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Hawkers, netizens disagree with record bidder’s claim of S$10,000 rental value for food stall
A hawker’s record S$10,000 bid for a Marine Parade stall has sparked debate. While the bidder claims it’s justified by the prime location, fellow hawkers and online commenters warn it could set a damaging precedent, driving up costs and hurting both hawkers and consumers.
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A hawker who made a record-breaking bid of more than S$10,000 to rent a stall at Marine Parade Central Market and Food Centre believes that the steep offer is justified. However, other hawkers in the area have voiced their doubts, questioning whether the footfall and business potential can sustain such high rental costs.
Ms Yang Ailan, a seasoned hawker who currently runs a drinks stall in the same food centre, made headlines with her S$10,158 bid for a vacant stall at Block 84 Marine Parade Central. This bid, the second-highest for the unit, was just short of the S$10,680 offer that was eventually withdrawn.
Ms Yang’s bid is now the highest active tender for the stall, setting a new record for hawker stall bids in Singapore over the past six years.
Speaking to Channel News Asia (CNA), Ms Yang justified her bid, stating that it reflected the high value of property and rentals in Marine Parade. “Everything in Marine Parade is expensive, from home prices to shop rentals,” she said in Mandarin.
Ms Yang highlighted the prime location of the stall, which she believes is superior to another unit in the same centre that was rented out for S$6,800 last September. The recent opening of the Marine Parade MRT station in June has also boosted footfall by 20%, making the location more attractive.
Ms Yang hopes to secure the stall for her son, who, despite not being in the hawker trade, is an able cook. “Your parents are getting older by the day, you cannot just let them do all the hard work right?” she said, emphasizing the convenience of having two stalls close to each other, allowing family members to assist one another.
However, not all hawkers share Ms Yang’s optimism. Several hawkers CNA spoke to expressed skepticism about the stall’s value, given the high rental cost.
Mr Vijai Singh, a veteran hawker who has been operating a drinks stall at the centre since 1976, reminisced about better days when business was booming. He pointed out that customer traffic is no longer as robust as it was in the 1980s.
“Compared to the 80s last time, people want to pay S$6,000 to rent also nobody want to give. Business was so good, I rent out for what,” said the 70-year-old. He noted that competition from other malls in the east, such as Parkway Parade, has diluted footfall in the area.
Similarly, Mdm Lai, who has been selling roast duck at the hawker centre for about 30 years, doubted whether the increased pedestrian traffic from the new MRT station would be enough to sustain such high rent. “The passing crowd here is not large. Those who patronise my stall are usually regulars who live in the area, unless there is church service,” she said in Mandarin.
Both Mr Vijai and Mdm Lai agreed that the current footfall is insufficient to justify the high rental costs. They also noted that increasing food prices to cover the rent could deter customers, making it challenging to maintain profitability.
The debate over whether the stall is worth such a bid has also spilt over into online discussions, where many netizens have expressed their concerns on CNA’s Facebook page.
One commenter highlighted the broader implications of such high bids, stating, “No matter what, it’s not a private market goods but a social goods. This will set a precedent for all other hawkers and coffee shop owners to use this as a benchmark and a valuation point to sell or rent their stalls, regardless of the economic conditions.”
Another user criticized the decision, writing, “U choose to be carrot. The charge high high price to chop carrots. End of day, commoners suffer as they had to pay and pay. The landlords are the ultimate winners. Thank you for helping them get richer.”
Concerns about the potential impact on consumers were echoed by several others. One person commented, “This stall is very very crazy. Sell drink and hot drink. You need to operate 24/7 to survive… Good luck to you. See how long you can stay on.” Another warned, “This will set an unhealthy precedent for all the rest. Soon, standard rental will be 10k, and this cost will be passed to consumers. In the end, everyone loses.”
The sentiment that hawker stalls should not be subject to bidding systems was also prevalent. One user argued, “Hawker stalls should never be on the bidding system. After the initial contract, the rent will be adjusted to ‘market’ rate, so may as well keep it at market rate to begin with and help hawkers to keep costs low and provide affordable food to all.”
Another voiced concerns about the social impact, writing, “Sad, all hawker centres should be treated as social enterprises and not by tender! It should be a system that keeps the seniors occupied with customers & friends instead of locking themselves at home… For the younger generation, it will be good for them to try with lower cost risk, expand on their creative F&B ventures.”
The tender process for the stall, managed by the National Environment Agency (NEA), is still ongoing, and the results have yet to be announced. NEA has stated that all bids are subject to evaluation, and it retains the right to reject any bid, even the highest.
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Don’t patronize the store.
You bid high price and expect people to pay high price for your drinks/food.Same goes to having wedding dinner at 6/7 star hotel and expecting guests to contribute bigger angpow.
Just wait for IRAS to check account
At Newton Hawker Centre 1991
Johnson lock tendered a stall for $10,670 to just to sell roast duck.
Could not survive after 6 months later quit.
Law makers always claimed and practise they don’t interfere in free market.
This is A LIE WITH NO CONVICTION on the speaker.
In housing monopoly, HDB they apparent chose selectively what’s the free mkt constituent, what they permit and what they don’t permit – their free market design and application.
NEA wants stall holder to sell cheap and value food for Singaporean but yet they are doing this stupid tender bidding system. How to sell cheaper if the rental is so high. Ask yourself this la NEA. We still have to pay for food cost, water, gas, electricity bills, workers salary, etc….
Food centres are meant to be a place for nice and cheaper meals. How to have this when the system are like this.
Now hawker centre stall is not anymore for the poor who trying to make a living…..now is either for the rich….who bid for it at higher rent to secure for the stall so how are the poor be able to get one. ..
To discourage these nonsensical stall rentals in the future that will translate to higher prices for all consumers in the future, consumers please take note.
You know what do/what to avoid.
Hawkers in the 60 & 70 eke out a livelihood because they were poor with little education and employment opportunities.
Hawkers today are highly educated and rich and choose to do so to strike a fortune from the gullible and the lazy die hard hawker consumers who chose to eat out rather than to cook at home.
But when you ask any of them why they patronise the hawker stalls despite their high prices, they will give a standard reply ” what to do…? High prices also must eat what”.
haha income tax will go after this stall….good luck. tsk tsk tsk
S2
Store of Value takes on a life.
To exit an NEA hawker stall is easy and does not come with much cost. Unlike private operated food out where the stall owners are locked in for a 3years lease, there is no such lease period for NEA hawker stalls. The minute the going gets tough, stall owners can just give one month’s notice to quit. Therefore to Ms Yang, if sales is poor for consecutive 3 months, she may simply “return” the stall to NEA. That’s the reason why some bidders dare put in ridiculous high price. Let’s see if Ms Yang or her son still operates the… Read more »
“One commenter highlighted the broader implications of such high bids, stating, “No matter what, it’s not a private market goods but a social goods. This will set a precedent for all other hawkers and coffee shopowners to use this as a benchmark and a valuation point to sell or rent their stalls, regardless of the economic conditions.” Comment: this is reminiscent of the first million $ HDB flat sold in 2012 at Mei Ling Street. The trend of million $ flats is here to stay no matter what MND does. One can only wonder the effects on food prices were… Read more »
East Side: Piak Piak.
With all the private property around why Not.
Bidding, tendering, speculation, … all processes that’s entirely “normalised” in the already costliest city in the world, catapulting already sky~high prices of hawker stalls, bazaars, coe’s and public housing resales further !!! Can’t turn the clock back now, not when there are individuals and beings, caught up in this monetary madness, .., that’ll pay those sums !!! It’s the regime that’s introduced those “processes” and kept it “in play” and made it wholly acceptable as a way of SillyPore life. Now that it’s gotten way out of hand, this regime’s introducing cooling measures and conditions, … to attempt to “manage”… Read more »
If all the hawkers join forces and don’t bid, prices will come down.
This hawker is actually forward thinking. She knows the place has difficulty of having a vacant stall. She only need to pay her bid rent for 3 yrs and thereafter will revert to NEA market determine rate applying to all stalls there. She have a son who is a zi char cook now. Who will ooerste a cooked food stall. Cooked food stall has the highest profit among all. The MRT station at Parkway and will be operational this later part of 2024. She will win, she could even rent out this stall later at a much higher rent than… Read more »
Even the winner bidder Ms Yang said everything is expensive at Marine Parade, yet PAP and Minister wanted to pump in a $1m to run free shuttle bus services.
Neglecting so many other poorer housing estates that needed such free bus services more than Marine Parade
Are there money laundering indirectly jacking up the prices ? Singaporeans where got so rich typically?