Revision of Lease Conditions for Essential Service Businesses in HDB and Private-owned Shops

Dr Choo Pei Ling asked the Minister for National Development whether the Ministry will revise lease conditions for both HDB and privately-owned shops to boost support for businesses that provide essential and affordable products and services including (i) non-profit care, (ii) therapy and (iii) medical centres, in view of our low fertility rate and ageing population.

The Housing and Development Board (HDB) plans its towns comprehensively to ensure that residents have convenient access to essential and affordable goods and services. Rather than relying on lease conditions, HDB takes a systematic approach though planning and allocation of space, in partnership with relevant agencies.

For example, HDB works with the Ministry of Health to allocate rental shops for letting as clinics and has jointly piloted the price-quality method tenders for private general practitioner clinics to encourage affordable and quality healthcare services in heartland shops. In addition, HDB supports social enterprises and inclusive businesses by providing direct allocation and subsidised rental space under the social enterprise policy to foster community-focused services.

Beyond commercial spaces, HDB plans for socio-communal facilities within estates to support a range of community needs. These include facilities, such as childcare centres, senior care centres and other community spaces that support social interaction, care services and active ageing. HDB also collaborates with non-profit social service agencies on ground-up initiatives, identifying vacant premises or void deck spaces for conversion based on local community needs.

For businesses operating in privately-owned shops, the proposed usage and leasing conditions are determined through market-based negotiations between businesses and private premises owners. The Government does not intervene directly in these private commercial arrangements but plans for facilities that provide socio-communal services in partnership with social agencies. Through the Urban Redevelopment Authority's Community/Sports Facilities Scheme, private developers are incentivised to co-locate non-profit community and sports users with commercial developments.