Sunday, July 5, 2009

Industrial Site Sales Still Off

Source : The Straits Times, July 2, 2009

THE Ministry of Trade and Industry (MTI) said on Thursday it will continue to suspend the confirmed list for its industrial government land sales (GLS) programme for the second half of 2009.


This will provide flexibility for the market to 'adjust supply in accordance with the current economic conditions' said MTI in a statement.

But to meet potential demand for industrial land, MTI has put three new sites on its reserve list.

Under the reserve list system, a site is only offered for public tender if the government receives an application from a developer who commits to bid for the site at a price which is deemed acceptable.

These are a 3.2 ha site at Woodlands Avenue 12, a 2.99 ha site at Kaki Bukit Avenue 4 and a 1.24 ha site at Ubi Road.

All three sites have a lease of 60 years and are estimated to become available in the last quarter of this year.

Analaysts say MTI's announcement was not surprising given the uncertain economic climate, but noted that interest was stirring in the industrial sector.

More sites may be triggered for tender by year end, they added.

In total, the reserve list for the second half of the year comprises nine sites with a total site area of 19 ha, said MTI.

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