HDB assures residents of marketing needs; reminds Sheng Siong of wet market use

The Housing and Development Board (HDB) has assured residents that it will ensure that their marketing needs are met in the wake of the recent rent hike at five wet markets operated by Sheng Siong.

The HDB said it has received feedback from local advisors and residents, expressing concerns over the rent hike.

HDB said: “Besides these wet markets, there are also other markets and supermarkets nearby.”

It added that the presence of alternative facilities ensures that the market produce are “competitively priced”.

The HDB said it has made clear its position to Sheng Siong which had bought over the markets and increased rent by 30 per cent.

The markets are located in Choa Chu Kang, Bukit Batok and Serangoon North.

The HDB said in approving the sale of these properties to Sheng Siong, it specified that they must continue to be operated as wet markets.

It also made clear that any change of use has to be subjected to HDB’s approval.

The HDB said these properties will remain as wet markets as there is still demand from the residents for these facilities.

“HDB will not allow conversion of any of these properties from wet markets to other uses even if all the stalls are vacated,” it said.

The HDB said it recognises that Sheng Siong is a private operator and has the right to adjust the rent and tenancy terms.

But it said Sheng Siong would face much difficulty attracting stallholders if it charges excessive rent.

“The stallholders who are compelled to set high prices for their produce because of the high rent may not be able to sustain their business in the long term,” it said.

The HDB advised Sheng Siong to consider the operation of the wet markets on a long-term sustainable basis when making any rental or tenancy adjustments.

So far, 90 per cent of the stallholders have decided to continue renting the stalls for one year.

When contacted by MediaCorp, Sheng Siong said it has no comments.

Source : Channel NewsAsia – 7 Apr 2010