1) Government & MCST Clerance
Do take note most units here are approved for factory usage. Warehouse or showroom usage is subject to URA, JTC & MCST clearance.
2) SLA Land Betterment Charges / f.k.a. DP
For showroom, commercial usage on land & differential premium maybe levied and occupiedr usually will be paying for the levy.
An 143sqm commercial levy can be billed anything around S$49K per year or usually S$140K for 3 years temporary permission.
Assume market rental rate now for ground floor is S$4K, the monthly depreciation after factoring the levy is around S$8K per month ($5.20psf) for a 143sqm factory space change of use into temporary commercial space.
4) CAPEX & Downtime on government and renovation compliance.
You may need to engage PE/QP to do submission and downtime can take awhere between 2-3> months prior approval. Upon approval, another 1-2 months renovation & another 1-2 months for inspection. Submission cost S$XX,XXX>, renovation cost $XX,XXX> etc.
5) Fire safety & public liability, you may want to increase your coverage such as S$3M.
6) If your furniture is mainly targeted at industrialist, another form of usage is known as ancillary display. But however if there's public consumer visiting, that could be deem as commercialise trade.
In summary, its better to own and have a longer CAPEX depreciation over rental as most Landlord wont grant you long rent free period if you are considering long term here.
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