First Leasehold Residential Property Will be Returned to the Gov by End of 2020 Without Compensation

Singapore had gone through many “firsts” in 2020.

From the world’s largest trade agreement between 15 countries to the first time a man was charged for eating out, there is now one new “first” we can look forward to at the end of this year.

First Leasehold Residential Property Will be Returned to the Gov by End of 2020 Without Compensation

You’ve heard all the hoo-ha about leases and how it’ll render your property value to zero when it reaches.

But while hearing about it is one thing, seeing it happen for yourself is another, and that’s exactly what you’ll see at the end of 2020.

Geylang Lorong 3

According to The Straits Times, 191 two-storey terrace houses located at Geylang Lorong 3 will be demolished to make way for public housing.

The houses were sold back in 1960 on a 60-year lease and were built for displaced Chinese families involved in a massive kampung fire.

The lease ends on 31 Dec 2020.

The demolition of the area will start in the third quarter of 2021 and be completed by early 2023.

Not much is known about how the piece of land will be rejuvenated.

Handing It Back With No Compensation

There are 37 families reportedly staying in the area and they’ll have to hand their homes over to the government by the end of the year with no compensation.

The Singapore Land Authority (SLA) says that leasehold lands will be returned to the government when the lease expires so that it can “rejuvenate” the area to match with the changing “social and economic needs of Singaporeans”.

Out of the 37 families, 30 of them have found other living arrangements.

The remaining seven members are considering renting another property and SLA is in contact with them to provide assistance.

They’ve been in touch with the families in the area since June 2020 to guide them through the lease expiry process.

it was reported, back on 3 Oct 2020, that 1 in 5 households living at Geylang Lorong 3 qualified for public HDB flats.

Another 149 units were mainly rented out to accommodate foreign workers and religious activities, and SLA is working on relocating them as well.

They’re working with the Ministry of Manpower (MOM) to contact the employers of the foreign work pass holders to relocate them while occupants who conduct religious activities are advised to rent other suitable places or co-locate.

Where’s Next

Meanwhile, residents who’ve lived in the area for a long time (some, even their entire lifetime) are ready to move out.

A 64-year-old former camera assistant is ready to move out but finds it a pity that he can no longer keep the 12 chickens that he’s been rearing for the past few years.

Another worries that she couldn’t get used to living on the seventh floor of her new home, given how she’s lived on the ground floor her entire life.

The next in line to reach expiry is the private houses in Jalan Chempaka Kuning and Jalan Chempaka Puteh near Tanah Merah.

They are 70-year leasehold private houses and will expire in 2034.

Two other estates, Fuying estate in Bukit Timah and Rifle Range Road, are left with less than 40 years of lease.

Featured Image: Google Maps