OKP Holdings Limited, a Singapore-based infrastructure and civil engineering company, plans to diversify into property development and investment this year, including taking on overseas projects which will mark an important change to the group.
Last year, OKP clinched several major projects, including a design-and-build contract to undertake work at Tampines Expressway and a S$2.5 million contract to enhance roadside drains in some residential estates.
In an interview with The Straits Times, Or Toh Wat, Managing Director of OKP, said that although the group is involved in the development of Angullia Park, an Orchard Road condominium, it still has limited experience in developing residential properties, compared with more established property developers.
However, OKP believes that it can overcome this weakness by making strategic alliances.
"What we will be doing is forming up joint ventures... We will find partners who are experienced and, by forming up joint ventures, your risk is shared."
The company has already established a subsidiary – OKP Land – that will explore property investment and development in all segments.
"Whether it's a prime site or whether it's a site in a suburban area, if we feel that piece of land has good potential... we will study and evaluate the potential before moving in for the land," said Or.
The group hopes that the reputation it has built on roadway construction could help it secure developments in countries like Myanmar, Indonesia and Vietnam.
"The Singapore market, no matter how open it becomes, is limited. We're constantly on the lookout for overseas jobs that allow us to apply our experience in Third World countries, hopefully we'll be able to participate in the growing of their economies," he added. Related Stories:
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