Netizens raise concern over local brands squeezed out after Tom & Stefanie lease not renewed at Hillion Mall
Homegrown children’s retailer Tom & Stefanie will close its Hillion Mall outlet at the end of May after its lease was not renewed. The announcement prompted online concerns over rising commercial rents, with some netizens warning that increasing costs may gradually push smaller local retailers out of malls.
- Local children’s brand Tom & Stefanie will shut its Hillion Mall outlet by end-May after the landlord declined to renew its lease.
- The company said the proposed rental terms were significantly higher than what the small business could sustain.
- The mall management said it had offered the retailer an alternative unit but plans to refresh its tenant mix in the area.
SINGAPORE: Homegrown children’s retail brand Tom & Stefanie announced that it will close its outlet at Hillion Mall at the end of May after its landlord decided not to renew the lease.
The announcement has sparked debate online, with netizens questioning the mall management’s decision and raising concerns about rising commercial rents forcing local businesses out.
Some commenters urged authorities to consider policies or guidance that could help balance landlords’ commercial interests with the survival of homegrown brands.
Long-running brand says it was “asked to leave”
The brand, which has been operating in Singapore for more than three decades, shared the news in an Instagram post. The store at Hillion Mall had been operating for six years.
In the post, the company wrote that it “did not lose the store”, but was instead “asked to leave”.
The brand said it had maintained consistent sales and continued to attract returning customers over the years, including families who visited the store during festive seasons and birthdays.
Despite this support, the company said it was ultimately unable to secure a lease renewal.
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Rental increase cited as main challenge
The brand’s team said discussions to renew the lease took place before the existing contract expired.
During the negotiations, the landlord proposed rental terms that were significantly higher than what the business could reasonably sustain.
The company said that as a small independent brand operating with tight profit margins, such rental increases would leave limited room to cover operational costs.
According to the brand, tenants at the mall are required to report their sales performance each month.
Even with consistent customer support and regular footfall, the proposed rental terms were assessed to be financially challenging for the business to continue operating at that location.
The company added that even if it were able to match the proposed rental figures, it was informed that the landlord preferred to allocate the space to a food and beverage tenant.
Mall management says alternative unit was offered
In response to media queries, management of Hillion Mall said the retailer had been informed of its intentions in advance.
The mall told local media 8 Days that it had offered the brand an alternative retail unit within the premises, but the offer was not taken up.
Mall management added that it regularly reviews its trade mix to ensure that its tenants reflect the evolving needs and preferences of shoppers.
Following an evaluation, the mall decided to refresh the tenant mix at Basement 1 as part of efforts to rejuvenate the shopping experience.
Brand expresses concern for long-serving staff
In its announcement, Tom & Stefanie also highlighted concerns about its employees.
The brand said the closure affects several long-serving staff members who have worked with the company for many years.
It said the team has always tried to retain and support employees whenever possible, though the current business environment may require difficult decisions regarding staffing.
The company previously operated up to 10 outlets across Singapore at the peak of its operations.
Currently, its remaining stores at Eastpoint Mall, PLQ Mall and Woodlands Civic Centre remain open.
Storewide sale before final closure
Before the outlet closes, the Hillion Mall branch will hold a storewide sale.
The brand said the sale was intended to allow customers to bring home the store’s toys and clothing items before operations end.
The company also invited families who have supported the store over the years to visit the outlet before its final day of operation at the end of May.
Netizens share memories and reactions
Online reactions to the announcement reflected a mixture of nostalgia, frustration and concern over Singapore’s retail landscape.
Some netizens said rising rents have increasingly squeezed out smaller local businesses.
Several criticised the landlord, questioning whether higher-paying tenants were being prioritised over long-standing local brands despite strong customer loyalty.
Many expressed a sense of urgency for policymakers to act, tagging government accounts, calling for protection of Singapore’s homegrown businesses and cultural spaces.
Some netizens shared their memories and reactions online, expressing both sadness over the closure of the long-running store and frustration at the broader retail environment.
One commenter wrote, “Many wonderful memories at West Mall since the opening in 1998. Bought many things there for children, staffs are polite and helpful. A must go store!”
Another noted the importance of having an online presence to weather the uncertainties of physical retail, saying, “That is why setup online presence. It is forever your domain name, your online shop. Physical location always at mercy of landlords.”
Others reflected on the personal significance of the store, with one sharing, “The shop my kids will always wanted to go in whenever we walked past, sad to hear that it will be gone soon.”
Lawmakers and tenant groups highlight challenges facing local brands
The non-renewal of Tom & Stefanie’s lease at Hillion Mall also comes amid wider concerns in Singapore, where retail and food businesses continue to face mounting operational costs.
Rising commercial rents have emerged as a key challenge for many operators in the sector.
In June 2025, the Singapore Tenants United for Fairness (SGTUFF), a cooperative representing more than 700 local business owners, released a white paper highlighting the urgent need for rental reforms.
The group said rental expenses can consume between 30 and 50 per cent of revenue for many food and beverage (F&B) and retail businesses.
Without policy intervention, it warned, many small local enterprises could struggle to survive.
On 2 March, at the Committee of Supply 2026 debate, MP for Marine Parade–Braddell Heights GRC Tin Pei Ling said Singapore SMEs face operational pressures, high rental and manpower costs, compliance burdens and the need for digitally skilled talent and AI strategies.
She highlighted speculation that foreign capital inflows are pushing up commercial rents and crowding out local operators, citing data that China is the second largest owner of retail businesses despite accounting for 3 per cent of them.
