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Sport Singapore completes takeover of nation’s Sports Hub

Sport Singapore completes takeover of nation’s Sports Hub
December 12, 2022

Government agency Sport Singapore (SportSG) has officially taken over the Singapore Sports Hub from SportsHub Pte Ltd (SHPL), managers of the 35-hectare sports and lifestyle precinct that includes the Singapore National Stadium.

SportSG took on the management of the through a new entity - Kallang Alive Sport Management Co Pte Ltd (KASM) - as of 9th December. KASM is a wholly-owned subsidiary of Kallang Alive Holding Co Pte Ltd, incorporated by SportSG and established to manage the precinct.

Previously, the Singapore Sports Hub had been run under a public-private partnership (PPP) by SHPL under a 25-year contract since 2010.

Following the announcement in June that SportSG would take over to gain greater control and flexibility over the precinct, Singapore-based youth-focused digital news platform, Mothership advised that the arrangement was terminated by the Singapore Government as a result of SHPL “falling short” of promoting community vibrancy as well as a "confluence of several reasons".

SHPL was engaged under the PPP in 2010 to design, build, finance and operate the Sports Hub.

The cost of this project was borne by SHPL, with SportSG paying an annual fee from 2014 to finance the debt and the operations of the Sports Hub.

According to Channel NewsAsia, the Singapore Government is paying about S$2.3 billion upon the PPP's termination.

The terms of the project agreement allowed for SportSG to decide if and when the project should be terminated and for the latter to take over the ownership and management of the Sports Hub.

Under the management of SportSG/KASM, it is planned that the Sports Hub will be made more accessible to Singaporeans by planning events such as regular Sports Hub ‘Open Houses’ and additional sporting events.

These plans will be complemented by the current plans to develop the Kallang area around the Sports Hub into a larger sporting and entertainment hub.

Dubbed Kallang Alive, the site will be transformed with additional sport, entertainment and lifestyle attractions by 2030.

Under this plan, the sporting facilities around Sports Hub - such as the Kallang Football Hub and the Kallang Tennis Centre - will be expanded, developed, owned and operated by SportSG.

Speaking about the takeover, Singapore Minister for Culture, Community and Youth, Edwin Tong, stated “we can celebrate a new chapter of the Singapore Sports Hub with our community and partners. This sporting and lifestyle facility is for all of us in Singapore, we will have activities and programs at this iconic Hub, which can bring the community together."

KASM Chairman, Keith Magnus added that the handover marked a "new dawn" for the Singapore Sports Hub, an "integral part" of the Kallang Alive master plan, which aspires to transform the precinct into the "premier sports, entertainment and lifestyle destination" in the region.

Writing on LinkedIn, SHPL Group Head - Infrastructure & Facilities, Peter Brock shared an insiders view of the handover process, commenting  “for the last six months, our team has successfully novated, renegotiated and in some cases terminated, (more than) 200 contracts.

“During this period we continued to host many international sporting events, including the sold out Liverpool FC v Crystal Palace friendly, OneFC and UFC events that were broadcast live to the USA, as well as my favourite concerts, such as Guns N Roses, JJ Lin, Billie Eilish, The Script, May Day and Maroon5.

“We all know how difficult it is to originate these deals, but let me say, closing down an operating business, including the unwinding of the financial structure, whilst undertaking the three year handback obligations in six months, all the while operating under the Performance & Availability Regime, has had its challenges, but ultimately a successful outcome was achieved.”

Following the 9th December handover, the Sports Hub will be staging a variety of events through to the end of January.

These are including live screenings of the ongoing FIFA World Cup 2022 matches, live music performances, sports try-outs, lion dance events, carnival rides and meetings with Santa.

Images: The Singapore Sports Hub with the nation's National Stadium on the left (top) and a concept for the Kallang Alive development (below).

About the author

Nigel Benton

Co-founder/Publisher, Australasian Leisure Management

Nigel Benton is the co-founder and Publisher of Australasian Leisure Management, Australia and New Zealand’s only magazine for professionals in all areas of the leisure industry. Having established the magazine in 1997, shortly after his relocation to Australia, he has managed its readership rising to over 11,500 and its acceptance as the industry journal for professionals in aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues.

In 2020, he launched the new Asian Leisure Business website.

Among a range of published works and features, his comments on a Blog (blogspot) from 2007 to 2011, when this website went live in its current form, may be interesting to reflect back on.

Click here to connect with him via LinkedIn.

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