REGIONAL CENTRES AND OFFICE DECENTRALISATION - A CASE STUDY ON JURONG EAST REGIONAL CENTRE

Abstract

Experiences of many cities all over the world show the crippling effects of an overdeveloped Central Business District (CBD). In the 1991 Revised Concept Plan, a new decentralised urban structure was proposed to facilitate decentralisation of commercial activities from the CBD. In so doing, congestion in the CBD can be alleviated, there will be more efficient utilisation of the transport system and shorter journeys to work. Among the types of commercial centres proposed, a Regional Centre has the highest potential to materialise the vision of the concept plan as it is the largest in size and located furthest away from the CBD. The success of Regional Centres will be greatly affected by the demand for the office space in these centres as the office component takes up half of the total gross floor area. In this research, the firms located at Jurong East Regional Centre were interviewed. The profile of the firms and the factors that influenced their location decisions were examined. The findings reflect that Jurong East Regional Centre has not attracted relocation of firms from the CBD. Instead, firms located at more inferior locations in the western region shifted into the Regional Centre. This enabled the firms to reap agglomeration benefits. It was also noted that a significant number of firms relocated from areas within the Central Region (outside the CBD). Thus, the development of Jurong East Regional Centre may not mpact the Central Business District directly but it will have an indirect effect on he CBD.