Extension and Termination of Religious Organisations' Short-term Tenancies with Government
Ministry of LawSpeakers
Summary
This question concerns whether religious organisations on short-term tenancies can acquire long-term leases without bidding under the new valuation framework. MP Murali Pillai asked if these organisations could terminate their tenancies early and receive reimbursements for unexpired periods. Minister for Law K Shanmugam clarified that these organisations may terminate their tenancies with one month’s notice to transit to long-term leases without balloting. He noted that as rent is paid monthly, no reimbursement is necessary, and the Singapore Land Authority has invited affected organisations to apply for renewals under the revised framework.
Transcript
8 Mr Murali Pillai asked the Minister for Law with regard to the 24 religious organisations which currently have short-term tenancies with the Government over their respective properties to enable the Government to complete its review of land pricing policies, whether they have the option of applying to acquire long-term leases without bidding based on the new valuation system that was announced on 28 May 2023 from the third quarter of 2023 onwards and, upon successful acquisition of the leases, terminate their short-term tenancies before they expire with the value of the unexpired tenancy periods reimbursed to them where applicable.
Mr K Shanmugam: The Government had earlier advised Religious Organisations (ROs) with expiring leases to consider taking up short-term tenancies as the review of the Place of Worship (PW) land allocation and pricing framework was ongoing. This was to allow these ROs to benefit from the revised framework once the review was completed.
Now that the revised framework has been announced, ROs on these short-term tenancies can terminate the tenancy at any time by giving a one-month termination notice and transit to a long-term lease for their existing site right after the tenancy is terminated. They would not be subject to a balloting system for lease renewal.
As the rent for the tenancies is paid on a monthly basis, the tenant can pay the rent for the final monthly cycle in full, or on a pro-rated basis. There is no need for reimbursement of rent from the unused tenancy period.
The Singapore Land Authority (SLA) has reached out to ROs on the short-term tenancies to invite them to apply for lease renewal under the revised framework.