Singapore legislation

Section 5

of Controlled Premises (Special Provisions) Act

Section 5

Compulsory acquisition of land where landlord fails to develop without reasonable cause

(1)

Where a landlord who has recovered possession of controlled premises pursuant to an order under section 4 fails or neglects without reasonable cause (the burden of proof whereof shall lie upon the landlord) —

(a)

to commence development in accordance with a plan for development approved for that purpose within 6 months of the date on which he recovered possession of the controlled premises, or such later date as the Board has allowed; or

(b)

to complete development in accordance with a plan for development approved for that purpose and within such time (being not less than 3 years and not more than 10 years) as the Board considers reasonable in any particular case,the Minister may, on the application of the Board, request the President who may, if the President thinks fit, direct the acquisition of the premises.

(2)

Where a landlord satisfies the Board that reasonable cause exists for his not commencing development under subsection (1)(a) or completing development under subsection (1)(b), as the case may be, the Board may consider any scheme whether proposed by the landlord or another person whereby the development of the premises may be commenced and completed in accordance with the plan for development and may approve any such scheme subject to such modifications, alterations and conditions as the Board may decide.

(3)

In this section, any question or dispute as to whether a landlord has commenced development or completed development shall be investigated by the Building Authority, who shall certify to the Board its opinion as to whether the development has been commenced or completed, as the case may be.

(4)

In subsection (3), “Building Authority” has the same meaning as in the Building Control Act [Cap. 29].

(5)

Where a direction has been made under subsection (1), the premises may be acquired in accordance with any written law relating to the acquisition of land for residential, commercial or industrial purposes and any declaration required under any such law that the land is so needed may be made notwithstanding that compensation has been paid by the landlord to any tenant under this Act or an ex gratia payment made to any other person.

(6)

Such a direction shall have effect as if it were a declaration that the premises are needed for residential, commercial or industrial purposes made under section 5 of the Land Acquisition Act [Cap. 152], and the provisions of that Act shall, subject to subsection (7), apply mutatis mutandis to a direction under this section as they apply to a declaration under that Act.

(7)

Where premises are acquired pursuant to a direction of the President under this section, the value of the premises shall be deemed to be the market value of the premises as on the date of the landlord’s application to recover possession of the premises made under section 4.