PropNex rolls out S$30m plan to help agents tide over 'circuit breaker' period

REAL estate agency PropNex on Monday announced a S$30 million support plan to help its 8,500 salespeople tide over the "circuit breaker" closure period mandated by the Singapore government.

The plan includes a S$25 million advance commission scheme which allows those who concluded and exercised deals before June 30, 2020 to apply for early release of interest-free commission capped at S$10,000 per person.

Developers generally take three to six months to release the commission, PropNex said.

The scheme also allows its salespeople, who are self-employed, to apply for early disbursement of commission for resale transactions submitted before March 31, 2020. The amount is capped at S$1,000 per transaction and limited to S$10,000 for each salesperson.

Meanwhile, PropNex's more than 250 team leaders or senior partners can apply for an advance on their management fee based on their average income for the last six months. This is capped at 50 per cent of the average income or S$10,000 per leader, whichever is lower.

The mainboard-listed firm also has a pension fund for its team leaders, and will release up to 40 per cent of the fund or S$10,000 per leader, whichever is lower. The pension fund monies are normally given to leaders after 10 years of employment, Ismail Gafoor, chief executive officer of PropNex Realty, told The Business Times.

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Each team leader is able to obtain a total advance of up to S$30,000, PropNex said.

The company is also waiving its 2021 annual convention and training fee of S$128, payable by each of its 8,500 salespeople. Additionally, it will subsidise up to 50 per cent of continuing professional development (CPD) training fees. Salespeople are required to attend three CPD courses per year in order to renew their licences.

In addition, PropNex is passing on S$100,000 worth of government rental rebates to its salespeople. This includes a 25 per cent discount for rooms and fixed seats in May and June 2020.

Mr Ismail said PropNex has created a 28-day webinar training schedule for its salespeople throughout the "circuit breaker" period. The training will help to upgrade their skills and professionalism.

PropNex shares were up one Singapore cent or 2.2 per cent at 45.5 cents as at 11.55am on Monday.