Orchard Towers to undergo two-year makeover in a bid to shed shady past

SINGAPORE: Once plagued by sleazy joints and a seedy reputation, Orchard Towers is looking to reinvent its image with a complete makeover within the next two years.

A new external facade and claddings are in the works, and a number of family-friendly tenants are streaming in.

However, Orchard Towers’ attempt to put its past behind looks set to be an uphill battle.

Its management is still receiving complaints about dubious activities both in and around the vicinity week after week.

The 53-year-old building’s retail occupancy is also currently at about 70 per cent – relatively quiet and empty compared with its more modern neighbours along Singapore's busiest shopping belt.

NEW TENANTS MOVE IN

Nightlife outlets in Orchard Towers ceased operations earlier this year after the police stopped granting and renewing their licences.

Numerous bars and massage parlours that once dominated the building’s shopping levels have since moved out.

Replacing them are more family-friendly businesses including furnishing stores, pharmacies and eateries. Tuition centres and dance studios have also registered their interest in available spaces.

The building’s management said it hopes to attract startups and young entrepreneurs to set up shop so as to inject new blood and bring a different crowd to the vicinity.

New tenants said they are attracted to the building’s revitalising efforts and upgrading plans, as well as the affordable rent, which is about 15 per cent lower than its competitors along Orchard Road.

WHAT ARE BUSINESSES SAYING?

One antique shop said its owners spent some time surveying the premises to ensure that the area's sordid reputation would not affect its business, before moving in three months ago.

Mr How Ta Tuang, an advisor at The Antique Room, said the prime location was a major consideration, and is confident that the building's rebranding efforts would pay off. 

“In time to come, Orchard Towers is going to turn around, once they revamp this area. A lot of people will be keen to find out what is happening with this place,” he said.

Another shop specialising in carpets said that since moving in in May this year, it has seen business improving about 10 to 20 per cent each month.

“The number of people that we are getting (has improved) and the type of clients walking in has changed. The profile (of the building) has become a bit higher. All in, there has been improvement,” said Mr Abi Bagheri, managing director of Orientalist Woven Art.

He added that if the branding of the building could be brought up to par with nearby malls, Orchard Towers will be able to attract more tenants and footfall.

“The first look and impression of the building is so important for them (people) to walk in. A bigger and better variety (of shops) in the building will definitely change the atmosphere and the vibe here, and (entice visitors to) spend longer time here,” he said.

SOME ISSUES PERSIST

Despite efforts to clean up Orchard Towers’ image, some problems remain.

The management said it receives a complaint every two or three days on vice activities taking place in areas around the building, including from nearby residents who were allegedly offered sexual services.

While areas outside the building are beyond the management's jurisdiction, it hopes that the revamp will in time discourage such people from loitering around the vicinity.

Within the building, the management receives up to five public complaints per week on issues such as touting or dubious services. It has sought legal help and is determined to straighten out the mall for good.

“We're going to reverse that. But we need time, and we hope that the general public can understand and try to help us to bring change to our building,” said Mr Stevenson Goh, the building’s management representative.

CHALLENGES IN REBRANDING EFFORTS

Industry observers said Orchard Towers needs a deeper transformation and refresh more than just its building’s appearance to truly stand out along the stretch of malls.

Some even suggested a name change to help the building shed its boisterous past.

“The very mention of Orchard Towers immediately brings back the imagery of its notorious past. A total change of identity and repositioning exercise (could help),” said Mr Eugene Lim, a key executive officer at real estate agency ERA Singapore.

However, the building’s management said a large number of occupants rejected the move, citing sentimental value in the name.

Another challenge in the building’s rebranding efforts is that it is predominantly strata-titled – meaning each unit is individually owned, making it harder to control its tenant mix, said Mr Lim.

“Neighbouring malls are mostly centrally owned by one owner and so they have full control over their tenants. For Orchard Towers, large space users will not be able to come in unless the different owners band together and offer their space collectively,” he explained.

“Orchard Towers became what it was because individual owners naturally rent to whoever pays the most. Over time, those willing to pay the highest prices were the nightlife operators.”

He emphasised that tenants are the crucial building blocks for a successful mall.

“Mall traffic is dependent on the attractiveness of the shopping centre. A strong theme, such as a family-, sports- or technology-centred mall will definitely attract footfall, and set it apart from other malls in Orchard, most of which typically try to cater to the mass,” Mr Lim told CNA938.

“More interesting shopping malls tend to have more interesting anchor tenants. A new façade does nothing if you don’t do (up) the inside properly. The key is in the tenant mix.”