Singapore passed the COVID-19 (Temporary Measure) Bill earlier this month that required property owners to pass on 100% of rental rebate to their tenants, but small businesses that operate out of coworking spaces fall under a gray area of the measure.
Although property owners must pass down rental rebates to tenants, there is no stipulation that mandates tenants to pass the rebates down to subtenants.
“Nevertheless, we strongly urge and encourage all master tenants to pass on the savings from the rebate to their subtenants and to share the burden during this time of uncertainty,” said Lawrence Wong, National Development Minister.
Oo Gin Lee, founder of public relations firm Gloo PR, was working out of O2Work when he asked the center’s manager to reduce April fees since his company would have to work from home. He was told he would be kept posted for weeks and has yet to receive a proper response. Currently, he is paying $3,600 a month for a one-year membership.
Jenny Liu, chief operating officer for O2Work, said that the company did have plans to give rental rebates to members but had yet to work out all the details.
Flexible office provider JustCo also announced that it would be offering a multi-million dollar relief package with membership rebates of 15% to 30% for May, with the amount depending on how long the member has leased space.
