A TikTok video discussing soaring rental costs along Haji Lane has sparked debate over whether local businesses are being priced out of one of Singapore’s most popular tourist districts.
The video, shared on Monday (12 Jan), referenced a CNA report which stated that more than 10 shops along Haji Lane had closed due to rising rents.
In the clip, the Original Poster (OP) said she came across the report and began questioning whether Singaporean businesses were slowly being edged out of the area.
Source: aliciatadah on TikTok
Quoting the CNA article, she stated that a foreign-born individual had allegedly been “snapping up expiring leases” by offering higher bids, before subletting the spaces at even steeper prices.
Monthly rents for some shops have also allegedly jumped from around S$3,000 to as much as S$10,000, making it unsustainable for small local brands to continue operating there.
Source: aliciatadah on TikTok
The OP also spoke about her personal connection to Haji Lane and the wider Arab Street area, recalling visits there as a child with her mother.
“That was where I spent most of my childhood with my mum… It was such a culturally diverse area with different food options as well,” she shared.
She feels the character of the neighbourhood has since shifted, with many stores now selling mass-produced souvenir items targeted mainly at tourists rather than locally designed goods.
While acknowledging Singapore’s free-market economy, she argued that unchecked rental hikes could eventually “snuff out” local identity due to rising commercial pressures.
“I don’t think I’m being xenophobic. If I am, please call me out,” she said, adding that Singaporeans are still figuring out what their cultural identity looks like.
According to the Ministry of Trade and Industry (MTI), retail leasing in Singapore is guided by the Fair Tenancy Industry Committee’s (FTIC) Code of Conduct.
The code outlines principles to promote fair and balanced negotiations between landlords and tenants, including rules against overcharging for utilities such as electricity.
“We will continue to work closely with FTIC to monitor industry practices and update the code as needed to ensure lease negotiations are conducted in a fair and balanced way,” an MTI spokesperson said.
Data from the Department of Statistics also shows that the number of retail and food & beverage establishments increased by about 19% between 2018 and 2023, pointing to stronger demand for retail space in recent years.
MTI added that it has no plans to impose rental caps, warning that such measures could distort the market and “could lead to unintended outcomes such as a reduced supply of premises for rent”.
The video drew mixed reactions online.
Some netizens agreed with the OP, saying rising rents are making it increasingly hard for local businesses to survive in tourist-heavy areas.
Source: aliciatadah on TikTok
Others echoed concerns that the growing presence of foreign-owned shops could erode Singapore’s cultural identity.
Source: aliciatadah on TikTok
However, some commenters felt the issue did not require government intervention, arguing that Singaporeans should adapt and find alternative solutions.
Source: aliciatadah on TikTok
Another netizen pointed out that Singapore already has other districts dedicated to preserving local heritage and culture.
Source: aliciatadah on TikTok
MS News reached out to the OP for more information.
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Featured image adapted from aliciatadah on Tiktok.