SINGAPORE: A tender for a clinic space in a Housing Board block in Tampines has sparked public debate after the winning bid came in at an eye-watering S$52,188 per month.
The tender, conducted via a sealed-envelope process, which closed on 14 January 2025, was awarded to Dr Lum Sian Wei Shaun, who outbid 12 other applicants for the commercial unit at Block 954C Tampines Street.
The unusually high rental price was first highlighted by Dr Hisham Badaruddin on LinkedIn, who described the sum as “obscene.”
“This is obscene—$52K per month for a clinic in an HDB area? Madness,” Dr Hisham wrote.
“And what will MOH say? I bet they will say rental in the private sector is out of their purview.”
Dr Hisham’s post was later shared on Reddit’s r/singapore forum on 1 June, where it quickly sparked debate over the sustainability of such rental rates.
The user questioned whether this was a new record for clinic rentals in HDB spaces, drawing a comparison to a recent HDB resale milestone.
In January 2025, a five-room flat at The Peak @ Toa Payoh became the first HDB unit to surpass the S$1.6 million mark.
“Now a $52K monthly rental for a clinic in an HDB area? Just wow,” the user wrote. “How do they even sustain?”
According to the user, the unit will reportedly house a new branch of I-Health, a GP clinic brand.
I-Health opened its first outlet in Boon Keng in 2019, followed by clinics in Yishun and Serangoon North.
The Tampines branch will be its fourth, with an expected opening in July 2025.
Netizens Question Business Viability
The Reddit post triggered a wave of public responses, many of which expressed concern over how the clinic would be able to recoup such high rental costs.
One user questioned whether the location itself justified the price.
“Is the unit so special that it can command $52K a month? Can they still make money?” they asked.
One user commented that the $52K rental fee is absolutely insane, noting that it is double or even triple the current market rate for renting in a populated HDB area.
“How do they even sustain?” the user asked. “It doesn’t seem right unless they are open for long hours or 24/7.”
Another user estimated that at $50 per consultation, the clinic would need to see at least 1,040 patients per month—about 34 patients per day if operating daily—just to cover rent.
“He still needs to cover for his clinic assistants and other overheads,” the user pointed out.
Another user assumed that rent might consume 50% of the clinic’s revenue, implying the business would need to generate at least S$104,000 every month to stay viable.
Others suggested that such high bids could only be sustained by well-funded group practices.
“That’s probably why I see more group medical practices opening in ulu or unconventional areas,” a user wrote, citing a Fullerton Health Hub outlet in their estate that appeared to have little foot traffic.
“There’s no way it’s surviving unless it’s backed by a large group.”
One user commented that sometimes, it is not ideal to accept the highest bid. However, this is just a clinic, and there will be other clinics accessible to residents.
They questioned why there was a need to sympathise with the rich doctor who wanted to pay extra money to the government.
High Bids in Open Tender Process
Some netizens noted that the high price was the result of an open tender process, where all bidders submit their preferred price.
One user commented, “Because some siaolang anyhow bid high, then become like that lor.”
They then pointed out that two clinics in the North had rents of $4.2K and $5K each.
The user added that in a closed bidding system, if the winning bid is literally twice the amount of the next highest bid, then the person might be spoiling the market.
Alternatively, there could be something special about that location that guarantees exceptional business.
One user commented that, similar to how some people pay S$1 million for an HDB unit, others in the same block may start to believe their HDB is also worth that much.
“Just because an HDB owner lists it for $1 million doesn’t mean someone will buy it,” the user said.
“There’s always a willing buyer and seller. Once the market cools down, you’ll see those who really need to sell letting go at market value.”
New Rental Tender Approach for GP Clinics
Ministry of Health (MOH) and Housing & Development Board (HDB) announced a pilot scheme on 8 May 2025 to jointly evaluate GP clinic tenders based not just on rental offers but also on service quality.
Under the new Price-Quality Method (PQM), now being piloted at Bartley Beacon in the Bidadari estate, 70% of the evaluation will be based on the quality of the proposal, and only 30% on the rental amount.
Factors such as care models, staffing standards, and operating hours will be assessed.
To accommodate more comprehensive care services, the Bartley Beacon unit will be approximately 100 square metres—double the size of a typical HDB clinic space.
The clinic is expected to begin operations in Q4 2025.
MOH stated that the pilot aims to enhance healthcare accessibility and better serve residents under the Healthier SG initiative.
Depending on its success, the approach may be extended to other clinic sites in the future.
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