Menu Close


Warehouse Retail Scheme in Singapore

Warehouse Retail Scheme in Singapore

As we know, most industrial properties found in Singapore are predominantly for industrial activities.

However in recent years, we have seen more of such warehouse retail developments such as gain city, big box, fairprice which is an interesting concept in Singapore. The concept has also gained popularity in recent years.

Back in year 2004, a pilot for the warehouse retail scheme was first introduced to offer more flexibility in terms of use of industrial spaces. With the scheme, up to a total of forty percent of the gross floor area or GFA could be used to enable enhanced productivity and overall costs savings by allowing all in one consolidation of logistics, warehousing and retailing operations all within the same location.

Where Can We Find Such Buildings

The warehouse retail scheme started with supermarket group Giant, furniture retailer IKEA, electronics retailer Courts, Gain City, Warehouse Club and Big Box. Giant, IKEA, Courts are all located in Tampines, Gain City at Sungei Kadut, Warehouse Club at Joo Koon and Big Box at Jurong East.

Generally, land released for warehouse retail scheme are located in areas meant for industries that are non-pollutive in nature and are located in the outlying regions.

Examples of Requirements to be Fulfilled

The warehouse retail scheme will only be suitable for single users and operated by one single entity where subletting will not be permitted.

The main use remains as industrial however, up to 40% can be allowed for ancillary retail use.

The proposal submitted for the warehouse retail scheme will also be subjected to approval and review by the relevant authorities.

Zoning of the Land

Land parcels meant for the warehouse retail scheme will be zoned as business-white instead of the commonly known b1 or b2 industrial zoning.

Approval and Rates

Approval of the warehouse retail scheme will be on a temporary basis. Development charges may also be applicable due to the enhancement of the land to a higher use.

Benefits of the Scheme

The scheme is said to have helped companies operating in such places with cost savings as these businesses are able to have their logistics, warehousing and retailing all in just one location. This has also led to cost efficiency and savings which is always beneficial for companies.