Knight Frank Commentary | GLS Tender closing for Kallang Close
06 April 2026
Knight Frank Commentary | GLS Tender closing for Kallang Close
Tender Closing for GLS Site
Kallang Close
The Kallang Close government land sale site tender closed today with four bids and a top bid of S$1,415 psf per plot ratio (ppr). The top bid was 2.7% less than the S$1,455 psf ppr achieved at the Tanjong Rhu Road tender in February, with both parcels in the same planning area of Kallang. With the awarded land rate at Tanjong Rhu for reference, the top bid at Kallang Close comes in within expectations while the number of interested developers slightly under what was envisaged.
The Kallang Close plot stands out for its frontage along the Kallang River, which should translate into open views and a differentiated living environment anchored around water-based recreational activities. Its proximity to Kallang MRT Station adds practicality for daily commuting that is close to the CBD and Orchard Road.
However, the surrounding industrial setting could temper its positioning among some potential buyers, particularly when compared to more established locations where the surroundings are all residential in land-use. This was a likely consideration in the land rate among the bids submitted.
The demand profile for this project is likely to skew towards owner-occupying households in the city-fringe segment, with a majority mix of professionals, dual-income families and upgraders from BTO units seeking MRT accessibility and an established urban address at a price point below that of new projects in the Core Central Region (CCR).
The Kallang Alive Master Plan, which encompasses the Singapore Sports Hub and its associated sports and recreational infrastructure, broadens the site's appeal to lifestyle-oriented buyers and adds medium-term capital appreciation potential to the homebuyer narrative.
A top bid of S$610.8 million with a land rate of S$1,415 psf ppr suggests that the selling price at launch could possibly start from S$2,900 psf and average just above S$3,000 psf. Achieving this average pricing would depend on how effectively the developer capitalises on the waterfront aspect through design, unit facing, tower layout, positioning and finishes.
A new project launch in about a year’s time is expected to lead to a price increase for the Kallang Planning Area in tandem with the likely launch of the Tanjong Rhu project at around the same time. This would trigger a probable overall price hike in the planning area where the median prices of non-landed new sale and resale transactions were S$2,758 psf and S$1,774 psf respectively in the one-year stretch between Q2 2025 and Q1 2026 (based on Realis caveats as of 7 April 2026).
