logo
Government to simplify change-of-use process for some commercial spaces: Chee Hong Tat

Government to simplify change-of-use process for some commercial spaces: Chee Hong Tat

Business Times3 days ago
[SINGAPORE] The government intends to cut some real estate-related red tape for businesses, starting with streamlining its change-of-use process, said National Development Minister Chee Hong Tat.
During an interview with the media on Tuesday (Aug 5), Chee said businesses currently require the Urban Redevelopment Authority's (URA) permission for change of uses within commercial spaces in JTC business parks, as well as community centres managed by the People's Association.
This process takes about two weeks and costs S$500.
URA's permission is required for land-based solar farm projects as well, with its application costing S$3,500, said Chee.
'We are working on streamlining the process, such that URA's permission will no longer be required for such proposals,' he said. 'Business owners will just need to obtain the respective landowners' consent and comply with the relevant authority's requirements for their proposals.'
At the same time, the Ministry of National Development will propose a new legislation to formalise the Business Improvement District (BID) programme.
A NEWSLETTER FOR YOU
Tuesday, 12 pm Property Insights
Get an exclusive analysis of real estate and property news in Singapore and beyond.
Sign Up
Sign Up
Since 2017, URA's BID programme has been piloted in areas such as the Singapore River, Marina Bay, Raffles Place and Tanjong Pagar. It aims to encourage stakeholders to take greater ownership to make the area more vibrant and attractive.
Under the programme, the government provides seed funding of up to S$500,000 per annum, through a dollar-for-dollar match for membership fees collected. The money then goes towards stakeholder-led place management initiatives, including targeted marketing, hospitality and events.
Given the pilot's positive feedback so far, Chee said the authorities hope to formalise the BID model and scale up to more precincts across Singapore, collaborating with businesses to drive place management efforts.
'This will make our precincts livelier, bring businesses more footfall and benefit our community with more lifestyle options,' he said. 'This includes working with the businesses via the BID model to revitalise our nightlife industry.'
Chee added: 'Reviewing our rules and processes is an ongoing process that we will do, and I hope to work closely with the industry to find out which other areas we can help them in, to simplify our rules and processes, to cut red tape, and to bring down processing time and costs for businesses.'
Earlier in June, the government also revealed plans under the Draft Master Plan 2025 to review Singapore's industrial land use zone guidelines , to better respond to evolving business needs.
Chee said then that moving away from mono-use zones to mixed-use districts will give developers greater flexibility on industrial land and enhance Singapore's economic competitiveness.
More business-white sites will be introduced around key transport nodes in the Jurong and Tuas industrial estates, on top of existing sites in Woodlands, URA added, in the Draft Master Plan 2025.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

SG60: Reading between the lines of the Draft Master Plan 2025
SG60: Reading between the lines of the Draft Master Plan 2025

Straits Times

time4 hours ago

  • Straits Times

SG60: Reading between the lines of the Draft Master Plan 2025

Sign up now: Get ST's newsletters delivered to your inbox Even as it tackles hard economic questions, the Draft Master Plan 2025 doesn't lose sight of softer, human-scale priorities. Singapore's urban and economic planning has long been pragmatic, but the Draft Master Plan 2025 signals something new: boldness. In response to shifting global and domestic fundamentals, the plan reframes land use through emerging tools such as polycentric gateway corridors, and a more agile, layered approach to decentralisation. This isn't a wholesale reinvention, but a quiet recalibration, adapting Singapore's planning ethos to meet an era of slower growth, more complex trade-offs, and heightened geopolitical uncertainty. Decentralisation under pressure The once-ambitious model of decentralising offices beyond the Central Business District (CBD) is slowing. As companies right-size and consolidate their operations, many are returning to the city core, drawn by cost-efficiency, branding visibility, and a concentration of talent and services. The traditional rental premium once commanded by the CBD has eroded, narrowing the cost differential and weakening the incentive to decentralise – unless firms are tightly woven into local supply chains or talent pools. This trend is not entirely new, but Covid-19 accelerated it. Hybrid work has reduced the average office footprint per firm. Large tenants are less willing to anchor fringe locations unless there are compelling ecosystem advantages. Meanwhile, commercial confidence has been tempered by global uncertainty, from US-China tensions to regional trade realignments. In this context, even flagship decentralisation projects are evolving. Jurong Lake District, once envisioned as a major commercial node, saw the planned commercial quantum of the white site on the reserve list reduced by 30 per cent. While the long-term vision remains, near-term market sentiment is clearly influencing land release strategies. The return – and repositioning – of industrial land Beyond the commercial office market, Singapore's industrial landscape is entering a new chapter. Since 2022, roughly 36 hectares of industrial land have been returned to the state annually, a scale not seen since the 2015-2017 wave that preceded the last Master Plan. Then, as now, this land return reflects deeper structural shifts. Manufacturing is becoming less land-hungry. As companies digitalise and relocate lower-value operations to neighbouring countries, plots once allocated for logistics, clean tech or light manufacturing are being reassessed. The Draft Master Plan 2025 aims to stay ahead of this curve. While there are no radical rezoning moves in the downtown, the government is signalling flexibility. Incentives such as the CBD Incentive Scheme and the Strategic Development Incentive Scheme make it easier for older office buildings to be converted into mixed-use formats, shrinking pure office space while boosting residential and lifestyle offerings. The shift is also evident in the Government Land Sales (GLS) programme. There are no new confirmed downtown office sites, and only three white sites remain on the reserve list. This absence is likely intentional – a quiet nudge for landlords to explore adaptive reuse and a cue to the market that office decentralisation will now take a more tempered, organic form. Bishan returns to the spotlight One of the most intriguing updates is the re-designation of Bishan as a sub-regional centre, a role proposed initially in the 1991 Concept Plan. Back then, the idea was radical: decentralise Singapore's economic core and anchor new business activity in the heartlands. Today, Bishan already boasts strong transport connectivity, public agencies and community infrastructure that serve the broader Toa Payoh-Ang Mo Kio region. Its central location and direct access to Raffles Place via MRT make it an ideal candidate for polycentric growth. Together with Novena, Serangoon, and Toa Payoh, Bishan helps form a north-east arc of business activity – a 'string of pearls' that mirrors the southern belt stretching from Alexandra to one-north. Beyond convenience, this distributed model reflects a future in which live-work-play ecosystems are embedded into the islandwide urban fabric, rather than concentrated in a single hub. Vertical zoning: The next planning frontier Among the more speculative but intriguing concepts to emerge from the 2022 Long-Term Plan Review is the idea of 'vertical zoning'. The notion, layering light industry on the lower floors, offices above that, and residences at the top, was not formally proposed in the Draft Master Plan 2025. Still, it offers a glimpse of how Singapore might evolve its planning logic in response to changing economic and spatial realities. Seen in this light, vertical zoning is a conceptual provocation that asks whether future urban productivity might come not from expanding outwards, but from layering uses in smarter, more synergistic ways. If Singapore is serious about remaining spatially efficient and economically agile, this could be a frontier worth exploring further. While no specific developments have been announced, the pilot in Woodlands, which raises the allowable proportion of non-industrial uses from 40 to 70 per cent, may be an early signal of willingness to experiment. It echoes previous 'Business White' trials, which allowed greater flexibility in land use within designated business zones. If taken seriously, vertical zoning could represent a significant shift away from the traditional horizontal separation of uses that has long defined Singapore's land planning. It reflects a recognition that manufacturing today is cleaner and quieter, and that modern services are increasingly mobile and less reliant on sprawling floor plates. Sustainable and inclusive urban living In line with Singapore's push for environmental sustainability, new housing areas are being explored across the island, with a strong emphasis on reusing existing brownfield sites. Spaces such as Bukit Timah Turf Club, the old Keppel Golf Course, and the soon-to-be-vacated Paya Lebar Airbase are being considered for redevelopment into vibrant residential neighbourhoods. Besides building homes, these plans also aim to create active, socially connected communities, with shared amenities that support everyday life and bring people together. Many of these developments reflect a move towards vertical zoning, where housing is thoughtfully layered with community spaces and lifestyle facilities. A key planning principle is accessibility: Most residents will be within a 10-minute walk of parks, shops, schools, and essential services. As part of the broader 'live-work-play' vision, new opportunities for city and fringe-city living are also being introduced. Areas around Newton MRT station, Paterson Road near Orchard, and Dover-Medway near one-north have been earmarked for mixed-use development that balances inclusivity, sustainability and a strong sense of community. These well-connected neighbourhoods offer a good mix of amenities and entertainment, making them ideal for both families and working professionals. For instance, the idea of a new Village Square at Newton and a vibrant mixed-use hub at Paterson would help bridge luxury housing with the retail and activity of Orchard Road. The Draft Master Plan 2025 also puts greater emphasis on senior-friendly housing, including more assisted-living options and active-ageing centres to support older residents in living independently and meaningfully. Whether you're young or old, working or retired, the evolving urban plan seeks to make neighbourhoods more livable, connected and future-ready for everyone. Softer touch Even as it tackles hard economic questions, the Draft Master Plan 2025 doesn't lose sight of softer, human-scale priorities. Included among the proposals are plans for green connectors, heritage trails, repurposed viaducts, and playful public spaces. These aren't decorative add-ons; they are essential components of a livable, imageable city. Such spaces encourage social connection, promote mental well-being, and help Singapore remain globally competitive as a place to live, not just work. The Draft Master Plan 2025: A vision in transition More than a technical update, the Draft Master Plan 2025 reflects a society in flux, one that is learning from past successes, adapting to a slower-growth environment, and daring to imagine a more resilient, layered future. It is not a call to transform everything, but an invitation to reimagine selectively. To rethink what should be intensified, repurposed, or left open-ended. In that spirit, it strikes a balance: between continuity and change, between pragmatism and vision.

For Vers to work, compensation should account for varied needs of HDB flat owners: Observers
For Vers to work, compensation should account for varied needs of HDB flat owners: Observers

Straits Times

timea day ago

  • Straits Times

For Vers to work, compensation should account for varied needs of HDB flat owners: Observers

Sign up now: Get ST's newsletters delivered to your inbox Observers cautioned that the Vers scheme will need to address differing circumstances to be successful. SINGAPORE – Compensation for flat owners under the Voluntary Early Redevelopment Scheme (Vers) should account for the varied needs of current and future HDB residents, said policy experts in response to news that the scheme will be fleshed out in the next five years. These include, for example, seniors with insufficient savings for new homes, as well as multifamily households who may need larger or multiple replacement flats. Observers cautioned that the scheme, which National Development Minister Chee Hong Tat said on Aug 5 is likely to be launched in the first half of the 2030s , will need to address these differing circumstances to be successful. Under Vers, owners of HDB flats that are aged about 70 and up in selected precincts choose if they want their homes to be acquired by the Government for redevelopment, before their leases run out. Unlike the Selective En bloc Redevelopment Scheme (Sers) – a compulsory scheme where residents are compensated based on the market value of their flats when a project is announced – Vers terms will be less generous because the flats are older. Details of the Vers framework, such as the proportion of 'yes' votes needed for projects to proceed, have not been announced, and the compensation package is something Mr Chee said the Government will work on in its current term, which will end in 2030 at the latest. Sociologist Chua Beng Huat noted that households in Vers precincts have different needs, and also have differing financial capacities to pay for a new flat – whether a resale unit or a new replacement flat, should one be provided. Top stories Swipe. Select. Stay informed. Business Lower-wage retail workers to receive up to 6% pay bump from Sept 1 Singapore Keppel to sell M1's telco business to Simba for $1.43b, says deal expected to benefit consumers Singapore ST Explains: Who owns Simba, the company that is buying M1? Singapore ST Explains: What is Vers and which HDB estates could it be rolled out in? Singapore PM Wong's National Day Rally speech to begin at 6.45pm on Aug 17 Singapore Ong Ye Kung rebuts complaints about treatment of stallholders at Bukit Canberra Hawker Centre Singapore 'Incorrigible' sexual predator who preyed on children convicted for 4th time Sport Pool player Aloysius Yapp wins Florida Open for second career major For instance, he said, leaseholders will be of different ages, while their family members will also be at different stages of life, which makes the impact of Vers complicated and wide-ranging. Prof Chua, who is Emeritus Professor at the National University of Singapore's (NUS) Department of Sociology and Anthropology, said a 'one-size-fits-all' compensation policy may thus not work. He suggested that policymakers may instead have to consider the circumstances of each household to determine how they are compensated. Citing an example of how multifamily households living in kampongs were resettled into Housing Board flats in the past, Prof Chua suggested that it may be prudent to consider the circumstances of similar households undergoing Vers, where each family in these households are offered alternative housing based on their needs. He said family members of the older generation could be offered a smaller flat on a shorter lease, with the younger family members given the option of a separate flat on lease. Professor Sing Tien Foo, NUS Business School's provost chair professor of real estate, added that making Vers equitable for current and future flat owners is also complex. Noting that residents of Vers sites will receive less generous compensation terms than those of Sers projects, Prof Sing said that they should nevertheless not be worse-off than future owners of new flats built on Vers sites – these presumably will have fresh 99-year leases and come with the typical market subsidies priced into Build-To-Order flats. Referencing the goal of 99-year leases – to ensure that land can be recycled and used by future generations – sociologist Tan Ern Ser, an Adjunct Principal Research Fellow at the Institute of Policy Studies, said that Vers residents should not expect that their leases to be refreshed. 'Unfortunately, Singaporeans need to recognise that leasehold is leasehold,' said Dr Tan. 'A reset would render the leasehold meaningless.' Even if fresh 99-year leases are offered, some households, such as seniors with flats at the tail end of their current leases, may not have enough money to purchase a flat on the fresh lease, he said. Dr Tan instead said that a more reasonable scenario will be for leaseholders of Vers flats to be compensated for the remaining period of their leases and be given access to alternative housing arrangements with shorter leases. 'Without Vers, those who survive till the end of the 99-year lease will find themselves with no compensation and no housing,' said Dr Tan. 'This scenario is worse than having some compensation and an offer of affordable alternative housing,' he said.

ST Explains: What is Vers and which HDB estates could the scheme be rolled out in?
ST Explains: What is Vers and which HDB estates could the scheme be rolled out in?

Straits Times

time2 days ago

  • Straits Times

ST Explains: What is Vers and which HDB estates could the scheme be rolled out in?

Sign up now: Get ST's newsletters delivered to your inbox Singapore is aiming to roll out the scheme to a few sites in the first half of the 2030s. SINGAPORE - The Government will be focusing its efforts on the Voluntary Early Redevelopment Scheme (Vers), with the aim of rolling it out to a few sites in the first half of the 2030s. National Development Minister Chee Hong Tat said in an interview on Aug 5 that there are no plans for further projects under the Selective En bloc Redevelopment Scheme (Sers) . The Straits Times explains what are the two schemes and what we know so far about Vers. 1. What is Sers? Under Sers, the authorities select old Housing Board blocks to be demolished and redeveloped. The scheme is compulsory. Home owners are compensated based on the market value of their flats when the project is announced, and the option to buy a new replacement flat nearby with a fresh 99-year lease. They are also given rehousing benefits such as a grant of $30,000 to buy a new flat. HDB previously said that about 5 per cent of flats are estimated to be eligible for Sers. To date, 80 Sers projects have been completed since 1995, while two are still in progress. Top stories Swipe. Select. Stay informed. Singapore Keppel to sell M1's telco business to Simba for $1.43b, says deal expected to benefit consumers Business Singtel, StarHub shares fall after announcement of Keppel's M1 sale Singapore ST Explains: Who owns Simba, the company that is buying M1? Business Lower-wage retail workers to receive up to 6% pay bump from Sept 1 Singapore PM Wong's National Day Rally to begin at 6.45pm on Aug 17 Singapore Hyflux sought other funding sources for Tuaspring as it had problems getting bank loans: Prosecution Opinion Trump's trade deals have one giant contradiction 2. What is Vers? Vers, which has yet to be rolled out, will allow owners of flats aged 70 years and older to vote for the Government to buy back their homes before their leases run out. It is the proposed solution to lease decay, which is the erosion of a flat's value as the end of its 99-year lease approaches. Vers was first announced by former prime minister Lee Hsien Loong in his National Day Rally speech in 2018. He said then that Vers would allow the authorities to redevelop older HDB towns in an orderly way - paced over two to three decades, rather than crammed in four or five years. On Aug 5, Mr Chee said the authorities aim to develop and flesh out the Vers framework in the current term of government. This includes setting parameters to identify sites under the scheme, working out a fair compensation package for Vers residents and ensuring there are enough homes ready in time for them to relocate to. 3. What will Vers look like? Details of replacement flats for residents of Vers projects, such as lease options, have yet to be announced. The voting threshold for a Vers project to go ahead is also unknown at this point. In his interview, Mr Chee said that ideally, new flats for residents of Vers projects will be built not too far from their existing homes. On compensation, he noted there will be less financial upside to Vers, unlike Sers, as the flats will be older. He also added that the scheme has to be fair to the current generation of flat owners, as well as financially sustainable for future generations. The existing precinct can then be redeveloped, and used to build new homes for residents of a subsequent Vers project, he said. 4. Which estates could Vers be rolled out in? Mr Chee pointed out that several older estates were rapidly built up in the 1970s and 1980s to meet the urgent housing demand then. Examples of towns built in the 1970s and 1980s include Ang Mo Kio, Bedok, Tampines and Yishun. According to ERA Singapore, 356 blocks were built in Ang Mo Kio during this period, and about 39,600 new flats were sold by the HDB then. Some 419 blocks were completed in Bedok, with about 47,000 new flats sold. In the 1980s, 494 blocks were built in Tampines and 487 blocks in Yishun. In each town, more than 40,000 new units were sold. In addition, some of Singapore's oldest flats on 99-year leases were completed as early as in 1962, making them 68 years old in 2030. These flats are located in areas such as Tanjong Rhu, Tiong Bahru and Dakota. 5. What is the timeline for Vers? The authorities will first seek Singaporeans' views and feedback on Vers before rolling out the scheme to 'a few selected sites' in the first half of the 2030s. It will progressively scale up Vers by the late 2030s, with the aim to offer Vers to selected estates in different parts of Singapore, Mr Chee said. 6. Why are there no plans for more Sers projects? In a written parliamentary reply in 2022, the Ministry of National Development said it does not expect many more sites to be eligible for Sers as most of the projects with high redevelopment potential have already been selected. The latest Sers project, which is currently ongoing, involves Blocks 562 to 565 in Ang Mo Kio Avenue 3 and was announced in April 2022. Some 606 households were affected. Completed in 1979, these blocks were around 43 years old when they were selected. The replacement flats are expected to be completed in the third quarter of 2027.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store