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https://www.theonlinecitizen.com/20...mall-businesses-shut-down-amid-soaring-rents/
Published on 21 May 2025
A growing crisis in Singapore’s food and beverage (F&B) sector is prompting renewed public concern, as more than 300 small businesses are reportedly shutting down each month in 2025.
These closures are being linked to rapidly escalating commercial rental costs, which industry observers and business owners say are unsustainable.
Former television producer Greta Georges added her voice to the debate with a TikTok video drawing attention to the issue.
In the video, Greta highlighted the stories of small F&B operators struggling under rental pressures and rising costs.
One case she cited was Flor Patisserie, a neighbourhood bakery that closed its doors after 13 years due to sharp rent hikes.
According to Greta, the bakery’s rent jumped from S$4,500 to S$5,400 in 2022, before soaring to S$8,500—well beyond the local market range of S$3,900 to S$4,500.
She questioned how a location with limited access and amenities could demand such a high rate.
Calling for government intervention, Greta said over 300 F&B outlets are now closing every month, many unable to withstand financial pressures.
She highlighted hawkers like “Uncle Christopher and Auntie Christina” of Bake and Bites, who sometimes do not take home a salary because of rising expenses and pricing restrictions at NTUC food fairs.
Despite facing health issues such as diabetes and swollen legs, many elderly hawkers continue working out of necessity, Greta added.
Greta warned that the closure of long-standing community eateries amounts to a serious erosion of Singapore’s local identity.
Since the removal of rent control laws in 2001, she said, many small, family-run businesses have disappeared, replaced by franchises and chain outlets.
“Because we don’t have the identity or DNA of the people living in our communities being supported to provide services at community prices, this is a crisis,” Greta said.
She urged for fairer policies and a safety net to help small operators survive and thrive.
“We really need to start looking at policies that help these mom-and-pop stores and small businesses thrive,” she said.
Some highlighted the severe financial strain on Singapore’s F&B industry, citing high operating costs as a key challenge. Steep rents, rising labour expenses, and a lack of skilled workers were identified as the main hurdles.
A user noted that premium locations demand costly leases, further squeezing profit margins.
One user shared how his sister shut her café at Turf City after new management imposed a 600% rent hike when the lease expired.
Another said he experienced a rent increase of over 50% after the property was sold. The shop’s original landlord had purchased it for S$400,000, while the new owner paid S$1.4 million—triggering higher rents.
He noted that many business owners must either cut costs or raise prices, both of which are risky in Singapore’s competitive dining market.
Known for dishes like mee siam and mee rebus, the stall faced closure due to a rent hike to S$8,000.
Indera said the owner, despite trying to keep prices low for HDB residents, could no longer manage the costs.
He described such hikes as “pure robbery and injustice”, questioning why larger companies often pay less for bigger spaces.
Indera appealed to National Development Minister Desmond Lee and MP Hany Soh to take action on behalf of small vendors.
He also criticised the contradiction between government efforts to ensure affordable meals and the lack of rent regulation that affects vendors’ viability.
“These are deep-seated problems that humble vendors have little control over,” he wrote, adding that many affected stallholders have no clear path forward.
Zat cited CBRE data showing prime retail rents rose 3.0% year-on-year in 2024 to S$27.80 per square foot per month, with an additional 0.6% rise in the first quarter of 2025.
According to Reuters, over 300 F&B businesses are now closing each month in 2025—more than ten per day.
High-profile closures include Michelin-starred restaurants Art di Daniele Sperindio and Braci, as well as retail exits at Parkway Parade Mall, including Marks & Spencer.
Zat criticised landlords for keeping spaces empty rather than adjusting rents to retain small, community-oriented tenants.
“These are tragic losses,” he wrote, “but they are the natural outcome of a system we chose decades ago.”
He proposed legislative measures such as rent controls and vacancy taxes, as well as moral solutions like encouraging investors to offer long-term, socially conscious capital.
However, Zat acknowledged the difficulty of such reforms in a system deeply rooted in economic pragmatism.
“Do we, as a society, have the stomach for policies that openly favour social good at the expense of profit?” he asked.
He warned that what is being lost goes beyond businesses—it is the disappearance of a vibrant, community-based food culture.
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TikToker calls out loss of local F&B identity as small businesses shut down amid soaring rents
TikToker and former TV producer Greta Georges warns that soaring rents are forcing hundreds of small F&B outlets in Singapore to shut, eroding community identity. She urges government action to protect local businesses. Netizens echoed her concerns, citing high costs and sharing stories of steep rent hikes after landlord changes.Published on 21 May 2025
A growing crisis in Singapore’s food and beverage (F&B) sector is prompting renewed public concern, as more than 300 small businesses are reportedly shutting down each month in 2025.
These closures are being linked to rapidly escalating commercial rental costs, which industry observers and business owners say are unsustainable.
Former television producer Greta Georges added her voice to the debate with a TikTok video drawing attention to the issue.
In the video, Greta highlighted the stories of small F&B operators struggling under rental pressures and rising costs.
One case she cited was Flor Patisserie, a neighbourhood bakery that closed its doors after 13 years due to sharp rent hikes.
According to Greta, the bakery’s rent jumped from S$4,500 to S$5,400 in 2022, before soaring to S$8,500—well beyond the local market range of S$3,900 to S$4,500.
She questioned how a location with limited access and amenities could demand such a high rate.
Calling for government intervention, Greta said over 300 F&B outlets are now closing every month, many unable to withstand financial pressures.
She highlighted hawkers like “Uncle Christopher and Auntie Christina” of Bake and Bites, who sometimes do not take home a salary because of rising expenses and pricing restrictions at NTUC food fairs.
Despite facing health issues such as diabetes and swollen legs, many elderly hawkers continue working out of necessity, Greta added.
Greta warned that the closure of long-standing community eateries amounts to a serious erosion of Singapore’s local identity.
Since the removal of rent control laws in 2001, she said, many small, family-run businesses have disappeared, replaced by franchises and chain outlets.
“Because we don’t have the identity or DNA of the people living in our communities being supported to provide services at community prices, this is a crisis,” Greta said.
She urged for fairer policies and a safety net to help small operators survive and thrive.
“We really need to start looking at policies that help these mom-and-pop stores and small businesses thrive,” she said.
Personal stories reveal sharp rent hikes as ownership changes drive up commercial lease rates
Public responses to Greta’s post included a flood of similar accounts.Some highlighted the severe financial strain on Singapore’s F&B industry, citing high operating costs as a key challenge. Steep rents, rising labour expenses, and a lack of skilled workers were identified as the main hurdles.
A user noted that premium locations demand costly leases, further squeezing profit margins.
One user shared how his sister shut her café at Turf City after new management imposed a 600% rent hike when the lease expired.
Another said he experienced a rent increase of over 50% after the property was sold. The shop’s original landlord had purchased it for S$400,000, while the new owner paid S$1.4 million—triggering higher rents.
He noted that many business owners must either cut costs or raise prices, both of which are risky in Singapore’s competitive dining market.
Singaporean laments soaring rents forcing food stalls to close despite efforts to offer affordable meals
Earlier, TOC reported comments from consultant and speaker Indera Tasripin, who expressed concern about a popular Malay food stall in Woodlands.Known for dishes like mee siam and mee rebus, the stall faced closure due to a rent hike to S$8,000.
Indera said the owner, despite trying to keep prices low for HDB residents, could no longer manage the costs.
He described such hikes as “pure robbery and injustice”, questioning why larger companies often pay less for bigger spaces.
Indera appealed to National Development Minister Desmond Lee and MP Hany Soh to take action on behalf of small vendors.
He also criticised the contradiction between government efforts to ensure affordable meals and the lack of rent regulation that affects vendors’ viability.
“These are deep-seated problems that humble vendors have little control over,” he wrote, adding that many affected stallholders have no clear path forward.
Rent inflation paints an alarming picture of F&B closures in Singapore
Last week, Zat Astha, Editor-in-Chief of The Peak, published an opinion piece on the issue, painting a stark picture of how rent inflation is reshaping the F&B sector.Zat cited CBRE data showing prime retail rents rose 3.0% year-on-year in 2024 to S$27.80 per square foot per month, with an additional 0.6% rise in the first quarter of 2025.
According to Reuters, over 300 F&B businesses are now closing each month in 2025—more than ten per day.
High-profile closures include Michelin-starred restaurants Art di Daniele Sperindio and Braci, as well as retail exits at Parkway Parade Mall, including Marks & Spencer.
Zat criticised landlords for keeping spaces empty rather than adjusting rents to retain small, community-oriented tenants.
“These are tragic losses,” he wrote, “but they are the natural outcome of a system we chose decades ago.”
He proposed legislative measures such as rent controls and vacancy taxes, as well as moral solutions like encouraging investors to offer long-term, socially conscious capital.
However, Zat acknowledged the difficulty of such reforms in a system deeply rooted in economic pragmatism.
“Do we, as a society, have the stomach for policies that openly favour social good at the expense of profit?” he asked.
He warned that what is being lost goes beyond businesses—it is the disappearance of a vibrant, community-based food culture.
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