JTC Third-Party Build & Lease Scheme Singapore

A JTC Third-Party Build & Lease Scheme is a facility arrangement where an industrialist works with a qualifying third-party facility provider to develop a customised JTC industrial facility. The industrialist then leases the completed facility and occupies it for its own approved industrial operations.

In Singapore, the proposal is usually assessed together with the industrialist’s approved use, operational requirements, space productivity, investment plans, employment contribution, value-added activities, and long-term business commitment.

A properly prepared proposal should clearly explain why the facility is needed, how the space will be used, and how the proposed structure meets JTC anchor-tenant requirements.

A third-party facility provider is the party that develops, owns, or acquires the industrial facility and leases it to the industrialist.

Depending on the structure and JTC’s prevailing requirements, third-party facility providers may include REITs, funds, trusts and developers, as well as other eligible entities with the relevant development, ownership or investment capability.

For JTC-related industrial properties, the proposed structure must be reviewed carefully against the approved industrial use, anchor tenant arrangement, lease conditions, subletting requirements and other applicable JTC policies.

The anchor tenant is the key industrialist that occupies and uses the facility for its own approved industrial operations.

Under the JTC Third-Party Build & Lease structure, the anchor tenant is generally expected to occupy at least 70% of the Gross Floor Area of the facility. Where there is more than one anchor tenant, each replacement anchor tenant should generally occupy at least 1,000 sqm, subject to JTC’s assessment and prevailing requirements.

The anchor tenant’s business case should clearly explain the operational need for the facility, proposed activities, space usage, machinery and equipment requirements, manpower plans, projected business growth and economic contribution in Singapore.

A Sale and Leaseback Singapore structure usually involves an industrialist selling its existing completed industrial facility to a third-party facility provider and leasing the property back for continued business operations.

This structure may be considered by industrialists who wish to unlock capital from their existing industrial property while continuing to operate from the same facility. It may also be relevant to REITs, funds, trusts, developers and investors reviewing industrial property acquisition opportunities with an established operating tenant.

For JTC industrial property, Sale and Leaseback arrangements must be reviewed against JTC’s prevailing policies, lease conditions, assignment requirements, permitted use, anchor tenant criteria and long-term site utilisation.

A JTC Third-Party Build & Lease or Sale and Leaseback proposal is not only a property transaction. It is also a regulatory and business justification exercise.

The proposal should clearly explain why the facility is required, how the space will be used, whether the proposed layout supports the industrialist’s operations, and how the structure complies with JTC’s requirements.

Common areas that require careful review include:

• Anchor tenant eligibility and business justification.

• 70% Gross Floor Area occupation planning.

• Use of the remaining space, where applicable.

• Permitted industrial use and operational compatibility.

• Third-party facility provider structure.

• Investment, machinery and equipment requirements.

• Employment and value-added contribution.

• Projected revenue and future business plans.

• Lease terms, assignment conditions and regulatory approvals.

A poorly structured proposal may result in delays, additional clarification requests, or difficulty in demonstrating the industrialist’s operational need for the facility.

AFM provides practical industrial property advisory support in Singapore for JTC Third-Party Build & Lease and Sale and Leaseback proposals.

Our scope may include:

• Preliminary review of the proposed transaction structure.

• Assessment of the industrialist’s operational requirements.

• Review of anchor tenant and 70% GFA occupation requirements.

• Preparation of business plans and operational justifications.

• Review of projected revenue, employment, investment and value-added contribution.

• Assistance with JTC submission documents and supporting explanations.

• Coordination with clients, property owners, developers, REITs, funds and relevant stakeholders.

• Review of potential regulatory concerns before submission.

• Clarification support during JTC’s review process.

Our objective is to help clients present a clear, compliant and commercially practical proposal that explains the operational, economic and property rationale for the proposed structure.

AFM assists a wide range of clients involved in JTC industrial property transactions and facility planning.

These may include:

• Overseas manufacturers entering Singapore.

• Existing JTC lessees considering Sale and Leaseback structures.

• Developers planning purpose-built industrial facilities.

• REITs, funds, trusts and developers reviewing JTC industrial property structures.

• End-users seeking long-term operational facilities.

• Companies requiring JTC anchor tenant requirements advisory.

• Property owners and investors requiring JTC submission support.

• AFM may assist where a company is planning to appoint a third-party facility provider to develop a customised JTC industrial property.

• AFM may assist where an industrialist is considering a Sale and Leaseback Singapore structure for an existing JTC industrial facility.

• AFM may assist where a developer, REIT, fund, trust or investor requires support in understanding JTC’sanchor tenant, approved use and subletting requirements.

• AFM may assist where an overseas manufacturer is planning to locate in Singapore and requires guidance on JTC industrial property options.

• AFM may assist where the proposed facility structure involves multiple parties and requires a clear explanation of each party’s role, operational need and long-term commitment.

• AFM may assist where the client requires a clear business plan and operational justification for JTC submission.

The JTC Third-Party Build & Lease Scheme allows an industrialist to appoint a qualifying third-party facility provider to develop a customised industrial facility. After completion, the industrialist leases the facility from the third-party facility provider under terms agreed between both parties.

A third-party facility provider may include qualifying developers, REITs, investment funds, trusts or other eligible parties with the ability to develop, own and lease industrial facilities, subject to JTC’s assessment and prevailing requirements.

The anchor tenant is the main industrialist occupying and operating from the facility. The anchor tenant must be able to justify its operational need for the space and show how the facility supports its approved industrial activities.

Under the JTC Third-Party Build & Lease structure, the anchor tenant is generally expected to occupy at least 70% of the Gross Floor Area of the facility. The remaining space, where applicable, must be managed in accordance with JTC’s requirements and approved use.

The remaining space may be considered for other compatible industrial users, subject to JTC’s assessment, approved use and applicable requirements. The arrangement should support the overall facility structure and should not undermine the anchor tenant’s role.

Under Build & Lease, the third-party facility provider develops a customised facility for the industrialist. Under Sale and Leaseback, the industrialist sells an existing completed facility to a third-party facility provider and leases it back for continued business operations.

Further approval may be required if there are material changes to the approved anchor tenant arrangement, Gross Floor Area occupation, use of space, business activities or facility structure. Each case should be reviewed based on JTC’s prevailing requirements and the specific lease conditions.

A business plan helps explain the industrialist’s operational need, projected business growth, investment plans, employment contribution, space utilisation and long-term commitment to Singapore. It supports the commercial and regulatory rationale for the proposed facility structure.

For a JTC Third-Party Build & Lease Scheme, Sale and Leaseback, Anchor Tenant Application, Assignment of Lease or Lease Renewal proposal, the length of the business plan depends on the complexity of the project, the size of the facility and the amount of supporting information required.

As a general guide, AFM usually produces an 80- to 120-page JTC business plan for more complex industrial property submissions. This allows the proposal to properly explain the company’s business model, operational requirements, space utilisation, machinery and equipment investment, manpower plans, financial projections, value-added activities, anchor tenant justification and long-term commitment to Singapore.

A shorter submission may not provide sufficient context for complex JTC applications, especially where the proposal involves 70% Gross Floor Area (GFA) occupation, third-party facility provider structures, redevelopment, lease renewal, sale and leaseback, or multiple stakeholders.

Yes. AFM can assist overseas manufacturers entering Singapore that require guidance on JTC industrial property options, Build & Lease structures, anchor tenant requirements and submission preparation.

If you are planning a JTC Third-Party Build & Lease Scheme, Sale and Leaseback Singapore structure, anchor tenant application or industrial property submission, AFM can help assess the proposed structure and prepare the supporting business justification. Schedule Time With Us

We’re proud to serve a wide array of industries and business sizes, including:

• ✅ Listed Companies (20.39%)

• ✅ Multinational Corporations (28.16%)

• ✅ Small and Medium Enterprises (51.45%)

Our diverse client base spans:

Sector (% Share)

• Chemical / Gas (8.74%)

• Construction / Engineering (14.56%)

• Distribution / Warehousing (11.65%)

• Food Production / Distribution (12.62%)

• General Manufacturing / Engineering (12.62%)

• Logistics / Transportation (8.74%)

• Marine / Shipbuilding (13.59%)

• Precision Engineering / Cleanroom (6.80%)

• Retail & Distribution (4.85%)

• Waste Treatment / Automobile (5.83%)

We tailor our services to the unique challenges and opportunities of each sector.  Read our 2026 Featured Success Stories here >>

Alliance Facilities Management Pte Ltd is committed to transparent, ethical and compliance-led consultancy. We do not offer, solicit or accept improper gratification, and all JTC applications are prepared based on proper business, operational, financial and regulatory merits.

👉 Read our full Non-Corruption Pledge