HLIB Optimistic On Sunway Property’s Bayshore Drive Development In Singapore

KUALA LUMPUR, July 21 (Bernama) -- Hong Leong Investment Bank Bhd (HLIB) viewed Sunway Property Bhd’s project in Bayshore Drive, Singapore positively given the attractive acquisition price.

In a research note, HLIB said its pricing and demand prospects were also supported by its integration with a mass rapid transit (MRT) station and retail components. 

“Given its sizeable land area and integrated residential-commercial concept, the Bayshore Drive site is one of the largest mixed-use government land sale sites launched in Singapore to date,” it said. 

The investment bank said the maiden plot in the Bayshore precinct was subsequently launched as Vela Bay in April 2026, achieving a 72 per cent take-up rate on launch day at an average selling price of SG$2,886 per square foot (psf) (SG$1=RM3.16). 

It said given that the Bayshore Drive site will be directly connected to an MRT station and integrated with a retail mall, the project should be able to command a meaningful premium over Vela Bay.

“Residential units within mixed-use integrated developments generally enjoy stronger pricing and broader buyer appeal, supported by the convenience of direct access to retail, dining, transport and other lifestyle amenities.

“Based on the indicative residential gross development value of SG$3.5 billion, the implied selling price works out to approximately SG$2,850-SG$2,910 psf, assuming 88 per cent-90 per cent saleable efficiency,” it said.

HLIB said the project should be able to command a selling price meaningfully above SG$3,000 psf. 

It maintained a “buy” call on Sunway with an unchanged target price of RM6.50.

At 11 am, Sunway’s share price fell two sen to RM5.24, with 274,200 shares traded.

-- BERNAMA