Rent is killing Singapore

True Believer said:

Most doctors in private practice are no different from our politicians. Greed knows no limit with these people.

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Many doctors become part time MP to earn more income, greed has no boundary!

birdie69 said:

Many doctors become part time MP to earn more income, greed has no boundary!

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Notice how Dr Koh Poh Koon pushes this old lady he is supposedly helping, into the
background, so he becomes the focus of attention while the press takes this photo.

Singapore now at the crossroads again...

Either property prices crash or Singaporeans crash and burn

True Believer said:

There is a trickle down effect from overcrowding in S'pore. As ultra rich foreigners buy up freehold land, the price of landed homes shoots up, pushing more people to turn to condo living. Aspiring upgraders are priced out of private homes so purchase 5-room HDB flats, thereby forcing more to buy 4 and 3-room units. The increase in home prices affects everyone in S'pore.

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Ish a perpetual self feeding loop for Huat Huat property machine

True Believer said:

PM Wong already said that the PAP is going for economic growth at all costs - including sacrificing true blue S'poreans.

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No worries…. Most Sinki will forget when they receive the $600 in their banks

BHG downsizes Bugis Junction flagship outlet as department stores face shaky future​

Besides the March closure of its Junction 8 store, BHG has shuttered four stores here since 2022..ST PHOTO: NG SOR LUAN
Chin Soo Fang
Jun 08, 2025

SINGAPORE – Department store BHG is downsizing its flagship Bugis Junction outlet – its last remaining permanent store – from three to two levels.

This follows the March closure of its Junction 8 store, which will be replaced by home furnishings brand Nitori. Nitori will also take over the third-floor space BHG used to occupy at Bugis Junction.

The scaling down of BHG’s Bugis Junction outlet comes on the back of other store closures. Besides Junction 8, it has shuttered four stores here since 2022, in Raffles City Shopping Centre, Jurong Point, Clementi Mall and Lot One.


It follows a series of other closures of large department stores here.

“BHG remains a tenant at Bugis Junction on Levels 1 and 2, and we continue to work closely with them to introduce new brands,” said a spokesperson for Bugis Junction. BHG declined comment.

In February, BHG opened a pop-up store at The Centrepoint, which will operate until August.

BHG Singapore began in 1994 as Seiyu Wing On Department Store. In 2007, it was acquired by Beijing Hualian Group, one of China’s largest commercial chain retailers, and has operated under the brand name BHG for the past 18 years.


BHG at Junction 8 shuttered in March after a closing-down sale.PHOTO: LIANHE ZAOBAO
Homemaker Brenda Thio, 53, said: “It is sad that these stores that have been around for so long are either gone or downsized.”

But she said she mainly shops online now. “I hardly shop at BHG and have bought only pillows, bolsters or bed sheets there once every few years.”

A broader trend of decline​

Large department stores here and worldwide have faced decline owing to increasing competition from online shopping, exacerbated by the Covid-19 pandemic.

Japanese chain Isetan will shutter its Tampines Mall outlet in November, after about 30 years.

At its 2013 peak, it had six stores in Singapore. Its last closure was Isetan Katong in Parkway Parade in 2022. After closing the Tampines store, it will be left with two outlets – Isetan Scotts and Isetan Serangoon Central.

Home-grown department store OG closed its Orchard Point store in 2022, after 18 years. Its remaining stores are in People’s Park and Albert Street.

Metro closed its flagship Centrepoint store in 2019 after five years, with two remaining stores at Paragon and Causeway Point.

And two department store chains which used to be household names have called it quits. Robinsons, which still has an online store, shut its last physical store at Raffles City Shopping Centre in 2021, while John Little exited the local retail scene in 2017, after closing its Plaza Singapura outlet.

Market observers said that with e-commerce offering a greater variety of products, competitive pricing and the convenience of home delivery, people are increasingly less inclined to visit large department stores.

“Today’s shoppers increasingly seek personalised, curated and experiential retail experiences,” said Ms Leung Sau Yee, senior lecturer at Singapore Polytechnic’s School of Business. “Traditional department stores, with their generalist, one-size-fits-all model, often fall short of these expectations.”

Many department stores also rely heavily on mall operators to drive engagement, she said. Without distinctive products, brand curation or compelling in-store experiences, they struggle to offer shoppers a strong reason to return.

Department stores have traditionally been anchor tenants in malls. But operating large-scale stores in prime retail locations, such as Bugis Junction, means incurring high rental, staff and inventory costs. As footfall declines, it becomes increasingly difficult to justify maintaining such expansive physical spaces from a profitability standpoint, experts said.


A signboard (above) on the third level of Bugis Junction informing customers that BHG has downsized from three to two levels.ST PHOTO: NG SOR LUAN
Associate Professor Lau Kong Cheen, head of the Singapore University of Social Sciences’ marketing programme, said department stores have been supplanted by large malls that offer a curated mix of specialised outlets. In short, malls are mega department stores.

“Malls house dedicated retailers for categories such as footwear, cosmetics, skincare, fashion apparel, accessories, jewellery and homeware,” he said. “Each speciality store provides a focused brand experience that resonates more with today’s discerning shoppers.”

Professor Lawrence Loh, from NUS Business School’s department of strategy and policy, said: “Department stores cannot continue to be more of the same, providing huge varieties for all customers. If they are everything to everybody, they may end up as nothing to nobody.”

From product-centric to experience-centric​

The scaling down of BHG’s Bugis Junction outlet comes on the back of other store closures.ST PHOTO: NG SOR LUAN
What could make the department store relevant again in a tough market?

Prof Loh suggested merging the physical store with a digital one to offer holistic shopping experiences that are not found online.

“The ‘touch-and-feel’ in shopping is still valuable, but stores must give sufficient incentives to prevent the undesirable consumer behaviour of testing at stores and then going online to purchase elsewhere at lower prices,” he said. “Department stores face the real challenge of being free showrooms for the low-cost e-commerce stores.”

Other experts agree on the need to invest in omnichannel integration with a seamless blend of online and offline experiences, such as allowing customers to purchase online and collect in-store, or checking stock levels in real time, to compete with pure e-commerce players.

Mr Ethan Hsu, head of retail at real estate consultancy Knight Frank Singapore, said that technology such as personalised apps, fitting rooms that use augmented reality and artificial intelligence-driven inventory can improve efficiency and customer experience.


They can also cater to modern preferences like sustainability, he said.

In addition, he suggested community marketing activities that can build loyalty and differentiate stores from online retailers. These include supporting local charities, or hosting community events and cultural celebrations.

Prof Lau suggested that stores frequently introduce thematic changes – for instance, cultural themes from different countries – to their product ranges.

“Just like museums and art galleries – they change their display by curating new exhibits to draw domestic visitors to make repeat visits,” he said.

Exclusive collaborations with brands that have a limited presence in Singapore – including emerging international brands and local designers – could help, Prof Lau added.

And stores can transform themselves into lifestyle destinations by integrating cafes with speciality in-house brews and food, and branded dining ware sold in-store, he said.

Offering experiences such as personal colour analysis, cooking or baking workshops and food-and-wine pairings can make shopping more engaging, and cannot be replicated by online retailers, said Ms Leung.

She added: “Ultimately, for department stores to thrive, they must shift from being product-centric to experience-centric, staying attuned to evolving consumer values and behaviours.”

​

Lying Flat 躺平 is the way to counter back, once the Middle Class cut its spending, the economy will crash.
Bring the pain to the Rich, they can't survive a minute in the ghetto

Japanese ramen chain Kanada-Ya shuts all three Singapore outlets amid losses​

Kanada-Ya's Marina Square outlet has not been in operation since June 8.ST PHOTO: MEGAN WEE

Timothy Goh
Jun 12, 2025

SINGAPORE – Japanese ramen chain Kanada-Ya has ceased all operations in Singapore after its parent company Aspen Group said it is winding up the business due to continued losses.

Mainboard-listed Aspen Group said in a bourse filing on June 11 that it will place Kanada-Ya SG and its wholly owned direct subsidiary Kanada-Ya Restaurants under creditors’ voluntary liquidation, as the subsidiaries are no longer able to pay their debts.

It said: “The challenging conditions of Singapore’s food and beverage sector, including elevated operating costs and soft consumer spending patterns, have negatively impacted the subsidiaries’ business in this segment, resulting in continued operational losses.”


Aspen noted that after the death of the founder and executive director of Kanada-Ya brand’s franchiser, its Singapore units saw a sharp drop in marketing and operational support from the franchiser.

“In light of these cumulative challenges, the subsidiaries’ operations are no longer sustainable and as at the date of this announcement, the subsidiaries have ceased operations at all their outlets,” it said.

Kanada-Ya, which originated in the city of Yukuhashi in Fukuoka, Japan, operated three outlets in Singapore – at Paya Lebar Quarter (PLQ), Marina Square and Jem. Its first outlet here at Paya Lebar Quarter opened in 2019. Some of its signature items included black garlic ramen and truffle-infused ramen.

Jem mall staff told The Straits Times on June 12 that the outlet there had closed its doors on June 6.

At PLQ, the shop lot where Kanada-Ya used to operate was boarded up.

At its Marina Square outlet, an employee from a neighbouring shop said the Kanada-Ya outlet had not been in operation since June 8.


Aspen said the closures are expected to have a positive impact on its net assets and earnings for the financial year ending June 30, 2025.

“The creditors’ voluntary liquidation will also enable Aspen to streamline its operations and focus its resources on its core business segment of property development,” it said.

Kanada-Ya’s closure comes amid similar struggles in Singapore’s food and beverage sector.

Fellow Japanese restaurant operator Japan Foods reported a net loss of $6.2 million for the six months ended March 31, deepening from a $576,000 loss a year earlier.

This comes as Japan Foods’ revenue for the half slid 7.5 per cent year on year to $40.2 million, from $43.4 million.

It attributed this to “tough market conditions” as existing brands, including Yakiniku Shokudo, Menya Musashi and Konjiki Hototogisu, generated lower revenue.

Konjiki Hototogisu also closed three outlets – at Chijmes, Paragon and Jewel.

Co-owner of firm behind record $52k bid to rent Tampines HDB clinic says location justifies cost​

The Tampines clinic’s eye-popping rent recently caught public attention and ignited discussion about rising rentals and healthcare costs.

Jun 03, 2025

SINGAPORE – The co-owner of a healthcare services firm that placed a record high bid of $52,188 in monthly rent for a unit in a Tampines HDB estate, has come out to explain that his bid was based on the attractive attributes of the area.

Mr Andrew Chim, 37, co-owns I-Health Medical Holdings – the firm that won the tender to operate the 50 sq m ground-floor unit at Block 954C Tampines Street 96.

Bidding on the unit had closed in January, and the results were announced by the Housing Board in March, said Mr Chim.


But the clinic’s eye-popping rent recently caught public attention and ignited discussion over the last few days about rising rentals and healthcare costs.

Mr Chim told The Straits Times on June 3 that the unit in question had the most attractive attributes among recent HDB units for general practitioner (GP) clinics.

He pointed out that the unit is in the middle of Tampines West where there are five Build-To-Order projects with 5,000 households, as well as other upcoming developments like a new mixed-use project and a shopping mall.

“Our assessment is based on our understanding of the number of units in the area and the surrounding competition,” he said, adding that there are around five other clinics in the vicinity.

I-Health has three other clinics in heartland areas around the island, where it pays between $7,000 and $10,000 in rent.

It plans to open its Tampines clinic on June 26.

There were 13 bids in total for the Tampines clinic, which comes with a three-year lease. The stated winner, Mr Shaun Lum, is the other co-owner of I-Health. HDB did not disclose the bid amounts from the other tenderers.

The $52,188 rent came to public attention on May 31 after healthcare practitioner Hisham Badaruddin took to professional networking platform LinkedIn to say this was an “obscene” amount to pay for rent for a clinic in an HDB estate. Dr Hisham, who runs his own practice, Bartley Clinic, told ST on June 3 that he was concerned about the implications of such high rents, pointing out that it could translate to higher healthcare costs.

“It may have a ripple effect where other landlords raise their rents too. If it affects me, it will in turn affect my patients,” said the 54-year-old, who pays about $6,000 a month in rent for a shophouse unit in Paya Lebar.

Mr Nicholas Mak, chief research officer at property search portal Mogul.sg, said demand for the unit in Tampines GreenGem was high, considering that clinics in HDB estates usually attract fewer than 10 bids.

He added that private landlords could use the high rentals in HDB commercial spaces as a benchmark to raise their asking rents.

“This will either force some retail operators out of business or force them to raise prices. The higher rentals will eventually be passed on to consumers as higher prices of the goods and services,” Mr Mak said.

Asked if I-Health will increase prices at its Tampines branch, Mr Chim said that despite the high rental, consultation fees will range from $30 to $35, comparable with those of other heartland clinics.

“Our pricing will be commensurate with other clinic chains’ – it has to be because Singaporeans are value-conscious,” he said.

Mr Chim said he is confident that after a year, the Tampines branch will see between 70 and 90 patients a day. At that point, it will get a second doctor. He expects the clinic to make a profit in 1½ to two years.

It will be open from 8.30am to 3pm and 5.30pm to 10pm, including on weekends and public holidays, he said, adding that nearby clinics are open for fewer hours.

This is the first time I-Health has successfully tendered for an HDB unit. It tried submitting bids for four other tenders in areas such as Bidadari and Tampines North, but the company “did not have enough cash flow” then, said Mr Chim.

“Now that we have sufficient cash flow, we have confidence to go after the best locations,” he said.

About concerns that I-Health’s bid would cause rents for other clinics to rise, Mr Chim pointed out that landlords might not be able to find tenants willing to pay higher prices.

Other recent successful rental bids for GP clinics in HDB estates include a $40,088 bid for a unit at Block 235B Tengah Garden Walk. Bidding for that unit also closed in January and was awarded to Dr Daphne Lee.

The same month, Caring Medical Clinic placed a successful bid of $25,388 to rent a unit at Block 666 Tampines Street 64.

Empty shops, boarded windows: Has Holland Village lost its mojo?​

Holland Village is known for its bohemian vibes, trendy cafes, restaurants and a mix of old and new local businesses.

Jun 06, 2025

SINGAPORE – In October 2024, a party celebrating the 10th anniversary of Bynd Artisan – a home-grown brand known for handmade leather and paper gifts – was in full swing at its flagship store in Jalan Merah Saga.

The energy was unmistakable as guests mingled, admired the anniversary collection and lined up to personalise keepsakes with the craftsmen.

Beneath the conviviality, however, was a quiet sense of transition. After all, this was not just a celebration – it also marked the closing of a meaningful chapter in Holland Village and the beginning of new possibilities as the brand completed its lease in February 2025.

2024 was a year of change for Holland Village. Many well-known names, such as Thambi Magazine Store, ice cream parlour Sunday Folks and party paraphernalia shop Khiam Teck, had shuttered.

“It was bittersweet,” says Bynd Artisan’s co-founder Winnie Chan, 53. She and her husband James Quan set up shop in Chip Bee Gardens in 2015 during Singapore’s 50th year of independence.

The store was a tribute to Ms Chan’s grandfather, one of Singapore’s pioneering hand bookbinders. His legacy lived on through the personal touches in the space – most notably, the towering Heidelberg letterpress.


Home-grown brand Bynd Artisan’s 10th anniversary party in October 2024 was not only a celebration but also a farewell to its flagship store in Jalan Merah Saga.

ST PHOTO: ARIFFIN JAMAR

For years, the iconic machine stood proudly outside the shop, drawing the curiosity of passers-by who thronged the streets of Holland Village.


But foot traffic has dwindled over the years to a point where staying on no longer makes business sense.

On a typical weekday afternoon, fewer than 10 people walk past the storefront and only one might step inside. Even on weekends, the numbers barely improve.


What led to this decline in foot traffic and whether Holland Village can ever return to its former vibrancy are questions that business owners grapple with.

From kampung to trendy hangout​

Holland Village – spanning Lorong Mambong, Lorong Liput, Holland Avenue and Chip Bee Gardens – is known for its bohemian vibes, trendy cafes, restaurants and a mix of old and new local businesses.

It began as a kampung, later giving way to terraced houses and walk-up apartments in Chip Bee Gardens – built as married quarters for the British military – and shophouses that became the defining features of the area.

Contrary to popular belief, Holland Village is not named after the Netherlands. It is believed to have been named in the early 1900s after Hugh Holland, an architect and amateur actor who reportedly lived there.


An aerial view of the intersection between Lorong Mambong and Lorong Liput.

ST PHOTO: TARYN NG

Among locals, it was once affectionately called Hue Hng Au, meaning “behind the garden” in Hokkien, a reference to its proximity to the Botanic Gardens.

A turning point came in the 1990s, when nearby Orchard and Tanglin became prime residential zones and there was an influx of Western expatriates. Retail brands moved into Holland Village, transforming the tranquil neighbourhood into a lifestyle destination.


Ms Chan fondly remembers Holland Village in its heyday – buzzing with energy and creativity.

In 2014, the arrival of lifestyle and magazine brand Monocle in Jalan Kelabu Asap further sealed the neighbourhood’s reputation as one of Singapore’s hippest enclaves. That spirit peaked in 2018, when Singapore Design Week transformed Holland Village into a mega block party venue celebrating the fusion of arts and community.

“It was very happening,” Ms Chan recalls, saying Holland Village was often featured in guidebooks, attracting mini-tours and crowds of both locals and tourists.

The expatriate families also organised their own funfairs, where children ran barefoot on the lawns and in the shaded lanes.


The Heidelberg letterpress outside Bynd Artisan’s flagship store in Holland Village. The brand’s co-founders made the difficult decision of letting the machine go as the business moved out.

ST PHOTO: ARIFFIN JAMAR

Uniqueness versus survival​

That lively charm and authenticity has faded in recent years, according to Bynd Artisan’s founders.

This reflects the challenge of preserving the neighbourhood’s unique identity amid current pressures – from rising rents and dwindling foot traffic to inflation and competition from trendier districts.

It is a tricky dance – one that Holland Village must master if it hopes to revive the spirit and vitality that once defined the area.

“For those who make the effort to visit Holland Village, there is not enough to convince them it’s worth the trip,” says Mr Quan, 57.

He draws a comparison with Tokyo’s Cat Street and Omotesando neighbourhood, where tourists often head to a particular vintage shop mentioned in guidebooks – only to discover dozens more in the same area, along with hidden restaurants.

“Over here, if a guidebook says Bynd Artisan is in Chip Bee Gardens, and someone makes the trip only to realise it’s just that – one shop and nothing else – they may not come back. They’d rather go to a shopping mall where they can get everything in one place,” he says.


Bynd Artisan co-founders James Quan and Winnie Chan outside the flagship store in October 2024. The store closed in February 2025.

ST PHOTO: ARIFFIN JAMAR

Mr Chua Tiang Hee, 74, owner of Fosters Steakhouse, believes the new developments – One Holland Village, which opened in December 2023, and Holland Piazza, launched in 2018 on the site of a former mall that featured an iconic windmill at the top – have diluted the area’s uniqueness, making it more like other neighbourhoods with malls housing familiar retail chains.

In the past, “Holland Village had this indescribable charm”, Mr Chua recalls.

Fosters Steakhouse, located in Holland Avenue, had outdoor seating surrounded by greenery. “It fits my concept of building an English greenhouse restaurant perfectly. I would sit outside, watching the trees and feeling as though I am not in Singapore.”

The British-themed restaurant moved out in October 2022 and reopened three months later, as a modest cafe tucked inside YewTee Point. But in just two years, Mr Chua closed the business for good.


Mr Chua Tiang Hee, owner of Fosters Steakhouse, which moved out of Holland Village in 2022. He reopened the business as a modest cafe in YewTee Point, but closed it two years later.

ST PHOTO: LIM YAOHUI

He misses the old Holland Village that lives in his memory.

“Right now, if you walk around the area, you don’t know which shops or restaurants are exactly there because they are constantly moving in and out,” he says. “Yes, there are new hypes, but they definitely changed the area’s appeal, which is now gone.”

During a quick walk around Holland Village on June 5, The Straits Times spotted nine vacant shop units along Lorong Mambong and Holland Avenue.

High rental costs appear to be driving business turnover.


When Fosters moved out of Holland Avenue in 2022, Mr Chua was offered a unit along Lorong Mambong for over $20,000 a month.

“I was flabbergasted when I found out another F&B establishment there was paying $50,000 a month for two floors,” he says.

“I often wonder how these shops can afford the rent. For some of them, I don’t even see a lot of customers inside. Maybe they go online, but still, it’s challenging.”


Fosters Steakhouse was famous for its English scones with clotted cream and jam.

ST PHOTO: LIM YAOHUI

As at June 5, rental listings on property websites show that shophouse rents range from $13,700 for a 797 sq ft unit to $62,000 for a two-storey corner space measuring 3,468 sq ft. On average, monthly rents hover around $17 to $18 per sq ft – comparable with those in the heart of Orchard Road.

‘We want to be here’​

Some old-time businesses have chosen to stay, holding fast to the spots where they were founded years ago.

“Holland Village has always been in a state of change,” says Mr Michael Hadley, owner of Mediterranean vegetarian restaurant Original Sin.

When he opened the restaurant in Chip Bee Gardens in 1997, the surroundings were far from polished. There were no steps or paved roads outside.

It was the Euro-chic appeal and relaxed sophistication that drew him and his wife Lorraine to the area. Both passionate food lovers, they dreamt of bringing quality Western cuisine and fine wines to locals – without sky-high prices.

Mrs Hadley says they used to host group dinners and wrap wine bottles in foil to let diners guess their value – often surprising the guests that good wines did not always have to come from France and could be affordable.

As Original Sin gained popularity, the couple, both in their 50s, would give back to the community by hosting special needs children for free annually. Still, like many other businesses, it has felt the impact of a changing landscape and the area’s waning appeal.


Mr Michael Hadley opened Mediterranean vegetarian restaurant Original Sin in 1997 to introduce locals to quality wine and meatless cuisine.

ST PHOTO: GIN TAY

When Holland Village MRT station opened in 2011, there were high hopes that it would draw larger crowds to the area.

“The MRT is great,” says Mrs Hadley. “But what it really did was take people out of the neighbourhood. There was no boom. Many people left to explore other areas.”

The situation worsened in 2019 when two carparks were closed to make way for the One Holland Village development.

Parking has long been a nightmare in Holland Village, Mr Hadley notes. Even before the closures, it was common for drivers to circle the area for a spot, often ending up in Chip Bee Gardens and crossing the road to get to the main stretch. This, in turn, deprived visitors to Chip Bee Gardens of parking spaces.

Then came the pandemic.

“Covid-19 changed the dynamics of Chip Bee Gardens,” says Mrs Hadley, noting that many expatriate residents left. Although business picked up slightly in the aftermath, the momentum has subsided, according to the couple.

The greatest challenge now is whether Original Sin can continue operating in Chip Bee Gardens.


Bosco Misto, a popular menu item at Original Sin, features spinach, feta and tofu patties coated in almonds and sesame, served with asparagus and a mushroom plum sauce.

PHOTO: COURTESY OF ORIGINAL SIN

The terraced houses and walk-up apartments in the precinct are managed by the Singapore Land Authority (SLA). They are let out on a two-year lease via open tenders. This approach aims to promote transparency and ensure that anyone who is interested in renting has an equal opportunity.

While the Hadleys emphasise that they are not asking for preferential treatment and agree that the area needs diversity, they hope the authority can offer small businesses – especially those that have long been part of the community – a chance to stay.

“We want to be here,” Mrs Hadley says.

“But we don’t know what rental prices they will throw at us... We are not sure how important it is for someone else who wants to rent a space here, but for us, it is important because we have always been here.”

A spokesperson for the SLA says it proactively seeks innovative ways to further unlock the potential of state-managed properties. On top of rental prices, tender proposals are also evaluated based on their creativity, contribution to the precinct’s vibrancy and incorporation of green and sustainable initiatives.

The goal is to enhance community engagement and ensure Chip Bee Gardens remains interesting and relevant to the evolving lifestyles of both locals and international visitors.


Terraced houses and walk-up apartments in Chip Bee Gardens are state properties managed by the Singapore Land Authority and are let out on a two-year lease via open tenders.

ST PHOTO: ARIFFIN JAMAR

Another business that has adapted to the changes is Joo Ann Foh.

Nestled within Holland Road Shopping Centre, it has evolved significantly since it was established as a Chinese medicinal hall in 1906.

In the 1960s when the British military forces moved into the area, the medicinal hall expanded its offerings to include daily goods and provisions for the new community. This continued until the 1990s, when the second generation took over, turning it into a photography and printing service shop.

“The only constant in Holland Village is change,” says Mr Kenneth Ng, 48, a third-generation owner. “It’s not something we love, but something we have learnt to accommodate.”

His younger brother Adam, 46, weighs in: “We are doing our best to keep the business going because our customers already see us as part of Holland Village... they trust us, and they recommend us to their friends.”

Holland Village used to have a laid-back feel, he reminisces. There were shops selling rattan goods, antiques and party supplies – quirky, niche places that made the area special. “These unique offerings drew people in,” he says.


Brothers Adam Ng (left) and Kenneth Ng are the third-generation owners of Joo Ann Foh.

ST PHOTO: TARYN NG

“Now, whatever you find here... you can find elsewhere. There is nothing exclusive here to generate foot traffic.”

While they understand why landlords lease spaces to big-name chains with deep pockets, they believe this is neither sustainable nor beneficial for the neighbourhood.

“We need to take a broader view,” says Mr Kenneth Ng.

“Imagine: Thambi now reopens at the front of One Holland Village. It is just a modest magazine stand, but it is also a beloved local landmark. So why not consider lowering the rent to bring in more businesses like this to make this place special?”

The Ng brothers anticipate further shifts in the area’s dynamics following the completion of the mixed-use development.

“It is too early to say exactly how things will change, but we will see a new wave of residents moving in, and the office tower will be filled as well,” says Mr Kenneth Ng.


A family photo taken at Joo Ann Foh’s original shop in Holland Avenue in the 1980s. A section of the shop carried photography-related products, while another section offered daily provisions. Seen here are business founder Ng Chin Wah (with glasses), second-generation owner Paul Ng and his wife Irene Mah, and the couple’s young sons Kenneth Ng (left) and Adam Ng.

PHOTO: COURTESY OF JOO ANN FOH

Ms Clara Ong, who has a pet corgi with her boyfriend, were regulars at One Holland Village when it first opened as they were attracted by its pet-friendly appeal, but their visits have since tapered off.


“Most stores still require pets to be in carriers or strollers and many restaurants allow them only in the outdoor seating areas,” the 29-year-old marketing executive explains. “We usually end up going elsewhere like East Coast Park or places with more open space and a more relaxed vibe for pets.”

Ms Ong remembers Holland Village as a place once known for its hidden gems. “Now, it feels too commercial.”

Giving the space a chance​

If uncertainty breeds opportunity, it might explain why Mr Lee Joon Peng, 45, took a leap of faith three years ago in setting up That Wine Place – a restaurant-bar and wine academy – at 261 Holland Avenue.

The very same address once housed Palm’s Wine Bar, one of the first restaurant-bars in Holland Village, which helped shape its vibrant drinking and dining culture in the 1980s.


A 1988 photo of Palm’s Wine Bar (right), one of the first restaurant-bars in Holland Village. It helped shape the enclave’s vibrant drinking and dining culture. The site is now home to That Wine Place.

PHOTO: ST FILE

Opening That Wine Place was a blend of two passions – his wife’s nostalgic fondness for Holland Village and his love affair with wine bars.

“Holland Village used to be very chill,” Mr Lee recounts, sharing that his wife often lunched here during her PhD days at NUS.

Meanwhile, his regular business trips to Taiwan exposed him to the island’s buzzing wine bar culture, which inspired him with its warmth and charm.

However, what began as a promising venture has become increasingly difficult to sustain.

“Seriously, I also want to know why people are not coming to Holland Village,” Mr Lee says. The busiest times are typically the first and last weeks of each month. “Midweek is usually quiet, we don’t see many people, not even on the road,” he adds.

Mr Lee believes the slowdown is part of a broader shift across Singapore’s food and beverage (F&B) industry. “We see the closure of many dining places. For wine, in particular, people are no longer buying them in Singapore, they would prefer to do it overseas.”

At the same time, diners are spoilt for choice and rising inflation has made them more price-conscious.

It is little wonder, he adds, that some businesses are pulling out of Holland Village altogether or choosing to open second outlets closer to the city centre.


Mr Lee Joon Peng says opening That Wine Place was a blend of two passions – his wife’s nostalgic fondness for Holland Village and his own love affair with wine bars.

ST PHOTO: JASON QUAH

“Most of our customers here are families or couples. At most, they will open one bottle, maybe two,” Mr Lee explains. “If I have an outlet in town, I could cater to business meetings and company events where we would sell more. Holland Village could do so much better if we manage to attract the office crowds from the nearby Star Vista area.”

Like other business owners, Mr Lee feels that the newer developments do not blend well with the character of the original Holland Village, and more importantly, that they lack a strong pull factor.

One Holland Village may attract pet owners as a casual hangout, with a few go-to spots like Surrey Hills Grocer or Fireplace by Bedrock, he says. But beyond that, people come and go, and the crowds do not spill over.

“I don’t see it’s a place that will bring more people in here... because there is nothing new and exciting to make them think, ‘Oh, I need to come back again.’”

That’s why he calls his business venture a bit of a gamble.

“It is a ‘hit or miss’,” he admits. “This place is not making a profit, but we are fortunate to have a reasonable landlord. I also believe F&B is the kind of business where you nurture and invest for the long run.”

One visitor who finds Holland Village worth discovering is Mr Maro, an Italian business consultant who has been visiting Singapore frequently since 2017.

While the area does not draw the kind of crowds he sees at Orchard Road, he believes that has not affected the quality of what is on offer.

“I still remember my first visit here – it was to 2am: dessertbar. The level of creativity and finesse in the desserts was something I had not seen elsewhere,” says the 57-year-old, who did not give his full name.


Lorong Mambong, home to a cluster of bars and restaurants. While Holland Village may not buzz with the same energy as Orchard Road, it has not affected the quality of what is on offer, says a regular visitor.

ST PHOTO: TARYN NG

More recently, he dined at Le Bon Funk and was equally impressed by its curated wine list.

“I cannot speak about what Holland Village used to be, but there are some seriously high-calibre restaurants here – if you know, you know.”

Can Holland Village be revived?​

Mr Lee believes Holland Village still holds a lot of untapped potential.

One idea is to spruce up Holland Village Park just outside That Wine Place. Outdoor seating, for example, could make the space more inviting without obstructing foot traffic.

“I once spent an evening under those trees with my friends,” Mr Lee recalls. “The breeze, the vibe, everything just felt perfect – like the old Holland Village coming back all over.”

He adds: “If we have more places like that, where people could sit, relax and unwind in the space... it could create a brand-new reason for people to stay longer and keep coming back.”


Mr Lee hopes outdoor seating can be added to the communal space in front of his restaurant-bar.

ST PHOTO: JASON QUAH

Some other tenants in Chip Bee Gardens told ST that they have been asking for a sheltered walkway linking the MRT station to the shops for a few years.

Instead, they were offered a piecemeal solution: the option of installing standardised clear shelters in front of each store. But the tenants worry these static structures will create new problems – collecting leaves, heating up under the sun and making outdoor seating uncomfortable.

Summing up the general frustration, Mr Hadley says: “If Holland Village is a brand, then right now, no one is managing it.”

Mr Lee adds that the lack of serious discussion about the area’s commercial direction is hurting businesses and customers alike.

As for Mr Quan, he believes the area needs better curation.

“Many of the stores here are service-based. If you were a tourist or a local from another neighbourhood, would you come all the way to visit a dentist, a pet shop, a pilates studio or a kitchen supply store? Probably not.”

But he acknowledges the other side of the coin.

“They have been here for 10, 20 years and their loyal customers keep them going. The question then becomes: Should Holland Village be a hub for services or a place for unique small local businesses?”

For the Ng brothers, the answer lies in embracing Singapore’s retail heritage.


Business owners believe there is a lack of serious discussion about the area’s commercial direction, and that if Holland Village is a brand, no one is managing it at the moment.

ST PHOTO: TAYRN NG

“Some people don’t even realise we have been around for so long,” says Mr Kenneth Ng. “Others come in and tell us they are third-generation customers. That says a lot.”

He is committed to business growth, but says there is only so much he and his brother can do. He notes that even some popular home-grown names, like Charles & Keith and TWG, had to reinvent themselves to survive.

“They have gone international and polished up their image, but they don’t feel local any more,” he observes. “They are selling a lifestyle, an idea, rather than holding on to their original identity.

“It seems like this is the reality for local brands – you either pivot, sell the business or franchise, or you risk getting left behind.”

Ms Chan says the perception of local brands has changed over the past decade. More Singaporeans now embrace them for their thoughtful design and small-batch craftsmanship.

Ironically, this has led to fewer home-grown brands eyeing Holland Village.

“In the past, when there was little awareness of supporting local brands, it was hard for them to enter major shopping malls, so they turned to niche areas like Holland Village. Now, many malls open their doors to local brands, promising them better foot traffic and visibility,” she says.

“So, where do the local brands prefer to be – there or here?”

More on this topic​

New scheme to support and grow Singapore’s heritage brands opens for nominations​

New task force to help grow and sustain heritage businesses in Singapore’s historic precincts​

Still, some believe there is room for revival – and it may lie in collaboration.

Mr Hadley suggests establishing a merchant association to give business owners a platform to voice concerns, propose improvements and initiate partnerships with others in the neighbourhood.

Past efforts fell through due to disagreements between small businesses and franchise operators, which he believes could be resolved by a neutral body – likely a government body – with a clear mandate to represent all parties.

Mr Lee has already teamed up with nearby Wala Wala Cafe Bar to run cross-promotions: buy a specific wine at one venue, get perks at the other.

“These are the kinds of ideas that bring energy back to the village,” he says. “Business owners should be brainstorming together: What do people want and how can we offer it? These innovations will only make Holland Village more lively and exciting.”

At Bynd Artisan’s 10th anniversary party, Ms Chan had a poignant exchange with her mother, who asked why she was celebrating the closure of the Chip Bee Gardens outlet.

Her reply? “Because there is beauty in difficult moments.”

Ms Chan believes such times are exactly when resilient entrepreneurs shine – finding creativity in chaos and growth in challenge.

“Running a business involves more than sentiments. We may not always know how things will turn out, so this chaos – unexpected and demanding as it is – is something we have learnt to relish.”

​

Rising rents threaten the future of Singapore’s heritage restaurants​

(Clockwise from left) Mr Thomas Ho, third-generation owner of Chew Kee Eating House, Chef Park Tan with his mother, founder and chef Liyana Kwan, both owners of Pagi Sore Indonesian, Mr Cedric Tang, third-generation owner of Ka-Soh restaurant, and Sabar Menanti owner Iszahar Tambunan (centre) with his family.

Jul 05, 2025

SINGAPORE – Chew Kee Eating House boasts a claim few restaurants can these days. It has sold the same dish at the same unit in Upper Cross Street for 76 years, passing from one generation to the next in an unbroken line of succession.

The vagaries of modern business, however, mean that the future of the purported birthplace of soya sauce chicken in Singapore now hangs by a thread. Its lease expires later in 2025, and third-generation owner Thomas Ho is not ruling out the possibility of calling time on the family business.

“We’re not sure about the future, we’ll need to see what our landlord does. If rent increases and the cost of ingredients continues to go up, there’s only so much we can increase the price of food to keep up,” says the 40-year-old, whose rent has gone up by 18 per cent in recent years.


Heritage trades like his are on edge amid rising rentals, the more drastic of which have booted out businesses like Flor Patisserie in Siglap Drive, whose landlord wanted to raise rent by 57 per cent.

Amid the maelstrom of uncertainty, The Straits Times speaks to four multi-generational restaurants to find out how they are coping, and what will be lost if they succumb.

Traditional trades, modern problems​

Pricey ingredients and pricier rents weigh down most food and beverage businesses in Singapore. But keeping up with the pressures of the present is arguably more onerous for heritage restaurants, which are also obligated to keep one eye on the past.

Mr Ho, for one, is held back by tradition when it comes to revising prices. A standard plate of Chew Kee chicken noodles used to cost $4.50 in the early 2000s; it is $6 today.

“Our regulars remember how much it used to cost and we don’t want this food, which is supposed to be affordable, to become a burden to them,” he says, adding that he last raised prices by around 50 cents a serving four years ago.


Chew Kee Eating House third-generation owner Thomas Ho and his mother Madam Yu Lye Kuan at their coffee shop in 8 Upper Cross Street.

ST PHOTO: GAVIN FOO

The ghost of times past similarly haunts Mr Iszahar Tambunan, the third-generation owner of nasi padang restaurant Sabar Menanti, which traces its roots to a pushcart along Kandahar Street in the 1920s.


“A lot of customers say they used to be able to get a plate of nasi padang for $6, but after I took charge, it started costing $10. But this place wasn’t turning a profit when I took over,” says the 46-year-old former ship broker, who started helping out at the North Bridge Road restaurant in 2014.

“I told my mother we needed to change the perception of customers that nasi padang had to cost a certain price.”


Sabar Menanti owner Iszahar Tambunan (first from left) and his family have tried to modernise the business with merchandise referencing popular dishes.

ST PHOTO: SHINTARO TAY

Through social media campaigns, restaurant merchandise and greater publicity – Sabar Menanti is one of several institutions featured in the National Heritage Board’s Street Corner Heritage Galleries initiative, for instance – he has gradually expanded the restaurant’s clientele. Office workers and families now dine alongside long-time regulars.

Staying nimble has kept his family’s business alive. Over the past century, it has inched its way through Kampong Gelam, moving first from Kandahar Street to 747 North Bridge Road in 1986. The next move came in 2020, when high rent forced it down the road to 737 North Bridge Road.

It moved into its current unit – 719 North Bridge Road – in 2023, after the previous landlord sought more than double the original rent. The requested monthly total of over $15,000 nearly crippled the business for good.

“I told my mum it’s not going to work any more. My plan was to shut it because she didn’t want me to sell it off to somebody else,” recalls Mr Iszahar.



Sabar Menanti’s Beef Rendang and Opor Chicken.

ST PHOTO: SHINTARO TAY

In this case, he was eventually rescued by a more accommodating landlord. Still, he worries. “I always have this fear about what will happen when my lease ends. I can only leave it to fate for now.”

According to Mr Nicholas Mak, chief research officer at property search portal Mogul.sg, rents in districts like Chinatown and Kampong Gelam are especially volatile because of limited supply. Boundaries are fixed and shophouse units limited, so a buoyant market and high demand often skew the market in favour of landlords.

Plus, with the additional buyer’s stamp duty rates now fixed at 60 per cent for foreigners, some family offices are turning their attention to commercial properties instead.

Mr Zaki Maarof, chairman of One Kampong Gelam, a community organisation that aims to enliven the district, estimates that 20 to 30 per cent of the conservation shophouses in the precinct are now owned by foreigners.

“They’re entitled to buy whatever they want to, but it’s a shame that many of them don’t feel any affinity for the place and don’t care about what happens to its heritage,” adds Mr Haffidz Abdul Hamid, 64, who manages Kampong Gelam-based travel agency Halijah Travel.

Chinatown is not the vibrant sea teeming with local businesses that Mr Ho remembers from his childhood, either.

Many home-grown outfits such as Lee Kui Teochew Restaurant and Onn Kee Hakka Yong Tau Foo have since called it quits, and a red wave has engulfed the district. Chew Kee now sits sandwiched between a Hong Kong rice noodle restaurant and North-eastern Chinese kitchen.

Hard to move elsewhere​

So, why not just move? That is the common refrain these business owners hear when they voice their woes to friends and customers.

It is not an entirely unfair question. As Mr Iszahar himself has discovered, more affordable pastures lie farther afield. In 2025, he opened Surya – a healthier, high-tech offshoot of Sabar Menanti named after his late sister – in a Henderson Road foodcourt.

“Surya is more sustainable right now because it’s in an industrial area, so the rent is more reasonable,” he says. It does not help that footfall in Kampong Gelam has dropped, with many tourists passing through only briefly, opting to eat and sleep in Johor Bahru instead, he says.

He has considered moving Sabar Menanti to a more cost-effective waterfront shophouse in Boat Quay, but ultimately decided that it would not feel right. “Kampong Gelam is where we started. If I have to end it, I’ll end it here.”

Chew Kee, too, is inextricably intertwined with its neighbourhood. “We’re so entrenched in Chinatown. People know where to find us, they associate us with this area. I want customers to be able to sit here and get a sense of how it all started,” says Mr Ho.

Not to mention the logistical hurdles. Mr Iszahar faces a mass exodus every time the restaurant packs up and moves. He quips: “Staff don’t want to be part of the moving crew. Moving a house is already crazy. Moving a shop is even worse.”

Mr Cedric Tang, 40, managing director of 30-year-old zi char joint Ka-Soh, is also at a crossroads. At its peak, his family ran six Ka-Soh outlets, including the original, Swee Kee Eating House, in Amoy Street. But the 82-year-old fish soup store shuttered in 2021, and they are now down to their final unit, a restaurant in Greenwood Avenue.


Mr Cedric Tang, third-generation owner of Ka-Soh restaurant, examining several heritage items, including the abacus his grandfather once used to tally bills.

ST PHOTO: BRIAN TEO

Even that, Mr Tang says, is on its last legs. He is drawing a reduced salary and describes current profits as “borderline”, just enough to break even – a far cry from the 30 to 40 per cent profits the company pulled in decades ago.

Though he expects rent to rise again when his lease expires in the third quarter of 2025, moving may not necessarily solve his problem. For one thing, the cost of renovations could amount to $200,000, a tall order in this economy.

“When we move the restaurant, we need to move the equipment, and all our stoves are custom-made. They may not fit the new restaurant. The exhaust, for example, is another $20,000 to $30,000; you can’t just take it and move,” he says.

Just as painful would be losing the customers they spent the last five years cultivating. “Quite a lot of our customers are regulars who live nearby and come here two to three times a week for comfort food. If we lose that segment, it’ll be hard to sustain this business,” he adds.

For Mr Park Tan, the 37-year-old chef-owner of Indonesian Restaurant Pagi Sore in Telok Ayer, the Covid-19 pandemic drained resources that might otherwise have enabled him to consider moving.


Mr Park Tan now runs Pagi Sore, founded by his mother Liyana Kwan in 1989.

ST PHOTO: LIM YAOHUI

With so many memories threaded through the physical space of the restaurant, founded by his mother Liyana Kwan in 1989, the prospect of letting go feels like an amputation. At the moment, business is still sustainable, but he does not know when another wrench will be thrown into the works.

“If possible, I’d like to keep renewing the lease because this is a second home to me. I’ve been here longer than I’ve lived in my HDB flat. This is where I grew up, where I chopped my first fish, washed my first vegetables. It was even where I held my wedding dinner when I got married.”

Why not innovate?​

Sentiment, for these restaurants, is a double-edged sword.

Dr Kenneth Goh is associate professor of strategy and entrepreneurship and academic director of the Business Families Institute at SMU. He notes that these businesses often operate with legacy cost structures, operating models and business models that are deeply tied to a past era.

“That’s part of their charm, but also a constraint. Unlike newer establishments, which can pivot more easily to adopt leaner models or reach different market segments, heritage restaurants are often stuck in time.

“Adapting means more than just tweaking a menu. It involves reimagining the entire dining experience – how food is prepared, presented and delivered, and by whom.”

The fear of corroding his mother’s legacy has held Mr Tan back from making too many changes to Pagi Sore’s recipes. He staunchly sticks to cabe keriting, her preferred type of chilli, even though they cost twice as much as alternatives.

“I’m okay giving up profitability to maintain things the way they are. What’s at stake for us is different. Regulars remember how the food used to taste and they like it this way,” he says, adding that nothing brings him greater satisfaction than feedback that his cooking tastes just like his mother’s.


Mr Tang with Ka-Soh’s signature dish, sliced fish soup with thick bee hoon, at its Greenwood Avenue outlet.

ST PHOTO: BRIAN TEO

Mr Tang and Mr Ho are also sceptical about incorporating too much technology into their work. Some of their dishes require skills honed through years of practice – skills that cannot simply be replicated by a robot.

Mr Tang cites the example of Ka-Soh’s Golden Dragon Chicken, a delicate and laborious dish that involves removing the skin from the chicken whole, dehydrating it, and then slathering it in prawn and sotong paste.

In the words of Mr Ho, the tongue is the best tool. “I used to work in the kitchen, so much of the tasting was done by me. It’s a very instinctive process that I grew up learning.”

It is this old-school, homespun quality that is the bedrock of Chew Kee’s appeal. “People want to see that display of craftsmanship, so we can’t fully automate the noodle-making process. They need that assurance that they’re getting a certain standard and quality.”

But Dr Lye Kit Ying, a senior lecturer at the Singapore University of Social Sciences, whose research interests include cultural heritage, argues that evolution does not necessarily mean forsaking tradition.

“Evolution, to me, means to adapt and change in a way that allows the traditional knowledge of the dishes and the communities built along the way to make sense to the current generation. New traditions are made to complement existing traditions and values,” she says.

And indeed, these restaurant owners have had to make concessions along the way to keep pace with a changing world.

Mr Tan, for example, has swopped regular beef for Angus brisket to meet the rising expectations of diners in the centre of town, as well as scaled back on salt and monosodium glutamate. However, his rempah – that cornerstone of Indonesian cuisine – remains unchanged.

On the manpower front, shift times are now shorter, taking into account the growing aversion to long working hours. Mondays at Pagi Sore have been halved, with the restaurant dropping the less profitable dinner service to let staff rest.

“I was different; I was raised for this. But you have to understand that this might not be everyone’s passion,” he says.


Pagi Sore’s Mr Tan tries his best to retain the taste of his mother’s cooking.

ST PHOTO: LIM YAOHUI

While the food served on site still cleaves to tradition, Mr Tang and Mr Ho have expanded their businesses by rolling out ready-to-eat versions of their signature dishes. Mr Ho even collaborated with Singapore Airlines to launch his chicken in the air.

For Mr Iszahar, who was unwilling to sacrifice the charcoal depth of Sabar Menanti’s rendang by giving up its six-hour slow-cooking process, the solution was to park his modified meals under a different brand altogether.

Surya retains 80 per cent of the North Bridge Road menu, but prepares food with modern equipment to save time, and pairs it with healthier side dishes like stir-fried okra and egg bittergourd ($1.50 each).

What Singapore stands to lose​

Some 3,047 F&B establishments were culled in the annus horribilis of 2024. Death, never one to discriminate, claimed old and new, relaxed and refined.

Closures are a natural part of the industry’s life cycle. But when establishments that have been an enduring part of the cultural landscape vanish, diners lose more than just a place to eat at.

In SMU’s Dr Goh’s view, these restaurants “remind us where we came from”.

“Heritage restaurants are living links to our history. These are places where stories are passed down through the dining experience, and where a sense of continuity with the past is preserved.”

One Kampong Gelam chairman Mr Zaki remembers the days when the neighbourhood was crowded with songkok makers, basket weavers, kueh sellers and other handicrafts. That, he says, was when the spirit of Kampong Gelam could be felt most palpably.

“We need to bring back those heritage trades to add more colour and more vibrancy,” he adds, warning that the district, with its rows of hipster cafes and Arabian restaurants, is in danger of over-gentrification.

For the heirs of these proud culinary institutions, closure packs a personal punch. In these cases, it is never as simple as cutting one’s losses and starting afresh.

“It’s quite sayang (wasted),” says Ka-Soh’s Mr Tang. “I’ve always felt like a brand, especially a heritage one, needs to outlive its owner. It’s also about legacy planning – I feel the responsibility to hand it down to the next generation.”

Besides, surviving two closures in the last five years, only to capitulate now, is too painful to contemplate.

But his family will not be the only ones to rue the loss of the restaurant. Long-time customers like Mr Aaron Chan, 39, are also loath to bid farewell to an establishment that has become so entrenched in their weekly routines.

“Even now as an adult, I’ve made it a point to drop by every now and then to rekindle my childhood memories dining at Ka-Soh,” says Mr Chan, a public servant, whose family patronised the Swee Kee branch in Amoy Street every other Saturday when he was growing up.

Mr Ho singles out this “ren qing wei” or human touch as the secret ingredient. “These days, you have soya sauce chicken everywhere, but what makes us unique are the familiar faces. Some of them come in and don’t even place an order. They just say, ‘you know what I want.’”

Therein lies the significance of these decades-old businesses, according to Dr Lye. “The celebrations of milestones and life events at these family restaurants through the years offer us opportunities to see how private, familial narratives contribute to the larger Singapore story.”

Moreover, she points out that their ties to suppliers and customers translate to an established community identity that some newer businesses simply do not have.


At Chew Kee Eating House, few diners refer to a physical menu when placing their order.

ST PHOTO: GAVIN FOO

Still, restaurateurs like Mr Tang need to be practical. “At the heart of it remains the question, can my family survive the losses? I can’t sacrifice my family for the sake of its brand. I have to put the people first.”

Likewise, Mr Ho is not ruling out the “inevitability” of selling to an investor. “We need someone who has the supply chain connections to manage cost and streamline our business model. As small entrepreneurs, there is only so much we can do without compromising taste.”

He is open to the idea of scaling the business, as long as the expansion plans do not dilute the quality of Chew Kee’s signature chicken.

Rectifying the rental problem​

Mr Chew is not the only one unwilling to let businesses like his go gentle into that good night.

The Government has tried to square the circle in a variety of ways, most recently with the SG Heritage Business scheme, which doles out support in the form of increased visibility, marketing aid and help to tackle specific business needs and challenges.

The scheme, which is being piloted in the central area, is open to businesses which have been continuously operational for at least 30 years and exhibit community and cultural significance.

Mr Muhammad Hazmi Zin, 42, managing director of 71-year-old nasi padang chain Rumah Makan Minang, says any attempt to remedy the situation is appreciated. “Hopefully, better marketing will help Gen Z and Gen Y to understand our food culture and increase revenue. A lot of children grow up eating fast food and don’t know about our existence.”

Mr Tang, on the other hand, hopes that the sphere of eligibility can be expanded, so businesses like his can benefit too. He also stresses that more concrete change is needed to tackle deep-rooted problems like financial non-viability.

In response to a May 2024 Parliamentary question about how to preserve the cultural identity of places like Chinatown, Kampong Gelam and Little India, the Ministry of National Development (MND) said it was working with community partners to encourage landlords to support heritage trades.

When all the stars align, such arrangements yield a win-win situation for both landlord and tenant. Take, for example, the case of Rumah Makan Minang, which rents its Kandahar Street unit at a price slightly below market rate from the Muslimin Trust Fund Association (MTFA).

“Our organisation is one of the oldest Malay Muslim organisations in Singapore – we turn 121 years old this year – so a respect for heritage is baked into our DNA,” says MTFA president Abdul Rahman Mohd Hanipah, 42.

More on this topic​

National Gallery Singapore’s refresh: Only F&B tenants Odette, National Kitchen by Violet Oon stay on​

Several Parkway Parade mall tenants leave or downsize amid rising rents​

On his part, Mr Hazmi makes it a point to take good care of the property, handling internal maintenance or minor repairs himself. “This gesture allows us the breathing space to sustain and grow the business. It’s a relationship built on mutual respect and understanding, and I deeply appreciate that.”

These arrangements, however, are few and far between. Though MND said in its reply that organisations like One Kampong Gelam and Kampong Gelam Alliance (KGA) have worked with community stakeholders and the Urban Redevelopment Authority to match businesses with landlords who are open to supporting traditional uses, a KGA spokesman told ST that based on ground engagement, such accord is rare.

Even for those who currently have the good fortune of reasonable rent, the thought of returning to the negotiating table does not inspire much confidence. “It’s a situation that makes it very tiring to do business because you don’t know how much room there will be to negotiate, and when the landlord will stop valuing us as a heritage brand,” says Pagi Sore’s Mr Tan.


Mr Tan hopes Pagi Sore Indonesian Restaurant can continue operating in Telok Ayer Street.

ST PHOTO: LIM YAOHUI

To effect lasting change, The Singapore Tenants United for Fairness, which represents more than 700 business owners, is advocating for a reform of the landlord-tenant dynamic.

Among its proposals are a new rent structure that places more weight on rental that is a variable percentage of sales, rental renewal caps that factor in inflation, and measures to prevent landlords from leaving shop spaces vacant for more than three months.

“We urge the Government to work on both increasing the supply of good retail spaces in both government- and private-managed properties and also allocate more of such supply to social-oriented private entities like co-operatives,” adds a spokesman.

Beyond subsidies or rent control, Dr Goh suggests that the Government could boost heritage trades by acting as a market facilitator. For instance, by catalysing coalitions of heritage businesses as part of curated heritage or tourism experiences.

“This would enable them to reach new customer segments willing to pay a premium for authenticity, effectively aligning their heritage value with areas where demand is strongest.”

Who will take over next?​

But when business has always been a family affair, there is one more piece that needs to fit into the puzzle: the matter of who will take over next.

Mr Iszahar’s twin children are 13 years old and already displaying the shrewd business sense needed to thrive in this cut-throat industry. “My daughter Isabella likes to be a boss, and my son Luca has more business acumen – you can see it in the way he negotiates with people. They’ll be a good match if they ever want to run Sabar Menanti.”


Sabar Menanti owner Iszahar Tambunan (centre), with his wife Lena Kamarudin (second from left) and their twins Luca (first from left) and Isabella Tambunan. He inherited the restaurant from his mother, Madam Maryulis Marlian (seated).

ST PHOTO: SHINTARO TAY

As for whether Mr Tan’s five-year-old daughter will follow in his footsteps, he is not holding his breath. “By the time she’s ready to take over Pagi Sore, F&B might not be very sustainable,” he muses.

“But it would be nice to have a third generation. This business was started by a woman, and I’d love for it to come full circle, and for my daughter to inherit her grandmother’s strength and grit.”

chicken and egg problem .... demand and supply theory prevails .... U go to the highly demanded areas, district and shops to set up business, U will need to pay high rental and bid against many same minded businessmen .... if U go to the normal and unpopular areas, districts and shops to set up business, U pay low rental and will really need to have good quality food to attract all Ur "followers" and samsters to go patronise .... the world wont change to let U get rich by picking money from the floor so simple.

He added that the bakery has absorbed more than half of the cost increases in the past few years.

F&B operators face tougher business landscape amid rising costs and stiff competition​

Mr David Yang, chief executive officer of Paul Asia-Pacific, said the F&B landscape has been challenging in recent years.

Jul 12, 2025

SINGAPORE - Amid rising costs and stiff competition in the food and beverage sector, French bakery Paul recently reopened its newly renovated flagship Takashimaya outlet.

It spent $1.2 million on the relocation and expansion of the outlet, which has moved from the third floor of the Orchard Road mall to the fourth.

“The F&B landscape has been challenging in recent years,” said Mr David Yang, chief executive of Paul Asia-Pacific, citing the stronger Singdollar as one reason for the situation.


This leads to tourists spending less time in the Republic and Singaporeans travelling overseas to make the most of the stronger currency.

“The economy is not very rosy right now, especially with the US tariffs kicking in in August, which leads to less domestic spending,” said Mr Yang.

Mr Karthik Bakthavathsalem, course manager for the diploma in food and beverage business at Nanyang Polytechnic’s School of Business Management, said Singapore’s F&B landscape has become one of the most competitive in the region.

“On average, close to 300 new establishments open each month, translating to nearly 10 launches daily and adding to an already dense and highly contested marketplace,” he said.

“In 2024, over 3,700 new F&B concepts were introduced but more than 3,000 exited, marking the highest closure rate in nearly 20 years,” he added.

According to figures from the Singapore Department of Statistics, the pace of shutdowns had quickened further by early 2025, averaging more than 300 closures monthly, compared with 254 a month in 2024 and around 230 in the years prior.


“The data paints a sobering picture: While enthusiasm for new food ventures remains high, market saturation, rising costs and shifting consumer expectations are tightening the margins,” Mr Karthik said.

“The industry is no longer just crowded. It’s entering a phase of cautious consolidation, where only the most differentiated and operationally resilient brands are likely to survive the squeeze.”

To cope with rising rents and cost of ingredients, Paul – which opened its first outlet here in 2012 and now operates 10 across the island – has had to find ways to make the most out of its money, including sourcing for the best prices for its ingredients and negotiating for better prices while buying in bulk.

Said Mr Yang: “As we import a lot of products, shipping costs have increased as well, but we can’t pass on all of these expenses to our consumers.”

He added that the bakery has absorbed more than half of the cost increases in the past few years.

Amid these challenges, Paul has to “ensure that the quality of our food doesn’t fall”, he said. “We have not reduced the amount of butter we use in our recipes and will also not change to margarine.”

To stay competitive, the company which has 98 outlets in 11 countries, including Malaysia, Vietnam, Thailand, Taiwan and Japan – has invested in training and a strong onboarding process for its employees.

“For example, our bakers are trained for close to two months before they are allowed to operate independently,” said Mr Yang.

Since Paul’s reopening at Takashimaya, he said that regular customers have praised the new interior of the restaurant.

A social media management professional, who wanted to be known only as Ms Low, said: “The desserts and pastries were not bad.”

But an events management professional, who wanted to be known only as Ms Ong, said: “I once ate there for a work event but I don’t really have any impression of it. It’s not a place I’d go (on my own) because it’s expensive.”

To stand out in the saturated F&B market, Mr Karthik said that brands will have to first have compelling brand storytelling – successful brands create emotional connections by weaving authentic narratives about heritage and values into every touchpoint.

“Diners today are discerning, demanding and digitally connected. They want more than just a good meal. They’re chasing value with meaning: bold flavours, fresh concepts and experiences that feel worth every dollar,” he said.

“Brands need to constantly innovate their menus to stay relevant, while overseas brands entering Singapore should explore localising their offerings.”