Drawing on their combined decades of experience, one of the key ideas the duo proposes is a hybrid retail model or 'department mall model' (Photo: Samuel isaac Chua/EdgeProp Singapore)
For Michael Leong and Tan Boon Tuck, friends and professional collaborators for more than three decades, the mounting challenges facing Singapore’s retail sector have become impossible to ignore. Rising rents, escalating manpower costs, and persistent hiring difficulties stemming from a tight labour quota system have weighed heavily on retailers, particularly over the past year.
“We’ve been talking about the challenges in the retail sector for some time,” says Leong. “But after a while, we realised that while many people were highlighting the problems, few were offering concrete solutions.”
That realisation prompted the duo to take action. Over several months, they collaborated on an extended opinion series proposing their own ideas for revitalising Singapore’s retail landscape. The result is “Reigniting Singapore’s retail scene: A two-pronged solution from gloom to bloom”.
Read also: Higher housing maintenance, repair costs push up Singapore accommodation inflation in January
“We are not saying our solutions are perfect,” Leong adds. “Some of them may be controversial, and there will undoubtedly be challenges. But these are not insurmountable.”
Leong: While many people were highlighting the problems in the retail sector, no one was offering solutions (Photo: Michael Leong)
Leong, currently an independent director of Singapore Exchange-listed construction and property development group Low Keng Huat (Singapore), brings more than 40 years of experience in Singapore’s retail sector. He has played a key role in shaping some of the country’s most prominent shopping malls, including Parkway Parade, Marina Square, Jurong Point and Nex.
At Jurong Point, he was involved in the mall’s expansion and the development of The Centris, one of Singapore’s early integrated developments combining a private condo, a shopping mall, and direct MRT connectivity. He later served as CEO of AsiaMalls Singapore — subsequently absorbed into Frasers Property Retail in 2020 — overseeing a portfolio that included Century Square, Hougang Mall and Tiong Bahru Plaza. Most recently, he was CEO of Keppel Land Retail Management until July 2017.
Tan, meanwhile, has been based in Taipei for the past eight years as COO of Syntrend Creative Park. During his tenure, he oversaw its transformation into a technology-lifestyle mall with a strong focus on tech, gaming and pop culture.
Tan began his career in Singapore as a retail banker before making a mid-career switch to the retail sector with the launch of The Heeren on Orchard Road in the late 1990s. Later, he joined Tangs, where he was involved in the opening of outlets at VivoCity and in Kuala Lumpur. Tan went on to launch City Square Mall and subsequently joined Millenia Walk. After retiring in 2015, Tan was persuaded by Leong to take on his role in Taipei.
Tan: The most important thing is for the shopper to feel good (Photo: Tan Boon Tuck)
Drawing on their combined decades of experience, one of the key ideas the duo proposes is a hybrid retail model in which landlords share part of the set-up and operating costs with tenants, particularly in areas such as manpower. They term this approach the “department mall”: a model that adapts the operating principles of a department store to the scale and complexity of a modern shopping mall.
Read also: Budget 2026: Work pass salary hikes may dampen rental demand, raise business costs
“The conventional system places landlords and retailers on opposite sides of a ‘Chinese wall’,” says Leong. “As a landlord, you collect rent — regardless of whether the retailer survives.”
Instead, the pair argue that both landlords and retailers should focus on why shoppers choose to spend time and money in a mall in the first place. Tan describes this as the shopping journey — the overall experience that leads to a purchase.
“The most important thing is for the shopper to feel good,” he says. “For most people, the happiest moment is the point of purchase — when you’ve found something you genuinely want.”
For more on the evolving retail landscape:
Reigniting Singapore’s retail scene: A two-pronged solution from gloom to bloom
Turn brownfield sites into specialty precincts, and greenfield sites into incubators for new ideas
Today's competitive retail scene calls for a 'department mall' model