#AskPLB: How New GLS Sites Affect Condo Prices—And When to Sell for the Best Returns

By Jee Sheong

March 26, 2025

Table of content

In this #AskPLB, we analyze a Telok Blangah case study to determine the best time to sell—right after launch or at TOP.

In this week’s #AskPLB, we’re tackling a burning question from our readers—how does the future Government Land Sale (GLS) in Telok Blangah affect nearby condo prices, especially for a freehold 2-bedroom + study unit? And the best time to sell for maximum gains — when the new project just got launched or after the new launch attains its Temporary Occupation Period (TOP)?

With GLS sites launching regularly, market dynamics are constantly evolving. If you’re a homeowner wondering how to time your sale strategically, here’s what you need to know.

A new GLS site has just been announced near your condo—does that mean property values will rise, and if so, when’s the right time to sell? While there’s no foolproof formula, past trends and key market factors can offer valuable insights.

In this article, we’ll break down a real-life case study and explore how GLS cycles impact condo prices. But one thing’s certain—chasing the ‘perfect’ timing is risky. Instead, understanding market fundamentals is your best bet to make a well-informed decision. Let’s dive in!

‘Case In Point’ Example

Our case study focuses on a freehold 2-bedroom, 2-bathroom unit in the Telok Blangah region, a specific query from one of our readers.

To illustrate key market trends, we’ll analyse a 2-Bedroom + Study, 2-Bathroom unit at The Foresta @ Mount Faber, a freehold condo situated near the upcoming Telok Blangah GLS site, which is slated for bidding in June 2025. By examining this example, we’ll explore how new GLS launches can influence property values and when might be the ideal time to sell.

Price Trends of 2-Bedroom + Study units at The Foresta @ Mount Faber

First, let’s explore the pricing trend for a 2B2B at The Foresta @ Mount Faber.

The price trajectory of 2-bedroom + Study units at The Foresta @ Mount Faber over the past decade reveals a steady upward trend, punctuated by periods of stagnation and market-driven fluctuations.

Between 2014 and 2018, prices remained relatively stable, with some fluctuations. This was largely due to government cooling measures and the market’s adjustment to earlier GLS sites in Telok Blangah coming to market. During this period, price PSF prices ranged between approximately $1,580 and $1,660, reflecting a more muted price appreciation compared to the strong growth seen in later years.

From 2020 onwards, a strong upward trend emerged. The price surge coincided with a low-interest rate environment, heightened demand during the pandemic-driven property boom, and the enduring appeal of freehold properties in the RCR. As seen in the chart, price PSF values steadily climbed from around $1,740 in early 2020 to over $2,020 by the end of 2024, while quantum prices also followed an upward trajectory, exceeding average $1.5 million for a 2-bedroom, 2-bathroom unit .

This trend suggests that freehold properties in well-located areas like Telok Blangah remain highly resilient. With the upcoming GLS site in June 2025, the area is poised for further revitalisation, new pricing benchmark, and therefore potentially supporting price appreciation in the mid-to-long term.

However, market conditions, new supply, and macroeconomic factors will ultimately influence whether prices continue their upward trajectory at the same pace.

Will This Freehold Condo Appreciate? Key Factors to Watch

With the Telok Blangah GLS site launching in June 2025, the potential price appreciation of this 2-bedroom + Study unit at The Foresta @ Mount Faber is worth evaluating. Several key factors influence its capital appreciation, from the GLS site’s impact on market dynamics to broader economic conditions.

1. Price Appreciation Potential from the Upcoming GLS Site

Developers price new launches at approximately 20% above the land bid price and their Estimated Breakeven PSF PPR, which includes construction, marketing, and financing costs.

The Estimated Breakeven PSF PPR varies significantly, typically ranging from 60% to 90% above the land bid price, depending on the scale and specifications of the project.

A more accurate estimate of potential price movements at The Foresta @ Mount Faber will emerge from indicative prices of similar 2-bedroom + Study configurations closer to the new launch.

b) Impact on Nearby Resale Properties

New launches tend to create a halo effect on surrounding resale properties, particularly freehold developments. Historically, price movements have shown that:

Older freehold condos in the vicinity can appreciate by 5%-10% leading up to or shortly after a GLS launch, as resale buyers compare their value against the new project.

If the new GLS condo launches at $2,500 psf, while The Foresta @ Mount Faber’s 2-bedroom + study units are transacting between $1,800 and $2,000 psf, the latter could be perceived as a more attractive, lower-cost alternative, driving up demand and prices.

The GLS programme plays a crucial role in shaping the property market. The land price secured in the upcoming Telok Blangah GLS tender will establish a benchmark for future launch prices in the area, which in turn could affect resale values at The Foresta @ Mount Faber.

a) Land Bid Prices and Developer Pricing Strategy

Recent GLS tenders for RCR sites indicate that land bid prices have ranged between $1,300 and $1,400 psf ppr. The final bid price for the Telok Blangah GLS site will offer insights into how new launch prices in the area will be set.

A general pricing trend observed in new launches is:

2. Sell After the New Launch or Wait for TOP

The timing of a potential sale for this 2-bedroom + Study unit depends on whether it is sold shortly after the new launch or after the GLS condo attains TOP.

a) Selling After the GLS Condo Launch

The launch of the new development will establish a price benchmark for resale properties in the area. If the new GLS condo is priced significantly higher than existing resale units, it could create a temporary uplift in demand for projects like The Foresta @ Mount Faber.

Typically, resale price appreciation of existing nearby developments peaks within 12-18 months post-launch, as buyers compare their options between the new launch and surrounding developments.

Selling within this window could allow for capitalising on the initial demand surge before the market stabilises.

b) Selling After TOP (Completion of the GLS Condo)

Once the GLS development attains TOP, interest in the area may increase again. However, this period also comes with risks:

Newly completed units add supply to the market, which could create greater competition for resale transactions.

With more options available, the market will point towards a buyers’ market, which may result in price stagnation or downward pressure on resale values.

While The Foresta @ Mount Faber benefits from

3. Broader Market Considerations

External factors beyond GLS activity can further shape the price trajectory of this unit.

a) Interest Rate Environment

The possibility of fewer interest rate cuts in the coming years, especially under potential policy shifts in the U.S., could maintain higher borrowing costs, affecting buyer demand.

Historically, freehold properties in RCR locations have demonstrated better resilience in value retention compared to leasehold developments, even in high-interest-rate environments.

b) Government Cooling Measures

Any future loan restrictions or ABSD adjustments could impact buyer affordability, which in turn may slow price appreciation for resale properties.

Given Singapore’s real estate policy landscape, post-election adjustments to housing measures remain a factor to monitor.

Key Takeaways and Considerations for This Unit

Never Time The Market

While price appreciation potential exists, holding out for further gains carries risks—especially if competing properties appreciate at a faster rate, affecting upgrade affordability.

Deciding when to sell should be driven by financial goals, personal circumstances, and reinvestment opportunities, rather than speculative market timing.

Monitor GLS Tender Results in June 2025

If the land bid price surpasses $1,500 psf ppr, it signals strong developer confidence, which could set the stage for higher new launch prices and indirectly support appreciation at The Foresta @ Mount Faber.

Tracking indicative prices of 2-bedroom + Study units in the new GLS development will provide the most relevant comparison for expected price movements in the resale market.

Final Thoughts

The upcoming Telok Blangah GLS site is expected to influence pricing trends for The Foresta @ Mount Faber, with potential appreciation of 5%-10% leading up to the new launch.

While selling within 12-18 months post-launch may present a good opportunity to ride the initial demand wave, waiting until TOP may introduce greater resale competition. The final decision should consider market conditions, GLS tender results, and individual financial objectives to maximise capital gains.

Need guidance on the best time to sell your property? With market dynamics constantly shifting—whether due to upcoming GLS sites, new launches, or broader economic conditions—having a solid exit strategy can make all the difference. If you’re looking for expert insights to maximise your property’s value, reach out to our consultants today. We’re here to help you navigate the market with confidence.

Disclaimer: Information provided on this website is general in nature and does not constitute financial advice or any buy or sell recommendations.

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