Commercial and industrial property calculator
How does a shop, office or factory stack up?
Cap rate, price per sq ft and what a lease running down does to value, with non-residential stamp duty, SSD on industrial property and the loan you can take.
Commercial and industrial property calculatorPropInsights.sg
Cap rate
Net rent of S$54,700 a year over the price.
- Gross yield
- 3.90%
- Price per sq ft
- S$1,333
- Return over 5 years
- -1.8%
Cap rate: 2.74%. Net rent of S$54,700 a year over the price.
Gross yield
3.90%
12 x rent / price
Price per sq ft
S$1,333
Rent S$4.33 a sq ft a month
Cap rate after lease decay
-0.60%
Cap rate less 3.33% a year of straight-line decay
Return over 5 years, before tax
-1.8%
Yearly, all cash, no loan
Cash and CPF to put in
S$674,600
Loan S$1,400,000 (LTV limit)
Rent over the rest of the lease, at today's level, adds up to less than the price.
Net rent does not cover the loan payments (cover below 1.0).
S$, by years held. An assumption, not a market estimate.
Hover or use the arrow keys to read a value.
Chart data as a table
| Straight line to zero | |
|---|---|
| 0 | S$2,000,000 |
| 1 | S$1,933,333 |
| 2 | S$1,866,667 |
| 3 | S$1,800,000 |
| 4 | S$1,733,333 |
| 5 | S$1,666,667 |
Year 1, rent at 12 months.
Income
| Item | A year | Percent of price |
|---|---|---|
| Rent at 12 months | S$78,000 | 3.90% |
| Empty 1 month | -S$6,500 | -0.33% |
| Service charge, insurance, repairs | -S$9,000 | -0.45% |
| Property tax (10% of annual value) | -S$7,800 | -0.39% |
| Net rent (year 1) | S$54,700 | 2.74% |
Duties and costs
| Item | Amount |
|---|---|
| Buyer's stamp duty, non-residential | S$69,600 |
| Legal and other costs | S$5,000 |
| Price plus costs | S$2,074,600 |
| Value at exit after 5 years (your decay assumption) | S$1,666,667 |
| Seller's stamp duty if sold after 5 years | S$0 |
Loan limits
| Test | Result |
|---|---|
| Loan at your bank limit | S$1,400,000 (70% of price) |
| Largest loan by TDSR | S$3,333,557 (tested at 5%) |
| Loan used | S$1,400,000, limited by LTV |
| Monthly payment | S$8,857 at 4.5% over 20 years |
| Net rent cover of the payments | 0.51 times |
| Minimum cash | The rule files give no minimum cash for non-residential loans. Your cash is the price less the loan. |
| Cash and CPF needed | S$674,600 |
Assumptions and rules used
These are the values behind every number on this page. They are always shown.
- Rules applied as at
- 19 Oct 2026
- Lease value
- Straight line to zero
- Net rent
- Rent collected less service charge, insurance, repairs and property tax if you pay it
- Return
- Net rent each year, then sale at the value above less 2% costs and SSD; rent grows 0% a year
- Loan limit from the bank
- 70% of price (assumption)
Rules used
- property-tax.nonresidential, rule dated 1 Jan 2003: Non-residential property pays a flat 10% of annual value, with no owner-occupier discount. Source
- bsd.nonresidential, rule dated 15 Feb 2023: 1/2/3/4/5% bands; 4% on S$1m to S$1.5m and 5% above S$1.5m. Source
- ssd.industrial, rule dated 12 Jan 2013: Industrial property and land sold within 3 years of purchase: 15% in year 1, 10% in year 2, 5% in year 3. Source
- lending.tdsr, rule dated 16 Dec 2021: Total monthly debt repayments may not exceed 55% of gross monthly income (tightened from 60% on 16 Dec 2021). Source
- lending.stress-rate.bank, rule dated 30 Sep 2022: Banks compute the instalment for TDSR and MSR at the higher of 4% (residential) or 5% (non-residential) or the thereafter rate. Source
Limits of this tool
- The rule files give no loan-to-value, tenure or minimum cash rule for non-residential loans. The loan percent and tenure are your assumptions of what a bank offers. TDSR and its test-rate floor (higher for non-residential) are from the rules.
- GST on the purchase from a GST-registered seller is not included. Mixed-use land can be split between the residential and non-residential stamp duty tables.
- Lease decay is a simple assumption. Real prices of short leases do not fall in a straight line, and land value, rent and demand change.
- Return is before income tax. It is for all cash; the loan is not part of it.
Rule files last checked 4 Oct 2026.
Not financial advice; check current rules with IRAS and MAS. Results are estimates from the inputs and the dated rules shown.