Hao Mart Shrinks Singapore Outlets to Six Amid Legal Battles, Mounting Losses
Singapore's Hao Mart supermarket chain has scaled back dramatically, reducing its outlets from 51 to six over the past five years. The contraction follows significant financial losses and ongoing legal disputes, forcing the retailer to shutter most of its operations.
Rapid Contraction Follows Ambitious Expansion
Singaporean supermarket operator Hao Mart has reduced its retail footprint from 51 outlets to just six in almost five years. This sharp decline results from sustained financial difficulties and a series of legal challenges. Entrepreneur Tan Kim Yong launched Hao Mart in 2016, rapidly expanding its presence across the city-state. The chain reached its peak of 51 stores by 2021, despite Singapore’s crowded retail market.
Orchard Road Venture Turns Sour
A major five-storey concept store, Taste Orchard, at the OG Orchard Point building on Orchard Road became a central point of the company's troubles. Hao Mart signed a 7.5-year lease in 2021 for over 13,900 square meters of retail space, beginning September 2023. It sublet portions to food and beverage operators, retaining three levels for its Eccellente supermarket. The ambitious project quickly faltered, leading landlord OG to terminate the Taste Orchard lease in September 2025.
Legal and Financial Reversals
Hao Mart's financials reversed sharply. The company reported a $3.5 million profit in 2022, which turned into a $23 million loss in 2023. Losses widened to $49.6 million last year, according to company reports. OG sued Hao Mart for SGD6.6 million in October 2025, alleging SGD9.3 million in unpaid rent from January to November 2024 and unapproved subletting.
Hao Mart denied OG's claims, counter-suing for SGD3.5 million over an alleged oral agreement breach, Channel News Asia reported. Separately, Hao Mart sued a PropNex unit in August 2025, alleging misrepresentation in the Taste Orchard lease terms.
Hao Mart's significant scaling back demonstrates the intense competition within Singapore's retail sector, particularly for large-format supermarket spaces. The company's 2025 report cited underutilization, increased local competition, and a post-Covid-19 market deterioration as key factors.
Focusing on smaller, more manageable outlets, with continued capital support from its sole shareholder, suggests a strategic pivot towards capital preservation. This case highlights the operational challenges and capital demands of expanding retail operations in dense urban markets like Singapore.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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