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URA Change of Use Cost in Singapore: Fees, Penalties and Timeline Explained

Oct 23
5 min read

Updated: 3 minutes ago

URA Change of Use cost in Singapore, covering application fees and commercial property conversion expenses.

Every unit in Singapore has an approved use. If the one you want for your food business is approved for something else, such as retail, you may need a URA Change of Use before you can open, and the application fee is only one part of what that costs.


A standard URA change of use application costs $500. That fee is non-refundable, and URA generally takes 10 working days to assess it. If your use and building qualify for the Change of Use Lodgment Scheme, the fee drops to $150, and approval is instant. Some cases carry extra costs, such as a Land Betterment Charge collected by the Singapore Land Authority (SLA). Skipping approval costs far more. Under the Planning Act, a fine can reach $200,000, plus up to $10,000 for every day the offence continues after conviction.


The figures below come from URA’s published guidelines and the Planning Act 1998. Fees can change, so check URA’s guidelines before you apply.


How Much Does URA Change of Use Cost?

URA offers two routes, set out below. Both are submitted through GoBusiness Singapore, and which one applies depends on your intended use and the building, not on your preference.

Route or charge

Fee

Processing time

Who it suits

Standard Change of Use application

$500, non-refundable

Generally 10 working days; longer if incomplete or other agencies are consulted

Any use that does not qualify for lodgment

Change of Use Lodgment

$150, not refundable once approved

Instant approval, with an acknowledgement slip emailed the same day

Pre-identified uses in selected commercial buildings and first-storey shophouses that meet every condition

Land Betterment Charge

Varies by property

Assessed and collected by SLA; the landowner is liable by default

Changes of use that increase the land’s value

Lodgment saves you $350, about 70 percent of the standard fee. But it only works if you meet every condition. The premises must already be approved for commercial use, the change cannot increase the floor area, any approvals needed from other agencies, such as LTA or fire safety, must be in place before the use starts, and the new use must not have started yet.


URA lets the business owner, landlord, consultant or a Qualified Person submit the application. You can file it yourself, or use our URA Change of Use application service if you would rather have someone check the route and paperwork first.


Is the $500 Fee the Only Cost?

No. The $500 is only URA’s application fee. SLA may collect a Land Betterment Charge for the change of use, and your use may need clearances from agencies such as SCDF, LTA, NEA and PUB. After approval, you apply separately for licences, such as the SFA Food Shop Licence, which costs $195 a year. If URA grants Temporary Permission rather than permanent approval, renewing it later costs another $500, and SLA may collect a Land Betterment Charge on the renewal too.


There is no fixed Land Betterment Charge. SLA bases it on the increase in land value that the approval creates. The landowner is liable to pay by default, although a tenant can take on the charge by giving notice to SLA, so agree with your landlord who will pay before you sign.


Once URA approves the use, your food licence application comes next. Budget for both, because a food business cannot open on planning approval alone.


What Is the Penalty for Operating Without URA Approval?

Carrying out development, which includes a material change of use, without planning permission is an offence under section 12 of the Planning Act 1998. The fine can reach $200,000, with a further fine of up to $10,000 for every day the offence continues after conviction. A repeat offender can also face up to 12 months in jail.


Put the top fine next to the application fee. It is 400 times the $500 you would have paid to apply.


The daily fine applies for every day the unauthorised use continues after conviction. At the maximum rate, 20 days would add another $200,000.


How Long Does URA Change of Use Take?

URA generally takes 10 working days to assess a standard Change of Use application, which is about two weeks. It can take longer if your submission is incomplete or URA needs to consult other agencies. Lodgment applications are approved instantly, with an acknowledgement slip emailed the same day.


You can cut avoidable delay by submitting a complete set. URA asks for a location plan if your unit is in a multi-unit building, a floor plan showing the proposed layout and use, the owner’s letter of consent, and any clearances from other agencies that apply to your use.

URA also advises you not to commit to a tenancy or start renovation before you receive its decision. An application can be approved or disapproved, so the decision comes first and the lease comes after.


Can’t I Just Apply Myself?

You can. URA accepts applications from business owners directly. The risk is paying $500 for an application that is then disapproved, because the fee is not refunded. With over 20 years of experience across the private food industry and the government sector, we help you check which route applies and whether your use is likely to be allowed at the unit before you submit.

If you are weighing up a unit right now, get in touch with CMM Food Consultancy or call +65 9758 5888. We will go through the route, the clearances and the likely costs with you before you sign a lease.


FAQs


How can I check whether my business is allowed at a unit before I sign?

Start with URA SPACE, which shows the allowable and last approved uses for all shophouses and selected commercial and industrial properties. If your unit is not covered, URA’s Enquiry on Approved Use of Premises service tells you the unit’s approved use for $54.50 per enquiry. It replies instantly if the record is in URA’s online database and otherwise takes about 10 working days. It does not tell you whether a change of use would be allowed.


The last tenant ran a restaurant. Does that mean I do not need approval?

Not necessarily. What matters is the approved use of the unit, not what the previous tenant did there. Confirm the approved use first, using the checks above.


Can I use the lodgment route for a shophouse in Chinatown?

Not if the shophouse is a conserved building. URA excludes conserved buildings in the Historic Conservation Areas, which are Chinatown, Kampong Glam, Little India, Boat Quay, Blair Plain, Emerald Hill and Cairnhill, from lodgment, so they need a full application.


What if I have already signed the lease and URA says no?

The $500 fee is not refunded, and whether you can get out of the lease depends on its terms. If you have not signed yet, consider asking your landlord to make the lease conditional on URA approval. It is far easier to ask before you sign than after.

 
 
 

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