Policy Updates

Extension of Term for Newly Allocated Fixed Term Tenancies: -
New tenants who wish to have a longer tenancy subject to a maximum of 3 years can extend the term opted for if tenancy has commenced not more than 3 months.  This allows flexibility for customers to make changes to suit their business plans.

Mid-Month Tenancy Commencement: -
To facilitate new customers to start operations as quickly as possible, the Mid-month commencement of tenancies is introduced. Customers are now able to commence operations less than a month after successfully bidding for a HDB Industrial Unit, with some as early as within 2 weeks after submitting their bid.

Flexibility Of Tenure For Successful Bidders: -
Successful Tenderers are now given the flexibility to sign a term of 1, 2 or 3 years.

Introduction Of Self-Declaration On In-coming Trades: -
HDB worked with NEA to allow assignees and subtenants to self-declare if their trades are Clean & Light without any pollution. NEA's clearance would thus not be required. This speeds up the allocation process and allows operations to commence as quickly as possible.

Tenancy Management
 
    

Stagger Rents on Renewal: -
On each renewal, the existing rent will be revised to the prevailing market rent. Tenants have the option to renew their tenancies for either 1, 2 or 3 years. To help our customers manage their costs better, we have put in place a stagger rent plan over a 3-year term for those facing more than 10% increase in renewal rents.  This policy applies to all renewals from 1 Feb 09 onwards.  All customers will hence benefit from this policy designed to help them cushioning any sharp upward swings in market rents.

Sublet Consent Fee Not Required for Sold Factory Units: -
Lessees, as owners of our sold factories, have a greater control over how they want to use their properties.  In sync with allowing full subletting in such premises, HDB has decided to do away with the imposition of sublet consent fee.  However, the trade of the sub-tenant must still comply with the approved use as an industrial premises and URA / NEA's guidelines.

On-Line Notification of Termination of Tenancy:-
To facilitate easy exit, tenants may now give notification of termination on-line via Hbiz.

On-Site Return of Keys for Termination of Unit:-
Returning of keys on delivery of vacant possession used to be processed at HDB' s counters. With the implementation of On-Site Keys Handover, our customer will enjoy the convenience of returning the keys on the spot to our officers immediately after the joint-inspection of the premises.

Accounting & Corporate Regulatory Authority (ACRA) printout no longer required for Tenancy Applications: -
A copy of ACRA printout, to be attached to applications submitted, is no longer required. To save our customers the additional costs and time to get the report, HDB will retrieve it directly on-line from ACRA and bear the costs as goodwill.

One Personal Guarantor Required: -
Pte Ltd Companies are now only required to provide only 1 person, (Singapore Citizen, minimum 21 years of age and gainfully employed) instead of 2, to be a personal guarantor.

Application Fee for Changes to Lease / Tenancy: -
Customers now need to pay only one processing fee regardless of number of applications made as long as they are submitted at the same time.  This is a relaxation from the earlier requirement of one fee for each and every application even though they may be submitted the same time.

Tenancy Changes for New Allocation: -
After successful bidding, bidder can include additional partners/shareholders into the firm before execution of Tenancy Agreement.  Previously the original bidder must retain at least 51% ownership. This is to recognize market business dynamics where companies normally firm up the ownership structures after the various logistics have been procured. Admin fee for the changes is also waived.

Any-day Termination: -
If the premises are satisfactorily reinstated, tenants may return possession of the premises "any day".  Rent will be computed up to the date of vacant possession delivered to HDB instead of month-end.

Retention of Additions & Alteration Works on Termination: -
Outgoing tenants need not reinstate the premises to its original state before returning the keys to enable interested incoming tenant to take over the fixtures & fittings, subject to terms and conditions eg works are in order and authorised, etc. This will minimise wastage and costs that would have been incurred by the outgoing tenants.

Tenancy Changes

Certificate of Compliance (COC) no longer required for Assignment Application: -
HDB has removed the need for the Assignee to submit a Certificate of Compliance (COC) as endorsed by a Licensed Electrical Worker (LEW) for assignment applications. Previously, all incoming assignees (for premises with electrical loading of < 45KVA) are required to engage a LEW to inspect the electrical installations.  HDB has relaxed the rule so as to lower start up costs.

Simplification of On-Line Forms for Tenancy Changes:-
Applicants were previously required to provide their existing tenancy and new information on proposed changes. The on-line application has been simplified where only information for the proposed changes is needed.

Execution of Tenancy Change by Post:-
Previously, Tenants or their authorized persons were required to come to HDB to execute the Tenancy Agreement (TA) for any changes to their tenancies. The TAs are now sent to the Tenant for endorsement and return to HDB via post.

Lifting Of Restriction On Assignment, Subletting And Inclusion Of Partners: -
The restriction periods were removed to facilitate easier "entry and exit". Tenants and lessees are now able to assign, sublet and include partners anytime to facilitate restructuring and make better use of their resources.

Relocation

Early Release Of Ex-Gratia for Relocation Tenants Taking Possession Of Their New Units: -
For tenants moving to HDB's new industrial developments, upon signing of the Tenancy Agreement for their new replacement units, half of the ex-gratia would be immediately released to ease their cash-flow and facilitate early start-up of their business at the new premises.

Additions & Alteration Works

Exemption from Application for Approval: -
There are some simple A/A works that are exempted from the need for approval for premises built before 1990s.