TENANTS FRUSTRATED AT LACK OF COMMUNICATION
Tenants confirmed the lease termination, referring to a letter sent by Hao Mart’s management on Sep 12.
CNA has seen the letter, in which Hao Mart said the agreement had been “discontinued” and instructed tenants to return “vacant possession” of their units in their original condition by Dec 31.
The letter added that the management appreciated the “professional and cooperative relationship” with tenants and was committed to ensuring that the transition is handled smoothly.
It was signed off by Hao Mart’s senior vice-president of operations, who said the management team would be in touch in the coming week to discuss next steps.
However, tenants said they have yet to receive further communication.
Many told CNA they still had at least two years remaining on their sub-leases and had invested significantly in their premises – costs they have yet to recover. Most had only started operations within the past year.
Mr William Yang, owner and managing director of Huicai Education, said about 20 tenants met with a lawyer on Tuesday to write to OG about the possibility of continuing their leases.
“We are consolidating the total loss that we suffered to give to Hao Mart,” said Mr Yang.
The tuition and enrichment centre, which occupies eight units on the fourth floor, began renting the space in September last year and spent six months renovating. It officially opened in March after spending over S$1 million (US$780,000) on renovations, including partition walls and flooring.
The centre now has about 200 students and 20 employees. Mr Yang said business had just begun to pick up and the company had broken even in July.
“So it’s a remarkable milestone for us. Going forward, we are about to make more money and recover our investments, but at this critical moment, they ask us to leave,” he said.
“This is not only going to affect the business, but also affect the students and the employees.”
He said the company would likely request an extension, noting that three months was too short to secure and renovate a new site.
“They asked us to reinstate (the premises). Before I came in, this was a bare unit. Nothing, not even a wall,” he said. “With such short notice, we don’t have enough time to do all the things, find a new place (and) renovate because my place is quite big.”
Huicai’s Taste Orchard outlet is its largest of four centres and serves as its headquarters.
“We thought this business (would) be around for many years so we invested very heavily in renovation and everything. Who is going to be responsible for this and who is going to help us with relocation?” Mr Yang asked.
Source: CNA
