In Singapore, your friend (the tenant) generally cannot ask for a takeover fee from a new tenant when giving up his shop space in the housing estate. Here's why:
* **Tenancy Agreement:** The terms of takeover fees are typically not included in standard HDB shop tenancy agreements.
* **Rights and Obligations:** The tenancy agreement establishes the rights and obligations between the landlord and your friend (the tenant). It doesn't grant your friend the right to find a replacement tenant or charge a fee for doing so.
**Alternatives for Your Friend:**
* **Negotiate with Landlord:** Your friend could try negotiating with the landlord to release him from the remaining lease term. The landlord might be willing to find a new tenant and potentially waive some termination fees in exchange for early vacancy.
* **HDB Subletting Scheme:** In some cases, HDB allows subletting of shop spaces with specific approval. However, this process involves restrictions and requires permission from both the landlord and HDB.
**Recommendations:**
* **Review Tenancy Agreement:** Carefully review your friend's tenancy agreement to see if there are any clauses related to assignment or subletting.
* **Contact HDB:** For specific guidance, your friend can contact the HDB branch that manages the housing estate for clarification on subletting regulations.
* **Open Communication:** Maintain open communication with the landlord throughout the process. Explain the situation and explore options that are mutually beneficial.
**Remember:** There's no guaranteed way to recoup any setup costs or lost profits when ending a tenancy early. It's best to explore options within the tenancy agreement and communicate openly with the landlord.
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