ST : Crackdown on illegal dorms in Little India

Aug 25, 2010

Crackdown on illegal dorms in Little India

Rooms let out on sites that are not zoned for hotel use

By Tessa Wong

A NEW type of lodging for foreign workers has sprung up in Little India in recent years, with some offering air-conditioned rooms, cable television and housekeeping services, among other amenities.

But these establishments have come under scrutiny by government agencies, which say that some may not be operating legally and have clamped down on at least two in recent weeks.

At least nine such foreign worker hotels have come up in the past two years. Seven of them are owned by local property company DRA Property Management, spread out over Desker Road, Rowell Road and Dunlop Street.

One is operated by supermarket chain I-Tec above its Jalan Besar retail outlet, while the ninth is operated by the owner of Lamea Restaurant in Desker Road.

They have come up due to demand from foreign workers, particularly those who have not been housed in dorms by their companies, as well as tourists on a tight budget and foreign job seekers looking for a cheap place to stay.

The big attraction is their rates, which can be a fraction of what traditional hotels charge.

Rates range from $7 a night - for a bunk bed in a dorm-like room that can fit up to 30 people - to about $1,200 a month for an air-conditioned room shared by four people.

But it appears that such businesses may be operating on locations that have not been zoned for hotel use and are meant for other purposes, such as commercial or residential activity.

In addition, most of them do not have hotel licences, claiming that they are merely 'residences'. But technically, they meet the Government's definition of a hotel or boarding house, in which case they would need a licence and must operate on a location zoned for hotel use.

This definition, by the Hotel Licensing Board, states that any place with four or more rooms hired out for a fee, and that provides domestic services such as room cleaning, must get a hotel licence.

The Urban Redevelopment Authority (URA) has already told at least two DRA residences in Rowell Road to shut down by the middle of next month because those sites have been zoned for commercial use and not for hotel use. The DRA spokesman said the company plans to appeal.

Mr Jolovan Wham, spokesman for foreign workers' rights group Home, said that such establishments helped to fill a gap in housing, by providing cheap yet comfortable accommodation.

'Other places can be quite squalid, with no proper management. At least these boarding houses are maintained well, sometimes even with air-conditioning,' he said.

Guests also gave the thumbs-up, saying such establishments provide good service at a low cost.

Mr Dhanam Tennakoon, 74, who is from Sri Lanka, has been sharing a room with two relatives at a DRA residence for the past six months while one of his relatives seeks medical treatment here.

'We like this place. It's very reasonable, and it lets us do our own cooking and washing,' said Mr Tennakoon.

When told that the establishment might be illegal, he shrugged. 'We pay, and we stay. That's all I know.'

But others are less thrilled to see such businesses springing up. The Straits Times understands that the URA has received a number of complaints from the public, alleging that some of them are illegal boarding houses.

A URA spokesman said it is investigating some of these establishments.

Under the Planning Act, a person responsible for unauthorised use of a property may be fined up to $200,000 and/or imprisoned for up to a year. If the offence continues after conviction, a fine of up to $10,000 per day may be imposed.

Owners of unlicensed hotels may also be fined up to $2,000 on the first conviction, under the Hotel Act. For subsequent offences, the person may incur the same fine and/or be sent to prison for up to six months.

twong@sph.com.sg