JTC Standard Factory Tender Application Q&A: A Comprehensive Guide

Alliance Facilities Management Pte Ltd: Your Trusted Partner in Singapore’s Industrial Property Market

• Established in 2011, Alliance Facilities Management Pte Ltd has earned a solid reputation for guiding both multinational corporations and small-to-medium enterprises through Singapore’s complex industrial property market—especially when it comes to JTC-related services. From JTC Lease Assignments and Lease Renewals to Anchor Tenant Applications and Industrial Land Tenders, our team offers end-to-end support to help your business secure approvals under stringent JTC guidelines.

Over a Decade of Proven Results

• Backed by over 100 successful JTC submissions totalling more than SGD 1 billion in value, our track record speaks for itself. We focus on delivering real results. That’s why we charge fees only upon successful approval, reflecting our unwavering confidence and commitment to your success. Our experts meticulously craft comprehensive business plan justifications, present fixed asset investments and redevelopment plans, and demonstrate job creation potential—all to reinforce your project’s economic value and win regulatory approval.

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• Beyond specialized JTC services, Alliance Facilities Management Pte Ltd provides holistic facilities and construction management solutions. Whether we’re optimizing your current facilities or overseeing new developments, our attention to detail and proactive approach ensure efficient execution while upholding the highest standards of quality and compliance.

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• Our client-focused philosophy is at the heart of everything we do. We’re proud to serve a wide array of industries and business sizes, including listed equity firms (19%), MNCs (16%), and SMEs (65%). Our industry breakdown underscores our versatility:

Construction / Engineering: 23%

General Manufacturing: 13%

Food Production: 12%

Marine / Shipbuilding: 12%

Distribution / Warehousing: 11%

Chemical & Gas: 8%

Precision Engineering / Cleanroom: 6%

Logistics & Transportation: 6%

Waste Management / Automobile: 5%

Retail / Distribution: 4%

By aligning our expertise with the specific challenges of these industries, we deliver tailored solutions that drive efficiency, growth, and compliance.

Your Path to Success

At Alliance Facilities Management Pte Ltd, we believe that navigating Singapore’s industrial property market should be a strategic advantage, not a hurdle. Trust our decade of expertise, proven methodology, and results-driven fee structure to safeguard your interests, ensure a seamless approval process, and enhance your operational efficiency.

Contact Us today to discuss how we can support your business goals and help you thrive in Singapore’s industrial landscape.

Stay informed about the latest JTC Industrial Land Lease policy changes that aim to provide greater flexibility, certainty, and support for businesses. Below is a comprehensive overview of the enhancements and their implementation timelines.

1. Additional Three-Year Lease Tenure for New Greenfield Industrial Land Allocations

• Key Update: JTC will offer an additional three years of lease (with payable land rent/premium) for all new greenfield allocations requiring new building development. This ensures businesses can enjoy the full 20- or 30-year intended lease term.

• Why It Matters: Helps businesses cover building and development periods without sacrificing lease duration. Provides more predictability in operational and capital planning.

• Implementation Timeline: Immediate effect.

2. Introduction of the Flexible Lease Extension Initiative (FLEXI)

• Key Update: Eligible land lessees on 20-year JTC leases can extend their leases in up to two tranches of five years each. Businesses must demonstrate strong economic outcomes and commit to new plant and machinery investments to qualify.

• Why It Matters: Allows businesses to extend beyond the original 20-year term by up to an additional 10 years. Encourages sustained economic growth and investment within Singapore’s industrial landscape.

• Implementation Timeline: Targeted for 2H2025.

3. Earlier Lease Renewal Applications

• Key Update: JTC will bring forward the lease renewal application window from six years to ten years before the prevailing lease expiry.

• Why It Matters: Provides businesses with greater certainty about lease continuation well in advance. Facilitates long-term strategic planning, including expansion and technology upgrades.

• Implementation Timeline: Targeted for 2H2025.

4. Broader Recognition of Auditable Investments in Innovation and R&D

• Key Update: Beyond traditional Plant and Machinery (P&M) investments, JTC will recognize auditable investments in innovation, R&D, digital transformation, and Intellectual Property (IP) creation. This expanded definition aligns with evolving business models and supports value creation and productivity.

• Why It Matters: Encourages companies to invest in advanced technologies and IP, driving competitiveness and growth. Acknowledges modern forms of capital investments critical to innovation-driven enterprises.

• Implementation Timeline: Targeted for 2H2025.

Conclusion

These JTC Industrial Land Lease policy enhancements are designed to provide businesses with:

• Extended lease security for better long-term planning.

• Greater flexibility to adapt and grow.

• Incentives for innovation through recognition of diverse forms of investment.

For more information or to discuss how these changes can benefit your business, contact us or visit our website. Stay ahead with the latest updates and make the most of your industrial land lease tenure under JTC’s enhanced framework.

Thank you for your continued trust and partnership with Alliance Facilities Management Pte Ltd.

Alliance Facilities Management Pte Ltd is a premier consultancy firm in Singapore, specializing in comprehensive services for the industrial property sector. Our primary focus is assisting multinational corporations and small to medium-sized enterprises in their expansion efforts in Singapore. Our seasoned team of professionals is dedicated to guiding Our Clients through the intricate process of meeting industry property requirements, preparing applications, and justifying business plans to authorities for approval.

With the implementation of JTC's Reserve Units Listing of standard factories in February 2021, industrialists can now apply for any standard factory unit listed at any time, providing greater flexibility and choice to meet their business needs. To initiate the release of these factories for launch application or tender, industrialists simply need to submit the formal application form.

We ensure that applicants are evaluated based on their economic contributions, investment commitments, quality of employment, and land optimization efforts, where applicable. A detailed Business Plan is a requirement for submission to JTC. For Price Tender, units are allocated based on the highest bid price.

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What is available for Application for JTC Standard Factory in Year 2025?

Answer: Yes, as a professional consultant, Alliance Facilities Management Pte Ltd can provide guidance and assistance to clients in preparing and submitting tenders for the purchase of JTC Property, including the JTC Factory. Their expertise can ensure that the tender is prepared in compliance with the requirements and conditions stated in the Tenderer's Packet.

Answer: For factories available via price tender, they are initially on the Reserve List. Submit a tender request application to JTC. If successful, the factory becomes available for tender, and other companies can participate. For first-come-first-served factories, simply submit an application to JTC. Success in the application means the factory is offered to you.

Answer: JTC's landed factories cater to heavy industries needing large ground-floor space for goods movement and storage. Specific usage constraints vary, so check each factory's Non-Permitted Trades section for more information.

Answer: Factories available are placed on the Reserve List, visible on JTC’s website. To make a factory available for tender, submit a tender request application. If this application is successful, you must tender in line with the Conditions of Tender before the closing date, or risk forfeiting your deposit.

Answer: Submitting a Tender Request Application to make Reserve List Factory available for Tender" for detailed application procedures.

Answer: No, you must participate in the tender with the same entity used in the tender request application.

Answer: No, there is no application fee for applying for a Reserve List unit.

Answer: No, JTC does not reveal the identity of successful applicants.

Answer: Factories available for tender are those that have lost their “Reserve List” indicator post a successful tender request application. Note that units without this indicator might also be those whose tender has closed.

Answer: Purchasing a Tenderer’s Packet, while not mandatory, is strongly encouraged as it contains vital information on the factory specifications and tender conditions. Be aware of the packet's expiry date and the deadline for purchasing it.

Answer: The tender period typically spans 3 weeks, during which interested companies are invited to participate.

Answer: No, there isn't a set minimum bid price for these tenders.

Answer: No, being the sole bidder does not guarantee success. Bids are evaluated at JTC’s discretion, typically favoring reasonable bids above the Reserve Price.

Answer: Conduct market research and consider historical pricing information, including the changes effective from 1 January 2023, where tender bids include both Land and Building Premiums.

Answer: Due to constant market fluctuations, the Reserve Price is not published and may require frequent updates. Tenderers should conduct their market research for price estimation.

Answer: The tender outcome is usually announced within 8 weeks from the Tender Closing Date.

Answer: Yes, if your bid is unsuccessful, the tender deposit will be refunded within 7 working days from the award announcement.

Answer: Deposit forfeiture can occur if you fail to participate in the tender after a successful Reserve List application, withdraw your bid post-tender closure, or are awarded but then withdraw. Submitting a tender in the wrong box will also invalidate your submission. Always refer to the Conditions of Tender for complete information.

Answer: No, any change in authorized use requires JTC’s prior written approval.

Answer: Landed factories are sold on an "as is where is" basis. Caveat emptor applies, meaning you accept the property in its current state, including any defects.

Answer: No, renewal is not granted automatically. Factories are re-tendered to assess market interest at term expiry.

Answer: No, the GIRO form is not needed at the tender submission stage. It is only required for the successful tenderer, and specifically for tenancies.

Answer: Price Tender ensures a transparent and efficient allocation process, eliminating the need for companies to submit business plans and projections. This approach also leads to cost savings and timely access to facilities.

Answer: The revised framework for JTC land-based facilities has been in effect since 1 January 2023.

Answer: Under the new system, bids now include both Land and Building Premiums (for lease) and Land and Building Rents (for tenancy), offering a more streamlined approach.

Answer: The tenure options reflect the overarching development plans for each site and the demand-supply dynamics, aiming to maximize tenure where feasible.

Answer: The Tenderer's Packet is a document provided by JTC (Jurong Town Corporation) to interested parties for the purpose of inviting offers by tender for the purchase of the JTC Factory. However, it should be noted that the Tenderer's Packet does not constitute an offer by JTC to award the lease to any person.

Answer: Yes, JTC reserves the right to vary, amend, or modify any term or condition in the Tenderer's Packet or the Conditions of Tender. They may also issue supplementary terms to the Tenderer's Packet at any time before the Tender Closing Date. If any additions, variations, or amendments are made to the Tenderer's Packet, they will be communicated to the purchasers of the Tenderer's Packet via email prior to the Tender Closing Date. The references to "Conditions of Tender," "Lease Offer," "Special Terms," and "Standard Terms" in the Tenderer's Packet should be understood to include any modifications or amendments made by JTC.

Answer: The successful tenderer is required to comply with the Tenderer's Packet, Conditions of Tender, and any addendum letters or corrigenda that have been announced or published by JTC. These documents form the basis of the agreement between the successful tenderer and JTC, and the tenderer is bound to adhere to their terms and conditions.

Answer: The JTC Factory can only be used for activities that are permitted or may be permitted by the Authorities under the Planning Act (Chapter 232) for Business 2 (B2) / Business 1 (B1) zoning, as specified in the Master Plan Written Statement. It is important to note that trades involving offensive, dangerous, toxic, corrosive, explosive, or combustible substances are strictly prohibited in the premises. Furthermore, there should be no Health and Safety buffer(s) imposed by or resulting from activities carried out at the JTC Factory.

Answer: Yes, when submitting the Form of Tender, the tenderer is required to state the proposed usage of the JTC Factory. Additionally, the tenderer must provide the Industrial Allocation Clearance issued by the National Environment Agency (NEA Advisory) pertaining to the proposed usage upon request by JTC. The usage stated in the NEA Advisory will be considered as the authorized use of the premises, and it must not violate any prohibited usage as outlined in the Conditions of Tender. Any changes to the authorized use require prior written consent from JTC.

Answer: No, any change in the authorized use of the JTC Factory must have the prior written consent of JTC. The usage initially stated in the NEA Advisory and approved by JTC will be considered the authorized use, and any deviations or modifications to it require approval from JTC.

Answer: Yes, there are requirements for installing solar photovoltaic panels (Solar Panels) on the roof of the JTC Factory. If the available contiguous roof area of the premises is at least 800sqm, the tenderer must install Solar Panels on the roof. However, if the available contiguous roof area is less than 800sqm or if the tenderer wishes to install Solar Panels on other parts of the premises, consultations with JTC and their consent are required.

Answer: Within 2 years from the Lease Commencement Date, the tenderer must submit to JTC either a certification stating that the available contiguous roof area of the building is less than 800sqm or, if the building has an available contiguous area of at least 800sqm, the necessary documentation related to the installation of Solar Panels.

Answer: The tenderer is responsible for maintaining and ensuring that the Solar Panels installed on the JTC Factory are consistent with the as-built drawings submitted to JTC. They must ensure that the Solar Panels are fully operational throughout the lease term. In the event of any additions or alterations to the Solar Panels, the tenderer must notify JTC and submit revised as-built plans and other necessary details as required by JTC.

Answer: Unless JTC issues a letter permitting the retention of the Solar Panels, they must be removed at the end of the lease term. This applies whether the lease term expires or terminates, including the termination of the Agreement for Lease.

Answer: Tenders for the purchase of the JTC Factory must be submitted by the Tender Closing Date. It is important to adhere to this deadline to ensure participation in the tender process.

Answer: Yes, JTC has the sole and absolute discretion to change any of the timelines stated in the Tenderer's Packet before the Tender Closing Date. If any changes are made, they will be announced or published on JTC's official website (http://jtc.gov.sg/SF). Each tenderer is considered to have agreed and accepted the amended timeline as announced or published by JTC.

Answer: Yes, JTC reserves the right to withdraw the tender at any time, either before or after the Tender Closing Date. In such cases, JTC will not be liable for any costs, expenses, losses, or damages incurred by the interested tenderers, regardless of the stage of the tender process. It is important to stay updated on any announcements or notifications from JTC regarding the tender status.

Answer: All tenders must be prepared and submitted in strict accordance with the requirements outlined in the Conditions of Tender found in the Tenderer's Packet. It is essential to carefully review and follow these guidelines when preparing the tender for submission.

Answer: Each tenderer must complete the Form of Tender, which is provided as Appendix 1 in the Tenderer's Packet. It is crucial to fill out all sections of the Form of Tender accurately. Additionally, the Form of Tender must be signed by an authorized signatory of the tenderer. Once completed, the Form of Tender should be placed in a sealed envelope.

Answer: In the Form of Tender, each tenderer is required to indicate the Tendered Land and Building Premium as a lump sum amount that they are offering to pay JTC. This amount should be based on the details and tenure specified in the Tenderer's Packet. It is important to provide this information accurately and clearly in the Form of Tender.

Answer: The Tender Deposit must be paid by each tenderer using one of the following methods:

Payment by Bank Transfer: The tenderer is required to make the payment by bank transfer to JTC's designated bank account described below. The bank transfer should be completed by the Tender Closing Time on the Tender Closing Date. Additionally, the tenderer must provide JTC with a copy of the payment advice as proof of payment for verification purposes.

Payment by Guarantee: Instead of a direct payment, the tenderer may provide one or more guarantees issued in favor of "JURONG TOWN CORPORATION." The guarantee(s) should be for an amount equivalent to the Tender Deposit and serve as security for the payment.

Answer: The Tender Deposit will be forfeited to JTC, without prejudice to JTC's right to seek additional damages, in the following events:

Name Discrepancy: If the tenderer's name mentioned in the Form of Tender does not match the name entered in the online purchase form.

Tender Withdrawal: If a tenderer withdraws their tender or notifies JTC of their withdrawal during the Tender Validity Period.

Request Withdrawal: If a tenderer, who successfully requested JTC to launch the tender for the premises through a Tender Request Form, withdraws the said request after JTC has launched the tender. This also applies if the tenderer fails to submit a tender in accordance with the Conditions of Tender.

Non-Acceptance of Lease Offer: If the successful tenderer does not accept the Lease Offer in compliance with the requirements outlined in the Lease Offer.

It is important for tenderers to carefully adhere to the conditions and requirements to avoid forfeiture of the Tender Deposit.

Answer: Yes, the Tender Deposit will be refunded to unsuccessful tenderers who have not withdrawn their tender during the Tender Validity Period. The refund will be processed within one (1) week from the date of the Letter of Award. If the Tender Deposit was paid by bank transfer, it will be refunded without interest or compensation to the same bank account from which the Tender Deposit was originally paid. It's important to note that apart from the refund of the Tender Deposit, unsuccessful tenderers will not have any other claims against JTC.

Answer: The refund of the Tender Deposit will be made by bank transfer. If the unsuccessful tenderer paid the Tender Deposit via bank transfer, the refund will be credited back to the same bank account from which the payment was originally made. The refund will be processed within one (1) week from the date of the Letter of Award.

Answer: While every reasonable care and attention has been taken in preparing the Tenderer's Packet, neither JTC nor its agents, Authorities, or utility service providers will be liable for any inaccuracies or omissions. The contents of the Tenderer's Packet are believed to be correct and accurate at the time of printing, but they should not be considered as statements or representations of fact. All information, specifications, and plans in the Tenderer's Packet and Conditions of Tender are subject to changes that may be required by JTC, Authorities, or utility service providers. Additionally, it's important to note that all areas are approximate measurements.

Answer: Each tenderer is advised to conduct necessary checks, investigations, and studies at their own costs and expenses. They should consult the Authorities and utility service providers to ensure the sufficiency of the requirements related to their proposed usage of the premises before submitting their tenders. Tenderers are strongly encouraged to consult SP Group regarding power supply capacity, including terms, conditions, submissions, costs, lead time required, and requirements for new/modified connections and substations.

Answer: Yes, each tenderer is deemed to have read and agreed to be bound by the contents of the Tenderer's Packet and the Conditions of Tender. This includes all alterations, variations, additions, plans, drawings, reports, and other documents referred to, mentioned in, appended or annexed to any part of the Tenderer's Packet made by JTC prior to the Tender Closing Date.

Answer: Errors, omissions, misstatements, or incorrect descriptions in the Tenderer's Packet, including plans, drawings, reports, and other documents, as well as corrigenda and addendum letters announced or published by JTC, will not invalidate any submitted tender. Such errors or misstatements do not entitle the successful tenderer to terminate the lease or discharge the successful tenderer from their obligations under the Lease Offer. They also do not entitle any tenderer or the successful tenderer to any compensation or reduction of amounts payable under the Conditions of Tender or the Lease.

Answer: Yes, JTC reserves the right to reject tenders under certain circumstances. They have the right to reject any tender that is not submitted in accordance with the instructions and requirements stated in the Conditions of Tender or the Tenderer's Packet. Additionally, JTC can reject any tender that attempts to vary any provision in the Tenderer's Packet, ensuring compliance with the specified terms and conditions.

Answer: The selection of the successful tenderer is entirely at JTC's discretion. JTC's decision is final, and they are not obligated to disclose or provide any reason for their decision.

Answer: Once JTC has evaluated the submitted tenders and selected the successful tenderer in accordance with the terms and conditions specified in the Tenderer's Packet, they will inform the successful tenderer of the acceptance of their tender. This is done by issuing a letter called the "Letter of Award" and a Lease Offer to the successful tenderer via email, using the correspondence email address provided by the tenderer in their Form of Tender.

Answer: The issuance of the Letter of Award by JTC signifies the acceptance of the successful tenderer's tender. Upon receiving the Letter of Award, the successful tenderer becomes bound by the Conditions of Tender, the Lease Offer, Special Terms, Standard Terms, and any addendum letters and corrigenda published by JTC. The date mentioned in the Letter of Award is considered the date of acceptance.

Answer: No, the Letter of Award and Lease Offer issued by JTC to the successful tenderer are non-transferable and non-assignable. They are specific to the successful tenderer and cannot be transferred to or assigned to another party.

Answer: The successful tenderer is required to pay JTC 10% of the Tendered Land and Building Premium (after deducting the Tender Deposit paid) within 3 weeks from the date of the Letter of Award or upon the successful tenderer's acceptance of the Lease Offer, whichever is earlier. This payment is a significant step towards finalizing the purchase of the JTC Factory.

Answer: Yes, the successful tenderer is responsible for paying the stamp duty in accordance with the Stamp Duties Act upon accepting the Lease Offer. This payment is a requirement that the successful tenderer needs to fulfill as part of the purchase process.

Answer: Stamp duty is a legal tax imposed on certain documents, including leases, to make them legally valid and enforceable. By paying the stamp duty upon accepting the Lease Offer, the successful tenderer ensures compliance with the legal requirements related to the lease of the JTC Factory.

Answer: The specific amount of stamp duty payable by the successful tenderer will be determined based on the provisions of the Stamp Duties Act. The amount may vary depending on factors such as the value of the lease and prevailing stamp duty rates at the time of the transaction.

Answer: The successful tenderer should accept the Lease Offer by submitting a signed letter of acceptance to JTC. The letter of acceptance should be in the format attached to the Lease Offer and must comply with the requirements specified in the Lease Offer. It is crucial to submit the acceptance letter within three (3) weeks from the date of the Lease Offer.

Answer: The successful tenderer's acceptance of the Lease Offer is an important step in the purchase process. By accepting the Lease Offer, the successful tenderer confirms their commitment to the terms and conditions stated in the Lease Offer. It becomes an integral part of the Conditions of Tender, and the successful tenderer is obligated to comply with the terms and conditions outlined in the Lease Offer.

Answer: If there is any conflict between the provisions of the Lease Offer and the Conditions of Tender, the provisions of the Lease Offer will take precedence. It is important to carefully review and understand the terms and conditions of both the Lease Offer and the Conditions of Tender to ensure compliance. Failure to accept the Lease Offer in accordance with the specified terms and conditions will be considered a breach of the Conditions of Tender.

Answer: Upon accepting the Lease Offer, the successful tenderer is required to make certain payments to JTC. These payments include all sums due under the Lease Offer, which specifically entails paying 10% of the Tendered Land and Building Premium (after deducting the Tender Deposit paid). The successful tenderer is responsible for making these payments to JTC.

Answer: The payments to JTC should be made through a bank transfer. The successful tenderer is required to initiate a bank transfer to JTC's designated bank account. The specific details of JTC's bank account for the payment will be provided in the Lease Offer or related communications.

Answer: After accepting the Lease Offer, the successful tenderer will receive vacant possession of the Premises. The possession date, also known as the "Possession Date," will be three (3) weeks from the date of the Lease Offer. It is on this Possession Date that the successful tenderer will officially gain control and access to the JTC Factory.

Answer: The successful tenderer must accept the Premises on an "as is where is" basis. This means that the Premises will be delivered, or deemed to have been delivered, in the state and condition it is in on the Possession Date. The successful tenderer is considered to have full notice and knowledge of the state and condition of the Premises as of that date, including any defects, whether latent, inherent, or otherwise.

Answer: The successful tenderer is responsible for planning and constructing all necessary infrastructure for the Premises at their own costs, time, and expense. This includes infrastructure for access, roads, drains, and the provision of essential services such as electricity, water, telecommunication, gas, and any other required utilities. All infrastructure planning and construction must adhere to the requirements set by JTC, relevant Authorities, and utility service providers.

Answer: No, unless otherwise expressly specified or agreed, JTC's failure or delay to exercise any right, power, authority, or remedy, or any indulgence or forbearance granted by JTC, does not operate as a waiver or affect JTC's subsequent exercise of the same. Similarly, any extension of time granted to the successful tenderer by JTC does not constitute a waiver. JTC retains the right to exercise its rights, powers, authorities, and remedies as provided in the Conditions of Tender and the Lease Offer, and these rights are cumulative and not exclusive of any rights provided by law.

Answer: The term "cumulative" means that the rights, powers, authorities, and remedies provided in the Conditions of Tender and the Lease Offer are in addition to each other. This means that JTC has multiple options and courses of action available to them in case of any breach or non-compliance by the successful tenderer. JTC can exercise any combination of these rights, powers, authorities, or remedies as deemed necessary to address the situation.

Answer: No, the Contracts (Rights of Third Parties) Act (Chapter 53B) does not grant any person, other than the successful tenderer, the right to enforce or enjoy the benefits of the terms contained in the Conditions of Tender or the Tenderer's Packet. This means that only the successful tenderer who has been awarded the tender has the legal entitlement to enforce and benefit from the terms outlined in these documents.

Answer: The Contracts (Rights of Third Parties) Act is a legal framework that allows certain third parties to enforce contractual terms and obtain benefits under specific circumstances. However, in the context of the Conditions of Tender and the Tenderer's Packet, the Act does not apply. Therefore, parties other than the successful tenderer do not have the legal right to enforce or derive benefits from these terms.

Answer: The exclusion of the Contracts (Rights of Third Parties) Act clarifies that the terms and conditions stated in the Conditions of Tender and the Tenderer's Packet are intended solely for the benefit of the successful tenderer. This provision safeguards the intended rights and obligations of the parties involved in the tender process, preventing any potential disputes or claims by third parties seeking to assert their rights under the Act.