Sunway MCL Secures Bayshore Drive Tender in Singapore

KUALA LUMPUR, July 21, 2026 – Sunway Berhad’s Singapore property arm, through its 30%-owned joint venture Gemini Residential Pte. Ltd. and Gemini Trustee Pte. Ltd., has successfully secured a 99-year leasehold land parcel at Bayshore Drive, Singapore for SGD2.1 billion (RM6.74 billion). The tender, awarded by the Urban Redevelopment Authority (URA), saw the consortium place the top bid at SGD1,323 per square foot per plot ratio, 5.8% above the second-highest offer.

The site is earmarked for an integrated mixed-use development, directly connected to Bedok South MRT station on the Thomson-East Coast Line and a new bus interchange. Plans include up to 1,280 residential units and 22,500 sqm of commercial space, featuring a retail mall spanning 22,100 sqm (237,882 sq ft).

Bayshore Drive

This marks Sunway’s second major land acquisition in Singapore in 2026, following the River Valley Green site in June. The Bayshore Drive project carries an indicative gross development value (GDV) of SGD4 billion (RM3.8 billion), with a development timeline of 60 months starting July 20, 2026. The launch is targeted for early 2028.

Financially, Sunway’s net gearing is expected to rise from 0.32x in 1QFY26 to 0.41x post-acquisition, and further to 0.47x when including River Valley Green. Earnings contribution from Bayshore Drive is anticipated only from FY28 onwards, leaving near-term forecasts unchanged.

Analysts have revised Sunway’s target price to RM5.36 (from RM5.28), incorporating the RNAV contribution from Bayshore Drive. While the acquisition strengthens Sunway’s long-term growth prospects in Singapore, limited near-term catalysts mean the stock remains rated NEUTRAL.

The Bayshore Drive win underscores Sunway’s strategy of expanding its footprint in Singapore through successive land tenders, positioning itself for sustained growth in one of Asia’s most competitive property markets.

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