- Joined
- Jun 17, 2020
- Messages
- 16,085
- Points
- 113
https://theonlinecitizen.com/2026/0...-isn-t-a-key-factor-in-recent-eatery-closures
KF Seetoh has challenged claims that rent was not a key factor in recent eatery closures, arguing that rental costs must be assessed against sales capacity. He warned that limited hours, manpower shortages and capped revenue make high rents unsustainable for many F&B operators.
The Online Citizen5 Feb 2026
AI-Generated Summary
Official data show thousands of eateries shutting annually, with most never turning a profit, underscoring structural pressures beyond isolated cases.
Singapore food advocate and critic KF Seetoh has pushed back against claims that rental costs were not a major factor in recent closures, arguing that rent must be assessed in relation to a business’s sales capacity rather than in isolation.
In a Facebook post on 5 February, Seetoh has warned that high rents, when combined with rising operating costs and manpower constraints, are accelerating a systemic crisis in Singapore’s food and beverage sector.
He said the shuttering of multiple establishments pointed to structural pressures that go beyond individual business failures, citing rising operating costs, manpower shortages and policy constraints.
“Even before the ink could dry on the Nasi Pariaman closure saga,” he wrote, award-winning fine-dining restaurant Lolla and Authentic Mun Chee Kee King of Pig’s Organ Soup had announced their closures, alongside smaller hawker stalls.
Authentic Mun Chee Kee’s founder and owner David Tan had earlier told local media that the business suffered an approximate 35 per cent drop in sales following its relocation.
He said he was unsure of the precise cause of the decline, but noted that costs continued to rise.
Warong Nasi Pariaman, Singapore’s oldest nasi padang restaurant, closed on 31 January 2026, sparking an outpouring of nostalgia from generations of loyal patrons and drawing long queues in its final days.
In his post, Seetoh described manpower constraints as a “clear and present threat”, cautioning against assumptions that younger workers or retirees could readily take over traditional food businesses.
“Don’t count on Gen Z, millennials or retirees to take over,” he wrote, adding that many were neither trained nor inclined to do so under prevailing conditions.
He cited online listings showing a nearby 1,500 sq ft shop renting for about S$17,000 a month, while Warong Nasi Pariaman had occupied two adjoining lots totalling 2,613 sq ft at a prime heritage corner location.
Such sites, he said, would “not come cheap”, estimating rents easily exceeding S$20,000 a month, despite the eatery operating only during lunch hours and closing by mid-afternoon.
With no dinner service and limited seating, Seetoh argued that many traditional eateries faced a “glass ceiling” on revenue, making it misleading to dismiss rent as a secondary issue.
“No dinner revenue and it takes too much effort time and cost to recook for dinner. They need work life balance too. “
”Seats are limited and hence there's a glass ceiling how much business they can do. Can't just say rent is not the problem,” Seetoh argued.
He warned that without deeper policy planning and long-term thinking, the industry could be “decimated”, describing the situation as a “cancerous” threat to Singapore’s F&B ecosystem.
Drawing international comparisons, Seetoh said operating costs and rentals in parts of New York, including midtown Manhattan and Brooklyn, were cheaper than prime areas such as Orchard Road, Marina Bay Sands and Joo Chiat.
This was despite higher hourly wages and taxes in the United States, he added, noting that manpower availability there was significantly less constrained.
“Please, don’t stand bedside before this cancerous industry patient and wonder what’s happening,” he wrote, warning that another 3,000 eateries could be preparing to shutter in what he described as an even tougher year ahead.
Citing Urban Redevelopment Authority data, he said median rents in heritage districts rose moderately over the past two years, broadly in line with other central retail areas and below nominal GDP growth.
He assured the government will continue supporting heritage businesses through inter-agency measures, including assistance under the SG Heritage Business Scheme.
Responding to questions from Denise Phua and supplementary questions from Fadli Fawzi, Syed Harun said the Government has no plans to introduce new taxes on commercial heritage properties but will continue inter-agency support for heritage businesses.
Several comments pointed to food relevance, quality and changing consumer tastes as additional factors determining whether traditional eateries could survive. Seetoh agreed that pain was widespread across the sector, noting that even businesses performing well were struggling.
Others echoed that closures were affecting even Michelin-rated or fully booked restaurants, driven by recurring issues such as staffing shortages, rental hikes and food cost inflation.
Other netizens expressed frustration over claims that rent was not a major factor in closures, citing sharp rental hikes, utilities and policy-driven manpower costs as key pressures.
Some argued that manpower quotas, levies and rising overheads hurt businesses more than rent, while others said a lack of policy accountability and heritage protection was accelerating closures. Several warned that without intervention, more eateries—heritage or otherwise—would continue to shut.
Among businesses that closed within five years of registration, 82 per cent had never recorded a profit, underscoring the sector’s structural fragility.
Closures have continued into 2026, including well-known chains such as Hooters, Open Farm Community, Pizza Express and Kith Café, the latter two now operating only two outlets each.
KF Seetoh has challenged claims that rent was not a key factor in recent eatery closures, arguing that rental costs must be assessed against sales capacity. He warned that limited hours, manpower shortages and capped revenue make high rents unsustainable for many F&B operators.
The Online Citizen5 Feb 2026
AI-Generated Summary
- KF Seetoh has warned that rising costs, manpower shortages and policy inertia are driving an industry-wide crisis in Singapore’s F&B sector.
- Recent closures include Lolla and Authentic Mun Chee Kee King of Pig’s Organ Soup, alongside hawker stalls and legacy brands.
Official data show thousands of eateries shutting annually, with most never turning a profit, underscoring structural pressures beyond isolated cases.
Singapore food advocate and critic KF Seetoh has pushed back against claims that rental costs were not a major factor in recent closures, arguing that rent must be assessed in relation to a business’s sales capacity rather than in isolation.
In a Facebook post on 5 February, Seetoh has warned that high rents, when combined with rising operating costs and manpower constraints, are accelerating a systemic crisis in Singapore’s food and beverage sector.
He said the shuttering of multiple establishments pointed to structural pressures that go beyond individual business failures, citing rising operating costs, manpower shortages and policy constraints.
“Even before the ink could dry on the Nasi Pariaman closure saga,” he wrote, award-winning fine-dining restaurant Lolla and Authentic Mun Chee Kee King of Pig’s Organ Soup had announced their closures, alongside smaller hawker stalls.
Authentic Mun Chee Kee’s founder and owner David Tan had earlier told local media that the business suffered an approximate 35 per cent drop in sales following its relocation.
He said he was unsure of the precise cause of the decline, but noted that costs continued to rise.
Warong Nasi Pariaman, Singapore’s oldest nasi padang restaurant, closed on 31 January 2026, sparking an outpouring of nostalgia from generations of loyal patrons and drawing long queues in its final days.
In his post, Seetoh described manpower constraints as a “clear and present threat”, cautioning against assumptions that younger workers or retirees could readily take over traditional food businesses.
“Don’t count on Gen Z, millennials or retirees to take over,” he wrote, adding that many were neither trained nor inclined to do so under prevailing conditions.
Rent cannot be viewed in isolation, Seetoh argues
Rental costs were also raised as a major concern, though Seetoh stressed they should not be viewed in isolation without considering sales volumes and business models.He cited online listings showing a nearby 1,500 sq ft shop renting for about S$17,000 a month, while Warong Nasi Pariaman had occupied two adjoining lots totalling 2,613 sq ft at a prime heritage corner location.
Such sites, he said, would “not come cheap”, estimating rents easily exceeding S$20,000 a month, despite the eatery operating only during lunch hours and closing by mid-afternoon.
With no dinner service and limited seating, Seetoh argued that many traditional eateries faced a “glass ceiling” on revenue, making it misleading to dismiss rent as a secondary issue.
“No dinner revenue and it takes too much effort time and cost to recook for dinner. They need work life balance too. “
”Seats are limited and hence there's a glass ceiling how much business they can do. Can't just say rent is not the problem,” Seetoh argued.
‘Systematically eroded by policy and paper’
“The pioneer and Merdeka generation powering our famous food culture was created by love, respect for heritage and elbow grease,” Seetoh wrote, adding that this foundation had been “systematically eroded by policy and paper”.He warned that without deeper policy planning and long-term thinking, the industry could be “decimated”, describing the situation as a “cancerous” threat to Singapore’s F&B ecosystem.
Drawing international comparisons, Seetoh said operating costs and rentals in parts of New York, including midtown Manhattan and Brooklyn, were cheaper than prime areas such as Orchard Road, Marina Bay Sands and Joo Chiat.
This was despite higher hourly wages and taxes in the United States, he added, noting that manpower availability there was significantly less constrained.
“Please, don’t stand bedside before this cancerous industry patient and wonder what’s happening,” he wrote, warning that another 3,000 eateries could be preparing to shutter in what he described as an even tougher year ahead.
Syed Harun earlier defends Warong Nasi Pariaman closure was not due to high rents
Seetoh's comments came after Senior Parliamentary Secretary for National Development Dr Syed Harun Alhabsyi told Parliament on 3 February that the closure of Warong Nasi Pariaman was not caused by high rents, cautioning against such assumptions.Citing Urban Redevelopment Authority data, he said median rents in heritage districts rose moderately over the past two years, broadly in line with other central retail areas and below nominal GDP growth.
He assured the government will continue supporting heritage businesses through inter-agency measures, including assistance under the SG Heritage Business Scheme.
Responding to questions from Denise Phua and supplementary questions from Fadli Fawzi, Syed Harun said the Government has no plans to introduce new taxes on commercial heritage properties but will continue inter-agency support for heritage businesses.
Netizens echo concerns, raise market relevance
Netizens responding to Seetoh’s post acknowledged that rising costs, manpower shortages and younger Singaporeans’ reluctance to work in F&B were real pressures, but argued that the issue was more complex than rent alone.Several comments pointed to food relevance, quality and changing consumer tastes as additional factors determining whether traditional eateries could survive. Seetoh agreed that pain was widespread across the sector, noting that even businesses performing well were struggling.
Others echoed that closures were affecting even Michelin-rated or fully booked restaurants, driven by recurring issues such as staffing shortages, rental hikes and food cost inflation.
Other netizens expressed frustration over claims that rent was not a major factor in closures, citing sharp rental hikes, utilities and policy-driven manpower costs as key pressures.
Some argued that manpower quotas, levies and rising overheads hurt businesses more than rent, while others said a lack of policy accountability and heritage protection was accelerating closures. Several warned that without intervention, more eateries—heritage or otherwise—would continue to shut.
82% of closed food outlets registered under five years never made a profit
According to data from the Ministry of Trade and Industry and the Accounting and Corporate Regulatory Authority, 2,431 retail food establishments ceased operations between 1 January and 23 October 2025, while 3,357 new ones were registered.Among businesses that closed within five years of registration, 82 per cent had never recorded a profit, underscoring the sector’s structural fragility.
Closures have continued into 2026, including well-known chains such as Hooters, Open Farm Community, Pizza Express and Kith Café, the latter two now operating only two outlets each.
