reasons as elaborated below.

River Valley Green (Parcel A)

Source: URA

Strategically located adjacent to the Great World MRT, this has high potential to be an integrated site. Its close proximity to Orchard (District 9) and the Core Central Region (CCR) positions the project favourably to command a premium price, as evidenced by the average transaction price of $2,674 at Irwell Hill Residences.

Nevertheless, it’s crucial to consider the potential competition posed by the nearby Zion Road Parcel A, a sizable project featuring service apartments. This could particularly impact the market for 1 and 2 bedroom units in River Valley Green (Parcel A), as discussed here.

Tengah Garden Avenue 

Source: URA

The ongoing development of Tengah into a new Housing and Development Board (HDB) town is poised to introduce a substantial supply of potential HDB upgraders to the region. Notably, the surrounding projects consist primarily of Executive Condominiums (ECs), presenting an intriguing opportunity for homebuyers seeking private condominiums in the area.

While this development is anticipated to have a noteworthy impact across various housing segments, the primary influence is likely to be on the ECs in the vicinity. The discernible price gap between the ECs and the upcoming private residential site is expected to contribute to an upward trajectory in EC prices.

Tampines Street 94

Source: URA

Situated in close proximity to Tampines West MRT and with Bedok Reservoir in its vicinity, this site emerges as a promising solution to address the pent-up demand for new private residential projects in the region. This is due to the existing private residential developments in the area dating back to the 2000s, indicating a potential gap in the market for modern and updated offerings.

Margaret Drive

Source: URA

Nestled within the Queenstown (D3) area, Margaret Drive holds a coveted position in a mature and prime neighbourhood. The high demand for land in this locale is evidenced by the remarkable performance of recent GLS sites, exemplified by Stirling Residences, which garnered an impressive 13 bids and was eventually sold for a staggering $1 billion.

The introduction of a new private residential site in this sought-after area not only adds to the housing supply but also carries the potential to push up the pricing of neighbouring projects like Stirling Residences.

Canberra Crescent

Source: URA

Mirroring Tengah, the private residential site in the Canberra area stands as the sole offering for private residential in this region. Surrounded by ECs, this development carries positive implications for EC owners. The introduction of a private residential project is likely to stimulate demand and, in turn, potentially drive up the prices of existing ECs in the vicinity.

Media Circle

Source: URA

This is a special site as compared to the sites at Zion Road and Upper Thomson Road, which is only partly made up of the new category of Service Apartments called Service Apartments II (SA2), the entire site will be dedicated to SA2.  

In order to curb rental demand and stabilise rental prices, these SA2 are introduced into the real estate market. To find out more, click here.

Jalan Loyang

Source: URA

This EC site is unique as it’s the sole entry on the Confirmed List. Given the scarcity and high demand for EC sites, we anticipate this location to attract a substantial number of bids, potentially surpassing the interest generated by previous EC sites.

Reserved Sites

Although these sites are not confirmed yet, the Bayshore site caught our attention as a site that has the highest potential to be a confirmed site in the future.

Source: URA

As you can see from the URA Map, the bayshore area is quite underdeveloped and there are not many surrounding projects that can be seen. This site is located right next to Bayshore MRT and with the announcement of Bayshore Masterplan by HDB, there is huge potential in this area to transform into a new HDB town.

Furthermore, there has been announcement of plans to conduct land reclamation along the whole East Coast stretch, creating a 800-ha (8,000,000 sqm) long island with two new reservoirs. 


With this huge injection of supply, homebuyers would have more choices in the coming year to buy or invest into a property. This might be an indication we have already entered a buyer’s market and now is the best time to buy. 

If you’re interested in making your property move, feel free to contact one of our professional associates at Crestbrick.