SINGAPORE — As part of strategies to propel Singapore’s economy forward, the Government will involve the private sector more in its development plans, including engaging on a “master developer” approach for an entire precinct akin to what was done for Marina Bay.

Speaking at the Real Estate Developers’ Association of Singapore’s (Redas) 57th anniversary dinner yesterday, National Development Minister Lawrence Wong also highlighted other key ideas currently being deliberated by the Committee on the Future Economy (CFE), including the setting up of Business Improvement Districts (BIDs), expanding space options and developing infrastructure to support a digital economy.

There is a need to involve the private sector more in its development plans, Mr Wong said, as he highlighted two possible partnership models.

The first is a “master developer” approach in the development of new districts. Citing the example of developments at Marina Bay, Mr Wong noted that the Government had put out much larger land parcels, compared to the previous practice of tendering only smaller plots for sale.

“Prior to Marina Bay, the way in which we sold land in Singapore was to sell land on a plot-by-plot basis … For Marina Bay, we did something different. We put out much larger land plots for the first time. It allowed the developer to optimise different uses and build in a more integrated manner. Because it was a much larger plot of land, we also helped to mitigate the risk by giving the developer options to phase out the project. So you don’t have to pay everything upfront in one cash outlay,” Mr Wong said.

Such an approach is already being used in London, for example, where private firms work with the local authorities in areas such as Canary Wharf and King’s Cross Central.

Another partnership model the Government is considering is the setting up of BIDs. In such districts, businesses are responsible for spearheading improvements to a defined commercial area.

“Under a BID, the property owners and retailers will be represented and they will have a say in what they want for the BID area. Together, the members of the BID will contribute funds, which would then be ring-fenced for use in the BID area and they will come up with their own solutions to make the BID area more attractive and increase footfall … It allows stakeholders to have direct ownership and responsibility in implementing plans for the area,” Mr Wong said.

Among other ideas the CFE is discussing, the minister said, is to prioritise expanding space options, and broadening Singapore’s infrastructure and economic development across the island. The Republic is continuing with its reclamation plans and embarking on new methods of reclamation that will reduce significantly Singapore’s reliance on imported sand. It is also studying how to create more underground space and make better use of it.

Additionally, with the growth of the digital economy, the Government is studying ways to strengthen its digital network infrastructure, including building better connections through sub-sea fibre optic cables and creating a “plug-and-play” environment for connected devices and Internet of Things applications, Mr Wong said.

At the dinner yesterday, Mr Wong also acknowledged the current challenges facing the property market.

“Overall we know and understand that the sentiments are weak, that there are challenging times ahead and the Government has assured Singaporeans that we are indeed monitoring the economic situation very carefully and we will be ready to respond with changes, with new measures if need be,” he said.

Redas president Augustine Tan, on his part, said that the association is supportive of CFE’s moves to develop strategies that will sustain economic growth vital to Singapore’s future.

“The real estate industry needs to harness innovation and technology to build the infrastructure of the future that will be more sustainable, smart and responsive to the ever-rising expectations of Singaporeans and commercial realities. We must continue to work closely with all stakeholders, from researchers and academia, to the rising start-up ecosystem to create an environment for better living and working — a Singapore that generations, present and future, can and will call home,” Mr Tan said.