National Development Minister Chee Hong Tat recently shared that new laws are being prepared to formalise the Business Improvement District (BID) scheme. These changes follow the Urban Redevelopment Authority’s (URA) pilot programme, which has been ongoing since 2017. The new legislation is expected to be ready within the next two years, marking a major step in making this model a standard practice.
Table of contents
-
- The problem with voluntary contributions
- How owners will shape the BID
- Why does the BID scheme matter?
- Precincts already benefiting from the BID scheme
- How the Singapore River BID has made an impact
- Bringing back nightlife to the river
- Funding support from the government
- What could this legislation mean for you
The problem with voluntary contributions
Currently, only owners who willingly join a BID are required to pay membership fees. This voluntary model has created limits, because it means not all property owners contribute equally even though they enjoy the same benefits. To address this, a new BID legislation is being planned. Once it is in place, contributions will be mandatory for all eligible owners within a BID boundary. This change will make the funding system fairer and provide more certainty for long-term projects.
How owners will shape the BID
As a property owner, your role will be important. You will help decide the boundary of your district and the fee arrangement. After proposals are shaped, they will be brought to a vote. This gives you a voice in how your area is managed while ensuring that decisions reflect the agreement of the majority.
Why does the BID scheme matter?
The purpose of the Business Improvement District scheme is simple: to keep your precinct vibrant and sustainable. By pooling resources, property owners can fund a wide range of activities, from marketing campaigns and hospitality programmes to festivals and community events. These efforts are not just about drawing crowds. They are also about making your district a place where businesses thrive and communities feel welcome. In short, the BID scheme gives you and other owners a chance to take collective responsibility for improving your neighbourhood.
Precincts already benefiting from the BID scheme
You may already be familiar with areas that have benefited from this model. The Singapore River One (SRO) BID was the very first pilot, covering Boat Quay, Clarke Quay, and Robertson Quay. Beyond that, there are also active BIDs in Marina Central, Tanjong Pagar, and Raffles Place. Another example, the Marina Bay Alliance, operated as a BID from 2020 to 2023. These projects have shown how collective funding and joint ownership can breathe new life into commercial districts.
How the Singapore River BID has made an impact
The SRO BID has delivered several successful projects.
For instance, it has organised major festivals such as the Singapore River Festival and the St Patrick’s Street Festival. These events have drawn large crowds and boosted sales for local businesses. SRO also worked with food and beverage operators on an anti-touting campaign, which helped improve customer experiences along the river. All of this has shown how ground-up efforts can activate public spaces in meaningful ways.
Bringing back nightlife to the river
Another key impact of the SRO has been its role in rejuvenating nightlife.
By stepping up private security measures, SRO gave government agencies the confidence to ease restrictions in the area. As a result, new opportunities for nightlife were opened. For the first time in 16 years, businesses could submit proposals for new bars, pubs, and nightclubs along the Boat Quay waterfront. URA has already received 20 applications since mid-August, which are now being reviewed.
In addition, liquor licences in Boat Quay and Clarke Quay can now be extended until 4am on Thursdays and Fridays, adding more vibrancy to the night scene.
Funding support from the government
To encourage participation, the Government has also pledged financial support. Under the pilot scheme, every dollar raised in membership fees is matched by the Government, up to a maximum of S$500,000 each year. This has made it easier for BIDs to carry out ambitious projects without placing the full cost on property owners.
What could this legislation mean for you
The move towards mandatory contributions will make a big difference. Organisations like SRO will be able to plan long-term and create larger-scale initiatives because they can count on stable funding. At present, 70% of the 71 commercial property owners in the Singapore River area are already part of the BID. With the new law, every eligible owner will need to contribute, creating a stronger and more sustainable funding base.
Wrapping up
As these changes roll out, you will likely see more precincts transformed under the Business Improvement District Singapore model. With property owners playing a direct role, and with stronger funding support, districts across the city can become livelier, more attractive, and better managed. This means more footfall for businesses and more lifestyle choices for the community – a win-win for everyone involved.
The post Commercial property owners may see mandatory BID contributions by 2027 appeared first on .
