Assigning Your Premises
For Land
Eligibility
The Lessee may assign the balance term of their existing lease provided there is no breach of their existing lease subject to HDB’s prior consent as land owner.
Rent & Benefits
- The new incoming Lessee (Assignee) would need to obtain approval from NEA and the other relevant authorities for their proposed use / trade. They would also need to bear all legal costs, stamp fees and other expenses for the issue of Supplemental Deed / Variation of Lease after completion of assignment.
- The land rental payable by the Assignee would be computed as follows :
Existing contractual rent + 80% (Prevailing posted land rent - Existing contractual land rent).
Fees
- For leases on rental scheme, an admin fee of $500/- (excluding GST) will be charged. An additional fee of $500/- (excluding GST) will be charged if there is any change of classification of industry use which would be confirmed by URA.
- For leases on premium scheme, an assignment fee would be payable by the existing Lessee (Assignor).
- A consent fee for change of use will be determined by URA if there is any change of classification of industry use which would be confirmed by URA.
- For leases which are issued prior to 1960 (ie. SIT cases), an admin fee as determined by SLA will be payable prior to the proposed assignment.
How To
- Lessee (by letter or fax) informs HDB the name of Assignee and their proposed use of the factory.
- HDB grants in-principle approval with Terms & Conditions stated.
- Lessee and Assignee revert with required information and payment of relevant fees.
- Transaction is completed when the Lessee/solicitor forwards a copy of the Notice of Transfer to HDB for retention.
