SALE OF REMNANT LAND

Some parcels of State land by virtue of their small size and/or irregular shape are not suitable for independent development. These parcels of State land are commonly referred to as remnant land.

Remnant land can add substantial value to adjoining private lands when amalgamated with the private lands. To optimise the use of these remnant lands, the Government encourages private landowners to purchase and amalgamate them with their private lands. The Government may in suitable cases also require developers/owners to do so.

To optimise the use of remnant lands, the Government encourages private landowners/developers to purchase and amalgamate them with their private lands. The Government may, in some cases, also require landowners/developers to do so.

There are two ways of selling remnant land :

• If the remnant State land adjoins only one property, it can be sold directly to the adjoining landowner;
• If the remnant State land adjoins several properties and more than one adjoining owner is interested to purchase the land, SLA will invite all interested owners to bid for the remnant land in a closed tender. The land will be awarded to the highest bidder whose bid is equal to or higher than the reserve price.

Please refer to the FAQs for more details.

Click here for the steps to purchase remnant land. The application to purchase remnant land must be made using the prescribed form. The processing fee is $1,000.

The premium payable for remnant State land is generally based on 50% of the full land value. This is determined by applying the factor of 5/7 to the applicable Development Charge (DC) rate (the premium computed on this basis will henceforth be referred to as "50% of the full land value computed based on the applicable DC rate".

The applicable DC rate at the date of Notice of Preliminary Terms and Conditions, offer, or closed tender (whichever is applicable) for sale of the remnant land will be used.

However, in certain cases where the remnant land adds synergistic value to the adjoining parcel, the premium payable may be determined using 50% of the enhancement in land value of the amalgamated site as assessed by Chief Valuer, and the premium payable in such instances could be higher than that calculated on the basis of 50% of the full land value computed based on the applicable DC rate.