Sep 14, 2021
    email_go E-mail to friend    shareBookmark & Share

In a release, the Ministry of Law (MinLaw) said the Rental Waiver Framework complements the support measures introduced by the Ministry of Finance earlier to cushion P2HA’s economic impact on workers and businesses.

Commercial landlords in Singapore will be required to provide two weeks of rental waiver to eligible small and medium enterprises (SMEs) and non-profit organisations affected by the tightened measures during Phase 2 (Heightened Alert) (P2HA) period.

The waiver comes under the new Rental Waiver Framework tabled in Parliament on Monday (13 September).

In a release, the Ministry of Law (MinLaw) said the Rental Waiver Framework complements the support measures introduced by the Ministry of Finance earlier to cushion P2HA’s economic impact on workers and businesses.

Taken together with 1-month rental support paid out in cash under the Rental Support Scheme (RSS), qualifying tenants will receive a total of about 1.5 months of rental support.

“The Rental Waiver Framework will ensure the fair co-sharing of rental obligations over the P2(HA) periods between the Government, landlords and eligible tenants,” said the Ministry of Law in a statement.

It noted that landlords who received the second payout under the RSS will get a notice of rental waiver from the ministry next month.

Receipt of the notice does not automatically qualify the tenant for the waiver. They are required to prepare the supporting documents and send them to their immediate landlord within 28 calendar days starting from the date of the notice.

To qualify for the rental waiver, a tenant must meet several criteria, including annual revenue not exceeding $100 million in FY2019. The tenant must have also suffered at least a 20% decline in average monthly revenue during both P2(HA) periods, among others.

Meanwhile, landlords who have provided their tenants’ rental support during P2(HA) can “offset from their rental waiver obligations any direct monetary assistance or rental waivers provided to tenants from 16 May 2021 up to the date the landlord receives all the tenant’s supporting documents”.

Nonetheless, MinLaw recognises that not all landlords are financially capable of providing the rental waiver, particularly those who rely on rental as their main source of income.

“Such landlords may apply to be exempted from providing the rental waiver if they meet certain criteria,” said the ministry.

MinLaw encouraged tenants and landlords to “work out mutually agreeable arrangements based on their specific circumstances”.

“However, if they are unable to reach a compromise, they may make an application to an independent rental waiver assessor for a determination,” it said.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Victor Kang, Digital Content Specialist at PropertyGuru, edited this story. To contact him about this story, email: victorkang@propertyguru.com.sg

Related Articles:

Retailers appeal for rental relief, government support amid tightened COVID-19 measures

Landlords insist that they had been providing rental support since first heightened alert

Private landlords will be required to provide two-week rental support to tenants

    email_go E-mail to friend    shareBookmark & Share

Search Property News

Keywords: