Tang-Owned SingHaiyi Buying Singapore Condo Site for $692M After Tender Drew No Bids

A consortium led by SingHaiyi Group has agreed to acquire an ageing condo complex on Singapore’s Upper East Coast for S$880 million ($692 million), stepping in after a public tender for collective sale of the redevelopment project failed to attract offers.

SingHaiyi, the development arm of the family-controlled Tang Organization, secured Loyang Valley in Pasir Ris via private treaty, according to a Friday statement by the collective sale committee. Located next to the future Loyang MRT station on the Cross Island line, Loyang Valley spans 840,648 square feet (78,099 square metres), offering one of the larger redevelopment plots in the area.

The transaction came one week after SingHaiyi launched its 515-unit Vela Bay condo project in the East Coast’s Bayshore precinct, where the developer said it drew nearly 8,000 visitors during the preview weekend. SingHaiyi CEO Gallant Tang, the son of Tang Organization principals Gordon and Celine Tang, said the group targeted the Loyang site for its long-term potential amid strong fundamentals in the eastern region near Changi Airport.

“By the time our project is completed, the new development will enjoy proximity to key lifestyle amenities including two primary schools within 1 kilometre (0.6 miles), upcoming transport infrastructure such as the Loyang MRT station and Changi Northern Corridor, and major employment drivers like Terminal 5,” he said. “Just as importantly, the site has over 840,000 square feet of land which gives us a rare opportunity to create a distinctive living concept.”

Verdant Valley Rarity

The sale at the S$880 million indicative price translates to S$936 ($736) per square foot of potential built area for the site at 200 Loyang Avenue, inclusive of land betterment charges and lease upgrading premiums, said sole marketing agent Huttons Asia.

Reflecting a S$100 million reduction from a prior 2022 attempt, the pricing for the project less than five kilometres inland from Changi Airport was agreed after weeks of intense due diligence on the “extremely rare verdant site”, SingHaiyi executive director Michael Ng said in a LinkedIn post.

The deal ranks among the 10 largest residential collective sale transactions in Singapore since 2007, according to Huttons. The site can yield more than 1.3 million square feet of gross floor area and provide 1,249 residential units, assuming an average unit size of 1,076 square feet.

For the Tang family, the purchase adds to a growing pipeline of residential projects under SingHaiyi after the builder’s privatisation in 2022. The Loyang Valley project follows closely on the heels of Vela Bay, which sits on a Government Land Sales site the group won last year with a top bid of S$1,388 per square foot of accommodation.

That project marks one of the first new launches in the Bayshore precinct, an area expected to see a wave of residential supply as infrastructure upgrades reshape the East Coast.

Next Gen at the Helm

Gallant Tang, 29, has emerged as the face of the family’s next generation, taking on the role of CEO at both SingHaiyi and Tang Organization as his parents transition towards a capital allocation and sponsorship role, according to a Business Times interview.

The scion has signalled a broader ambition for the platform, expressing interest in expanding beyond SingHaiyi’s traditional residential focus into new asset classes and geographies. He told the newspaper that his goals over the next five to 10 years are to pursue mixed-development opportunities and build capabilities to eventually own and operate such assets.

SingHaiyi’s investment portfolio includes 9 Penang Road, a Grade A office and retail complex in the Orchard Road area that houses UBS’s Singapore headquarters. The eight-storey building has been flagged as a potential acquisition target for Suntec REIT following the Tang Organization’s takeover of the SGX-listed trust’s manager last month.