Annual fee paid to Sports Hub Pte Ltd (SHPL)
Response to parliamentary question on what constituted the annual fee to SHPL and if the Project Agreement allowed for payment to be discontinued in the event of non-performance
14 September 2022
- About 65% of the annual fee of $193.7 million goes towards SHPL’s debt service repayments for the loan they took out to finance the Sports Hub construction. The remaining amount goes towards the day-to-day maintenance and operations, as well as lifecycle costs of the assets.
- These payments are subject to SHPL’s achievement of a broad and comprehensive range of Key Performance Indicators (KPI) stipulated within the Project Agreement. These include the availability of Sports Hub facilities and performance of services, such as events and activity programming, as well as cleanliness, estate management, security, and quality of customer care. Deductions to the annual payments can be made if the KPIs are not met.
Last updated on 14 September 2022