Tag Archives: HDB Shops

More budget, lower owner contribution to support HDB shop revitalisation efforts

There will be a bigger upgrading budget and shopowners will have to bear less of the cost to upgrade their shops as part of the enhanced Revitalisation of Shops (ROS) Scheme, the Housing and Development Board (HDB) said on Monday (May 9).

The ROS upgrading budget for each HDB shop will be increased by 75 per cent from S$20,000 to S$35,000 per shop, according to the press release.

To encourage more HDB shops to participate in the scheme, the shopowners’ share of the upgrading cost will be reduced from 50 per cent to 20 per cent, and capped as S$5,000. HDB and the town councils will co-fund the remaining 80 per cent, capped at S$30,000 per shop, it said, adding that they will continue to bear 100 per cent of the upgrading cost for rental shops.

Additionally, HDB will provide new funding of up to S$10,000 for Merchants Associations (MA) to appoint a consultant to help shopowners in their ROS upgrading, the press release said.

Should the HDB shops not have a MA, HDB has also introduced a new Start-up Fund of S$10,000 to encourage them to form one.

The new enhancements are applicable for batch 7 of ROS onwards, a HDB spokesperson told Channel NewsAsia.

The upgraded ROS package will cost about S$15 million yearly and was first revealed by Finance Minister Heng Swee Keat in his Budget 2016 statement.

Since the ROS scheme was introduced in November 2007, 4,684 shops from 54 HDB town or neighbourhood centres islandwide have benefitted, covering more than 50 per cent of such centres, the agency said.

Of these, 16 HDB town or neighbourhood centres have completed upgrading and another eight centres are at various stages of upgrading. In addition, more than 300 promotional events have been organised by the MAs under the scheme, it said.

Source : Channel NewsAsia – 9 May 2016

Shops sold on 30-year lease will return to HDB after expiry: MND

Shops sold by the Housing and Development Board on a 30-year-old lease will be returned to the lessor – the HDB – upon the expiry of the lease, National Development Minister Lawrence Wong reiterated in Parliament on Tuesday (Mar 1).

Where possible, and if in line with future planning intentions, HDB can consider allowing these shopowners to rent the shops after the lease expires, he added.

In response to a question from MP Cheryl Chan (Fengshan SMC), 50 per cent of Housing and Development Board (HDB) town and neighbourhood centres have benefited from the Revitalisation of Shops (ROS) scheme to date, Mr Wong said.

He said the scheme has been designed specifically for HDB shops to help enhance their vibrancy and improve their competitiveness. Local Merchants’ Associations have the opportunity to lead and drive the revitalisation of their respective shop clusters with funding support from the Town Council and HDB, he added.

The Ministry of National Development are reviewing the ROS scheme with the aim of encouraging more retailers to upgrade their shops and business operations. “The outcome of the review will be announced in due course,” Mr Wong said.

He added that HDB has other programmes to rejuvenate older towns and estates, like the Remaking our Heartland programme, which provides enhancements for the entire town.

Source : Channel NewsAsia – 1 Mar 2016

Sales numbers do not suggest speculation in HDB shops: Khaw

National Development Minister Khaw Boon Wan said recent sales numbers do not suggest a speculative element in Housing and Development Board (HDB) shops, and it will not be tenable for HDB to impose new restrictions like stricter citizenship eligibility.

In a written parliamentary reply to MP Ong Teng Koon, Mr Khaw said Singaporeans and Singaporean-owned companies own about 95 per cent of the sold shops, and the remaining five per cent are owned by permanent residents, foreigners and foreign-owned companies.

Resale transactions over the last five years involving HDB shops made up three to seven per cent of the total stock of 8,700 HDB shops.

From January to August this year, there were 216 such transactions, out of which 14 shops or six per cent were resold within one year of purchase.

These shops are transacted in the market on a willing buyer and willing seller basis, similar to other private commercial properties.

HDB stopped the direct sale of HDB shops in 1998.

Source : Channel NewsAsia – 16 Oct 2012