The bid price submitted in the application will be evaluated against the Reserve Price, which is 85% of the Chief Valuer's Estimated Market Value (EMV) for the site.
The Chief Valuer determines this Estimated Market Value independently after URA receives an application. The Chief Valuer is not aware of the minimum price while determining of the Estimated Market Value.
URA opens the envelopes containing the applicant's minimum price and the Chief Valuer's Estimated Market Value at the same time to evaluate the application.
If an application to trigger the tender of a Reserve List site is accepted, the successful applicant is required to pay a deposit of 3% of the minimum price submitted (capped at S$5 million). This deposit will help to deter frivolous applications.
There is currently no application fee nor a limit on the number of applications that can be made by a developer for a site.
Measures to deal with abuses, including frivolous applications, may be introduced in the future if necessary.
Having more than one application submitted within "a reasonable period" is one of the conditions under which a Reserve List Site is deemed to have received sufficient market interest and thus can be released for sale.
The company can participate in the Reserve List system only if: