What is available for JTC Industrial Land Tender in 2024 under the Industrial Government Land Sales (IGLS)?

Alliance Facilities Management Pte Ltd is a premier professional consultancy firm based in Singapore, offering a comprehensive suite of services to clients in the industrial property sector. Catering primarily to multinational corporations and small and medium-sized enterprises looking to expand their operations in Singapore, our team of experienced professionals is dedicated to guiding OUR CLIENTS through the complex process of navigating various industry property requirements, applications and business plan justifications to the authorities for approval. With our wide range of services, industry knowledge, and customer-centric approach, we are committed to providing an exceptional experience and delivering the best outcomes for our clients. 

We provide comprehensive information on the opportunities available for JTC Industrial Land Tender in 2024 under the Industrial Government Land Sales (IGLS) program. This includes historical data on JTC Industrial Land Sold from 2014 to 2024, a detailed FAQ section addressing the tender process, and insights into the contents of tender documents. We also offer guidance on mandatory occupation requirements, land and strata subdivision, tender submission, extension of tender validity period, tender deposit, stamp duty payment on tender acceptance letter, environmental baseline study, solar photovoltaic panels, controlling interest requirements for successful tenderers, consent for third-party development and building agreement, payment of tendered sale price, building agreement signing and payment, land possession, and sale, lease, and mortgage procedures.

Answer: 

• Historical Data of JTC Industrial Land Sold from 2017 to 2024

• Historical Data of JTC Industrial Land Sold from 2014 to 2016

Answer: LAUNCH OF FIRST HALF 2024 INDUSTRIAL GOVERNMENT LAND SALES PROGRAMME

The Ministry of Trade and Industry (MTI) has launched its Industrial Government Land Sales (IGLS) programme for the first half of 2024 (1H 2024). There will be 5 sites in the Confirmed List and 4 sites in the Reserve List, with a total site area of 13.75 ha.

Under the Reserve List, the Government will put up a site for tender if:

• (a) An interested party submits an application with an offer of a minimum purchase price that is acceptable to the Government; or

• (b) There is sufficient market interest in the form of more than one unrelated party submitting minimum purchase prices that are close to the Government’s Reserve Price for the site within a reasonable period.

Answer: Each tenderer is expected to have read and will be bound by the full notice and knowledge of the contents of the Form of Building Agreement, Form of Lease, the Conditions of Tender, and the Technical Conditions of Tender. This includes any additions, variations, and amendments to these documents made by JTC prior to the tender submission deadline.

Answer: Tenderers should be familiar with all plans, drawings, reports, and other documents referred to, mentioned in, appended or annexed to the Conditions of Tender and the Technical Conditions of Tender. These documents are made available by JTC and may be subject to additions, variations, or amendments.

Answer: Any changes, additions, variations, or amendments to the tender documents will be notified to purchasers of the Tenderer's Packets directly from JTC. Tenderers are responsible for staying informed about any updates made to the tender documents.

Answer: In this context, "Tender Documents" refer to the Form of Building Agreement, Form of Lease, the Conditions of Tender, and the Technical Conditions of Tender. It includes any changes or updates made to these documents by JTC.

Answer: The Mandatory Occupation Requirement stipulates that during the first five (5) years from the TOP Date, the Lessee must occupy at least 50% of the gross floor area of the Development. This requirement ensures that a significant portion of the developed space is utilized by the Lessee during the initial years.

Answer: The TOP Date stands for the Temporary Occupation Permit Date. It is defined in the Conditions of Tender and refers to the date when the Development is deemed to be completed and fit for temporary occupation. The Mandatory Occupation Requirement applies during the first five years from this date.

Answer: The Mandatory Occupation Requirement is put in place to ensure that the Lessee actively utilizes a substantial portion of the developed space within the JTC Factory. This requirement encourages occupancy and helps prevent underutilization of the facility, ensuring that the land is effectively utilized for its intended purpose.

Answer: Failure to meet the Mandatory Occupation Requirement may result in consequences outlined in the Conditions of Tender. It is essential for the Lessee to comply with this requirement to fulfill the obligations set forth in the tender agreement and maintain compliance with JTC's terms and conditions.

Answer: The Mandatory Occupation Requirement specifically applies to the first five (5) years from the TOP Date. After the initial five-year period, the Lessee's occupancy requirements may be subject to different terms and conditions, as outlined in the lease agreement and relevant provisions specified by JTC.

Answer: No, the Successful Tenderer is not permitted to subdivide the land or any part thereof. The land must remain as a single parcel and cannot be divided into smaller lots.

Answer: No, the Successful Tenderer is also not allowed to strata subdivide the land or any part thereof. Strata subdivision involves dividing the land into separate parcels with shared ownership, and it is not permitted under the conditions of the tender.

Answer: The Successful Tenderer is bound by the condition that prohibits any form of subdivision for the land acquired through the tender. This condition ensures that the land remains as a single unit throughout the lease term.

Answer: No, the Successful Tenderer is not permitted to explore or undertake any form of subdivision for the land, including strata subdivision. The condition explicitly restricts any division or subdivision of the land acquired through the tender process.

Answer: The tenderer should fill in and sign the Form of Tender provided in the Tenderer's Packet. The form is available in the format specified in Appendix A.

Answer: No, the Tendered Sale Price should not include any amount of GST chargeable under the Goods and Services Tax Act in relation to the lease of the Land.

Answer: The tenderer must deposit the duly completed Form of Tender in a sealed envelope. It is important to note that any tender submitted after the Tender Closing Time on the Tender Closing Date will not be considered.

Answer: For tenderers who are companies not incorporated in Singapore, they must also submit certified true copies of the following documents along with the completed Form of Tender:

(i) Certificate of Incorporation or registration in its place of incorporation or origin, or a document of similar effect.

(ii) Particulars of the company, including registered office address, principal activities, share capital, officers, directors, and shareholders, as registered with and maintained by the relevant authority at its place of incorporation or origin. These details should be certified by a director or corporate secretary of the company.

Answer: The certified true copies of the additional documents should be certified by a director or corporate secretary of the company.

Answer: All tenders submitted will remain valid for a period of ten (10) weeks.

Answer: Yes, JTC reserves the right to extend the Tender Validity Period by a period not exceeding two (2) weeks immediately after the initial Tender Validity Period.

Answer: Yes, JTC will provide all tenderers with a prior written notice of three (3) days regarding any extension to the Tender Validity Period.

Answer: Each tenderer is deemed to have agreed and accepted that their submitted tender will remain valid until the expiry of any extension to the Tender Validity Period.

Answer: Yes, every tenderer is required to pay a tender deposit. The deposit amount should be at least five per cent (5%) of the Tendered Sale Price.

Answer: The specific instructions regarding the payment of the tender deposit will be provided by JTC. It is essential for the tenderer to follow the instructions provided to fulfill the tender deposit requirement.

Answer: The tender deposit serves as a security measure and demonstrates the commitment of the tenderer. It ensures that the tenderer is serious about their offer and provides assurance to JTC regarding the financial capability of the tenderer.

Answer: Yes, the Successful Tenderer is required to pay the proper amount of ad valorem duty chargeable on the Tender Acceptance Letter under the Stamp Duties Act (Cap 312).

Answer: The Successful Tenderer must make the payment of stamp duty within fourteen (14) days from the date of the Tender Acceptance Letter.

Answer: Within ninety (90) days from the date of the Tender Acceptance Letter (inclusive of the date of the Tender Acceptance Letter) or the latest by 11:00 am on the 90th day from the date of the Tender Acceptance Letter, the Successful Tenderer must furnish JTC with a copy of the Certificate of Stamp Duty issued by the Commissioner of Stamp Duties for the Tender Acceptance Letter.

Answer: If the Commissioner of Stamp Duties allows an extension of time for payment, the Successful Tenderer may pay the duty within the extended time period. In such cases, the Successful Tenderer must furnish JTC with a copy of the Certificate of Stamp Duty issued by the Commissioner of Stamp Duties within seven (7) days from the date of payment of the ad valorem duty.

Answer: Yes, the Successful Tenderer is required to conduct an environmental baseline study (Environmental Baseline Study) for the parcel of land on which the JTC Factory will be developed.

Answer: The Environmental Baseline Study is conducted to assess the presence of minerals, hydrocarbons, and chemicals on and beneath the Land. It helps to establish a baseline understanding of the environmental conditions before the commencement of the development.

Answer: The Successful Tenderer is required to submit a written copy of the results of the Environmental Baseline Study to JTC within four (4) months from the commencement date of the Lease Term. This allows JTC to review and assess the findings of the study.

Answer: The Environmental Baseline Study is crucial for ensuring environmental sustainability and compliance with regulations. It helps identify any potential risks or contamination present on the land, allowing for appropriate mitigation measures to be implemented during the development process. By conducting this study, the Successful Tenderer demonstrates their commitment to environmental stewardship and responsible development practices.

Answer: Yes, the Successful Tenderer is required to install Solar Photovoltaic Panels (Solar Panels) on the roof of the building in the Development. However, the requirement for installation depends on the available contiguous roof area. If the building has an available contiguous roof area of at least 800sqm, Solar Panels must be installed. For areas with less than 800sqm or other parts of the Development, consultations with JTC and obtaining their consent are necessary.

Answer: The Successful Tenderer must ensure that the Solar Panels installed on the roof are consistent with the as-built drawings submitted to JTC. Additionally, they must maintain the Solar Panels and ensure that they are fully and continuously operational throughout the Lease Term. In the event of any additions or alterations to the Solar Panels, the Successful Tenderer must notify JTC and submit revised as-built plans and other necessary details as required by JTC.

Answer: The installation of Solar Panels aligns with JTC's commitment to sustainable and renewable energy practices. It promotes the use of clean energy sources and reduces carbon emissions. By mandating the installation and maintenance of Solar Panels, JTC encourages the adoption of eco-friendly practices in the development of the JTC Factory.

Answer: If there are any additions or alterations to the installed Solar Panels, the Successful Tenderer must inform JTC and provide revised as-built plans and other necessary details. This ensures that JTC has updated information on the Solar Panel system and ensures compliance with their guidelines and requirements.

Answer: Yes, if the Successful Tenderer, who will be signing the Building Agreement, is a company or includes one or more companies, there is a requirement for them to have a controlling interest in the company. This means that the shareholders of the company as of the Tender Closing Date must hold and continue to retain a controlling interest of more than fifty percent (50%) of the shares until the TOP Date (the date of the issue of Temporary Occupation Permit for the entire development).

Answer: Having a controlling interest means that the shareholders of the company hold more than fifty percent (50%) of the shares, giving them the majority voting power and control over the company's decision-making processes.

Answer: The Successful Tenderer, if they are a company or include one or more companies, must ensure that there are no transfers, allotments, or acquisitions of shares that would affect the specified controlling interest of more than fifty percent (50%) until the TOP Date. They must also inform JTC of any transfers, allotments, or acquisitions of shares, as well as any changes in shareholders and their shareholdings, up to the TOP Date.

Answer: The requirement for a controlling interest ensures that the Successful Tenderer maintains significant control over the company carrying out the development. This helps to ensure stability, accountability, and continuity in the development process until the TOP Date. It also allows JTC to have visibility into any changes in shareholding that may impact the project.

Answer: Yes, with the prior written consent of JTC, the Successful Tenderer has the option to appoint another company, whether existing or newly formed, to carry out the development of the JTC Land and sign the Building Agreement on their behalf.

Answer: Yes, subject to JTC's prior written consent, the Successful Tenderer can collaborate with one or more individuals or companies to carry out the development and sign the Building Agreement. This collaboration can take the form of a partnership or any other suitable arrangement.

Answer: Yes, if the Successful Tenderer seeks to appoint another company to carry out the development and sign the Building Agreement, they must ensure that they hold a controlling interest of more than fifty percent (50%) of the shares in the appointed company. This controlling interest should be maintained until the TOP (Temporary Occupation Permit) Date.

Answer: The requirement for a controlling interest ensures that the Successful Tenderer retains sufficient control and influence over the appointed company or the Land and Development until the TOP Date. This requirement safeguards the interests of both JTC and the Successful Tenderer in ensuring a successful and compliant development process.

Answer: The Successful Tenderer is required to make payments according to the following schedule:

(a) Payment of 25% of Tendered Sale Price: Within 28 days from the date of the Tender Acceptance Letter, the Successful Tenderer must pay twenty-five percent (25%) of the Tendered Sale Price (inclusive of the Tender Deposit) and the applicable GST. This payment should be made through a bank transfer to JTC's specified bank account.

(b) Payment of Balance of Tendered Sale Price: Within 90 days from the date of the Tender Acceptance Letter, the Successful Tenderer must pay the remaining seventy-five percent (75%) of the Tendered Sale Price along with the applicable GST. This payment should also be made via bank transfer to JTC's designated bank account.

Answer: The deadlines for payment are considered essential, and time is of the essence. The Successful Tenderer must ensure that the specified amounts, including GST, are transferred to JTC's designated bank account by 11:00 am on the respective due dates. It is important to note that the calculation of the days starts from the date of the Tender Acceptance Letter.

Answer: Upon receipt of the required documents and payments from the Successful Tenderer, JTC will provide them with the Building Agreement in duplicate. The Successful Tenderer must fulfill the following steps: (a) make full payment of the Tendered Sale Price and the applicable GST for the lease of the Land, (b) provide a copy of the Certificate of Stamp Duty along with a certified copy of the Tender Acceptance Letter, (c) submit the certified list/s of shareholders, and (d) execute the required Undertaking/s. The Successful Tenderer must sign and date both copies of the Building Agreement and return the original and duplicate to JTC within 21 days of the Building Agreement's date. JTC will then execute the Building Agreement and provide the original to the Successful Tenderer.

Answer: The Building Agreement is considered an integral part of the Conditions of Tender. Together with the Technical Conditions of Tender, they collectively form the terms and conditions of the Building Agreement as if they were explicitly included in it. However, in the event of any conflicts between the provisions of the Building Agreement and the Conditions of Tender or the Technical Conditions of Tender, the provisions of the Building Agreement will prevail and take precedence.

Answer: The Successful Tenderer will receive vacant possession of the JTC Land upon fulfilling the requirements stated in the Tenderer's Packet, which includes making the necessary payments and submitting the required documents as specified by JTC.

Answer: The commencement date of the Lease Term is established by delivering a letter to the Successful Tenderer, indicating the specific date from which possession of the Land is deemed to be handed over to them. This designated date will mark the beginning of the Lease Term.

Answer: By accepting the Land on an "as is where is" basis, the Successful Tenderer acknowledges and agrees to assume responsibility for the condition and state of the Land as described in the relevant section of the Tenderer's Packet. Any existing conditions, limitations, or factors related to the Land are accepted by the Successful Tenderer without alteration or modification.

Answer: The Building Agreement is a crucial component of the tender process for developing a JTC Factory. It outlines the terms and conditions that govern the construction and development of the factory on the allocated parcel of land. The Successful Tenderer is required to comply with the provisions of the Building Agreement and obtain prior written consent from JTC for any assignment, demise, or parting with the benefit of the Building Agreement.

Answer: No, prior to the signing of the Building Agreement, the Successful Tenderer is prohibited from mortgaging, charging, or encumbering the land and the development without the prior written consent of JTC. It is essential to ensure that no caveats or claims are lodged by any other party against the land and development. The Successful Tenderer must obtain JTC's consent before any mortgage or charge is created.

Answer: Upon or after the signing of the Building Agreement, the Successful Tenderer may apply for JTC's prior written consent to mortgage or charge the land and the development. To obtain consent, the Successful Tenderer or their solicitor must submit a Notice of Mortgage to JTC within seven (7) days from the date of creating the mortgage or charge. JTC's prevailing requirement is to receive and review this notice before granting consent for the mortgage or charge.

The information listed above is to be used as a reference resource for your personal consumption only. It is not intended to be and does not constitute financial advice, investment advice or any other advice, All applications are subject to final approval by JTC at JTC's discretion (including any terms and conditions that JTC may in its discretion impose with such final approval). While every endeavour has been made to ensure that the information provided herein is correct, ALLIANCE FACILITIES MANAGEMENT PTE LTD disclaims liability for any damage or loss that may be caused as a result of any error or omission.

• Statistics on Historical Data of JTC Industrial Land Sold from 2017 to 2024

• Statistics on Historical Data of JTC Industrial Land Sold from 2014 to 2016

• Statistics on JTC Prepared Industrial Land - Updated 4th Quarter 2023

• Statistics on JTC Ready-Built Facilities (Land Based) - Updated 4th Quarter 2023

• Statistics on JTC Industrial Property – Quarterly Market Report - 1st Quarter 2017 to 4th Quarter 2023

• Statistics on JTC Land Rent for JTC's Standard Factory and Purpose-built Factory - Updated 1st January 2024

• Historical Data of Industrial Properties Caveats Lodged from 2022 to 2024

• Historical Data of Industrial Properties Caveats Lodged from 2020 to 2021

• Historical Data of Industrial Properties Caveats Lodged from 2018 to 2019

• Historical Data of Industrial Properties Caveats Lodged from 2016 to 2017

• Historical Data of Industrial Properties Caveats Lodged from 2010 to 2015

• Historical Data of Industrial Properties Caveats Lodged from 2000 to 2009

Our key services include:

• JTC Assignment of Lease Application: We assist Clients in preparing successful proposals and business plans for obtaining approval for the JTC Lease Assignment or purchase of JTC property and industrial land.

• JTC Standard Factories Launch: We provide guidance on preparing successful proposals and business plans for obtaining approval for successfully purchasing directly from JTC for Standard Factories Launch and Tender Application.

• JTC New Industrial Land Application / Tender / Industrial Government Land Sales Programme (IGLS): Our team specializes in preparing, analyzing, and tendering for JTC Industrial Land.

• JTC Lease Renewal / Extension of Lease: We support clients in preparing successful proposals and business plans to obtain approval for applying for JTC Lease Renewal and Extension of the Lease.

• JTC Third-Party Build and Lease Scheme: We help clients successfully apply for JTC Third-Party Build and Lease Scheme.

• JTC Anchor Tenant Application: Our expertise enables clients to successfully apply for approval as JTC Anchor Tenant for industrial properties.

• JTC Concept and Price Tender: We guide clients in successfully applying for JTC factory under the Concept and Price Tender (CPT).

• Construction of JTC Factory / Industrial Developments Services: We provide consultation on Facilities Optimization and Construction of JTC factory.

• JTC Industrial Property – Market Research Reports: We offer up-to-date statistics on historical data of JTC industrial land sold, Prepared Industrial Land, Ready-Built Facilities (land-based), Quarterly Market Reports, JTC Land Rent for JTC's standard factory and purpose-built factory, and historical data of JTC properties caveats lodged from 2000 to 2024.

• Singapore Economic Outlook 2024: Quarterly Report on Singapore Economic Performance. Next Update 3rd week of May 2024.