JTC Renewal of Lease

Our key services include:

• JTC Lease Assignment Application Assistance: 

We specialize in crafting compelling proposals and business plans to secure approvals for the assignment or purchase of JTC properties and industrial land. Our expertise ensures a streamlined process for your JTC lease assignment applications. We assist clients in preparing successful proposals and business plans to obtain approval for the JTC Lease Assignment or purchase of JTC property and industrial land.

• JTC Standard Factories Launch Guidance: 

Benefit from our in-depth guidance on developing successful proposals and business plans for direct purchases from JTC during the Standard Factories Launch and Tender Application period.

• Expertise in JTC New Industrial Land Applications and Tenders: 

Our team excels in the preparation, analysis, and submission of bids for JTC Industrial Land under the Industrial Government Land Sales Programme (IGLS), enhancing your chances of success.

• JTC Lease Renewal and Extension Support: 

We provide strategic assistance to navigate the complexities of JTC lease renewals and extensions, ensuring your proposals align with JTC requirements for a smooth approval process.

• JTC Third-Party Build and Lease Scheme Applications: 

We aid clients in successfully applying for the JTC Third-Party Build and Lease Scheme, leveraging our comprehensive understanding of JTC’s criteria and processes.

• JTC Anchor Tenant Application Services: 

Our services empower clients to achieve approved status as JTC Anchor Tenants for industrial properties through meticulous preparation and presentation of applications.

• JTC Concept and Price Tender Consultation: 

Navigate the JTC factory application process with our expert guidance on both concept and pricing strategies to enhance your proposal's impact and effectiveness.

• Construction and Optimization of JTC Industrial Developments: 

We offer consulting services for the optimization and construction of JTC factories, ensuring your facilities meet both operational needs and JTC standards.

• JTC Industrial Property Market Research: 

Stay informed with our market research reports, providing current statistics, historical data, and insightful analyses based on JTC’s Quarterly Market Report. These comprehensive reports help you understand market trends and make informed decisions.

• Singapore Economic Outlook 2024: 

Keep up-to-date with our quarterly reports on Singapore’s economic performance. The next update is scheduled for the third week of May 2024, offering fresh insights and forecasts.

Choosing the right consultant for your lease renewal with JTC is critical to ensuring a smooth, successful process. At ALLIANCE FACILITIES MANAGEMENT PTE LTD, we are uniquely positioned to be your trusted partner in navigating the complexities of JTC lease renewals. Here’s why appointing us as your consultant is the best decision for your business:

• Expertise and Experience: Our team of professionals brings extensive knowledge and hands-on experience in managing JTC lease renewals. We understand the intricate criteria and requirements set by JTC, ensuring your application is meticulously prepared and aligned with their expectations.

• Risk-Free Professional Fees: We are confident in our ability to secure your lease renewal, which is why our professional fees are only payable upon approval. This ensures that you receive the highest quality service with no financial risk until your application is successfully approved.

• Comprehensive Services: We offer end-to-end services that cover every aspect of the lease renewal process. From initial consultation and strategic planning to document preparation and submission, we handle it all, allowing you to focus on your core business operations.

• Strategic Planning: We help you develop robust business and redevelopment plans that highlight your economic contributions, job creation potential, and land use optimization. Our strategic approach maximizes the likelihood of a favorable assessment from JTC.

• Customized Solutions: Understanding that every business is unique, we tailor our services to meet your specific needs. We provide personalized guidance and solutions that align with your business goals and operational requirements.

• Efficiency and Timeliness: Our proactive approach ensures that your application is submitted well within the required timelines. We work diligently to gather and verify all necessary information, minimizing delays and expediting the review process.

• Compliance Assurance: We stay abreast of the latest JTC guidelines and policies, ensuring your application is fully compliant. Our thorough understanding of JTC’s criteria helps prevent common pitfalls and enhances the quality of your submission.

By appointing ALLIANCE FACILITIES MANAGEMENT PTE LTD as your consultant, you are choosing a partner dedicated to your success. Our expertise, comprehensive services, and client-centric approach ensure that your JTC lease renewal application stands the best chance of approval, allowing you to continue your operations seamlessly and with confidence. Let us help you secure your business’s future and optimize your industrial land use effectively.

Answer: JTC Lease renewal is the granting of a new lease term after the current term expires, allowing industrialists to continue operations at their sites. It is not guaranteed and is subject to JTC’s assessment.

Answer: JTC assesses applications based on the economic contribution, productivity of the project, job creation, synergistic linkages to other sectors, and land use optimization.

Answer: The maximum renewed lease term is up to 20 years, subject to JTC’s assessment of your business strength, redevelopment plans, and government redevelopment plans for the site.

Answer: Applications should be made 6 years and no later than 3 years before the expiry date of the existing lease.

Answer: Applications can be submitted via the JTC customer service portal. Your JTC Customer Engagement Officer will assist with the next steps.

Answer: Applicants should provide a detailed business and redevelopment plan, fixed asset investments, gross plot ratio, job creation projections, and financial projections. JTC holds applicants accountable for the details provided, with audits conducted at the end of the investment period.

Answer: JTC will inform you of the outcome via email within 3 months after receiving all required information.

Answer: Key terms include revision of land rental, potential building premium, completion of proposed building works, and assignment prohibition period.

Answer: Fees include land rent or premium, building premium (if applicable), survey fees, URA processing fees, legal document preparation costs, and GST.

Answer: P&M investments are capital expenditures on items used in operations such as industrial machinery, construction equipment, utility plants, and manufacturing equipment. In case of doubt as to whether any equipment can be considered as part of plant and machinery, the yardstick is that it should be used directly in the production process in connection with the company’s approved usage.

P&M investments are capital expenditures on items used in your operations, such as:

• Air-conditioning for industrial machinery

• Building and construction equipment (including rollers, mixers, piling equipment and drilling plants, loaders, dumpers, excavators, bulldozers and support structures)

• Chimney if it forms part of machinery

• Computer systems and equipment that are required/linked to the production process

• Container trailers and containers, trucks, goods vehicles, earth moving plants/excavators and other plant that are used in relation to production.

• Dry Dock and Floating Dock

• Utility plant and boiler

• Electronic equipment (including assets such as electronic detection, guidance, control, radiation, computation, test and navigation)

• Fire Safety Device for industrial machinery

• Furnace / Kiln

• Manufacturing and industrial processing plant and equipment

• Material handling equipment such as cargo lifts, weighing machines, conveyor belts, forklifts, and cranes

• Dock leveller system

• Warehouse racking system (for warehouse lessees)

• Oil / Chemical Tank

• Overhead cranes/ gantry cranes

• Refinery Plant /  Silos

• Special portable equipment, e.g. measuring and testing equipment of a similar nature

• Tanks fixed to the ground

• Treatment Plant

Answer: Items not considered include - 

• Motor vehicles such as saloon cars, scooters, motorcycles, etc

• Office Furniture and Furnishing

• Word Processor, computers, printers, scanners, fax machines, photocopying machines and other related products used for administrative work

• Air conditioning for office use

• Materials for production

In case of doubt as to whether any equipment can be considered as part of plant and machinery, the yardstick is that it should be used directly in the production process in connection with the company’s approved usage.

Answer: Plants and machinery purchased during the investment period are taken at cost. Relocated or previously purchased equipment can be included based on net book value at the start of the investment period.

Answer: B&C investments include the construction of factory buildings, civil works, professional fees, and renovation works excluding furniture and fittings.

Answer: Costs not included are land rental, property tax, utilities charges, stamp duties, and financing costs.

Answer: At least 60% of the total gross floor area must be used for industrial activities, while the remaining 40% can be used for ancillary purposes.

Answer: JTC considers economic contribution, job creation, synergistic linkages to other sectors, and optimization of land use.

Answer: If affected, you may not be able to renew your lease. Consult your JTC Customer Engagement Officer before applying.

Answer: You must rectify any breaches before applying for lease renewal.

Answer: Consider consolidating operations in a smaller floor space or JTC may require you to return part of the land.

Answer: You have 3 years from the offer letter date to complete building works and fulfill fixed asset investments.

Answer: You cannot assign the land for a minimum of 5 years from fulfilling investment criteria or 3 years from the new lease term commencement, whichever is later.

Answer: JTC reserves the first right to buy over the remaining lease period if you wish to assign the land outside the assignment prohibition period.

Answer: ESA is an investigation to assess potential contaminants in soil and groundwater. Decontamination works depend on ESA results.

Answer: Intensify land use as much as possible to optimize scarce industrial land resources. Plot ratio exempt industries have no minimum requirements but must meet minimum land area coverage.

Answer: Submit a temporary occupation license, certification of development completion, audited cost statements, and any other required documents.

Answer: The lease term is pro-rated if there is a shortfall between the committed and actual figures of gross plot ratio and investments in plant and machinery.

Answer: If applicable, the building premium is payable upfront for JTC-owned buildings. The amount will be known 3 months before the new lease term.

Answer: Façade treatment should use good quality, easy-to-maintain materials, optimize building form, and ensure the façade is environmentally responsive to the tropical climate.

Answer: Developments must achieve a minimum Green Cover of 30% of the total site area, which can include tree planting, grass cells, grass pavers, and green roofs.

Answer: Solar deployment is mandatory for new and renewed leases if the site has at least 800 sqm of available contiguous rooftop area and a remaining lease period of 15 years or more.

The information listed above is to be used as a reference resource for your personal consumption only. It is not intended to be and does not constitute financial advice, investment advice or any other advice, All applications are subject to final approval by JTC at JTC's discretion (including any terms and conditions that JTC may in its discretion impose with such final approval). While every endeavour has been made to ensure that the information provided herein is correct, ALLIANCE FACILITIES MANAGEMENT PTE LTD disclaims liability for any damage or loss that may be caused as a result of any error or omission.

• Statistics on Historical Data of JTC Industrial Land Sold from 2017 to 2024

• Statistics on Historical Data of JTC Industrial Land Sold from 2014 to 2016

• JTC Quarterly Market Report - 1st Quarter 2024 - Frequently Asked Questions (FAQs)

• Statistics on JTC Land Rent for JTC's Standard Factory and Purpose-built Factory - Updated 1st January 2024

• Historical Data of Industrial Properties Caveats Lodged from 2022 to 2024

• Historical Data of Industrial Properties Caveats Lodged from 2020 to 2021

• Historical Data of Industrial Properties Caveats Lodged from 2018 to 2019

• Historical Data of Industrial Properties Caveats Lodged from 2016 to 2017

• Historical Data of Industrial Properties Caveats Lodged from 2010 to 2015

• Historical Data of Industrial Properties Caveats Lodged from 2000 to 2009

• Singapore Economic Outlook 2024