ST : Last lap for Turf City

Nov 19, 2010

Last lap for Turf City

Lease runs out next August but tenants unfazed; business has picked up speed

By Cheryl Lim

THE fate of the popular Turf City shopping mall appears uncertain.

Turf City in Bukit Timah has been leased out by the Singapore Land Authority (SLA) since the Turf Club moved to Kranji in 1999.

However, it has now emerged that the latest lease, which was granted by the SLA in June, was for one year rather than the usual three.

The SLA has told The Straits Times that this lease is the 'final' one, and that it will not be available for renewal when it expires on Aug 31 next year.

SLA's state property information website states 'nil' for the available tenure after the expiry of the current lease.

SLA says the development plans for the site are still under study by the relevant authorities. When contacted, the master tenant - private developer Singapore Agro Agricultural (SAA) - did not say why the lease was not being renewed.

Earlier reports have said SAA is behind the 2.33-ha Farmart Centre in Tengah, Singapore's first farm shopping centre.

The Turf City mall occupies 760,000 sq ft and houses more than 160 tenants, ranging from Giant hypermarket to car dealerships and restaurants.

Most tenants interviewed say they have not had official word from Turf City's management about what will happen when the lease ends.

Despite this, it is believed that several eateries have renovated their premises recently, while uptake for new leases remains healthy. Checks revealed several new tenants have inked new leases in the last few months.

Hair salon Yen's Hair Image celebrated its official opening earlier this month. Its owner, Ms Jolene Bousky, said she was fully aware of the risks when she signed the one-year lease with Turf City in August.

'Management did tell me that the lease may be continued when it ends. But they can't guarantee that for sure... customers have asked why I want to continue but I think even staying here for one or two years will help boost my customer base,' she said.

Since 2001, the site has been leased out to private business enterprises for various interim uses, such as sports and recreation, food and beverage, and retail.

A modest revamp in 2003 saw the addition of The Market Place, a flea-market of sorts modelled after Bangkok's Mahboonkrong shopping centre.

Over the years, the mall has also played host to several lifestyle events including performances by foreign artists and sporting events such as the Tanglin Rugby Club Barclays Cup and the Schools National Cross-Country Championships.

One tenant, Mr Teh Han Sing, managing director of Chin Lian Seng Motor Trading, said he would be sad to leave the place as business is good, having picked up in recent years.

Other tenants say they, too, have seen a recent revival in what they once called 'dead city'.

The shopping mall has turned into a favourite haunt of both expat and local families, many drawn by the array of children's activities and sports offered by businesses there.

When contacted, the Urban Redevelopment Authority (URA) said the site occupied by Turf City has been zoned for residential use since 1993, to better reflect its planning intentions.

Under the 2008 Master Plan, the site is still zoned for residential use and the URA said the development timeframe has not been firmed up yet.

OrangeTee head of research and consultancy Tan Kok Keong said the tenure of the lease is too short to warrant any meaningful investment.

He said that if the area is to be redeveloped, it could be turned into a landed residential estate, a private social club or a sports club.

Mr Danny Yeo, group managing director of Knight Frank, said the site's proximity to well-established schools and the upcoming rail network makes it an ideal location for residential development.

'The area is very green. Once you put in commercial elements there, it will destroy the serenity of the residential estate,' he added.

'There aren't many high-rise developments. It's largely landed property and it's best kept at that.'

cherlim@sph.com.sg

Additional reporting by Dhevarajan Devadas