From mixing concrete to developing green property

As a developer, Arthur Aw's goal is to encourage residents or tenants to adopt the eco-conscious lifestyle

Nov 20, 2021



BACK in 1984, 19-year-old Arthur Aw spent his post A-level break moving cement bags, mixing concrete and tiling roofs for Jervois Mansions, Kimen Group's first real estate development.

While he did so mainly to build his physical fitness, his father, the founder of Kimen Group, saw it as a chance to impart humility, gratitude and a strong work ethic.

Since then, Aw has been involved in a collection of other property developments, including Seletar Aerospace Park as JTC's director of land planning and CapitaLand's 79 Robinson Road during his time with the group.

But as he sits in the executive director's seat at Kimen today, Aw still holds on to those values he obtained nearly 40 years ago.

Going back to its roots

Kimen has been turning heads since its redeveloped Jervois Mansion (known as Jervois Mansions before redevelopment) moved 104 units out of the 105 offered for sale by the end of its launch weekend last month.

Founded in 1971, Kimen Group is an investment holding company set up by Aw Kim Chen to better manage income from his expansive rubber trading business, as well as diversify into real estate.

In its early days, Kimen was run with the help of Aw Kim Chen's children, Aw Soo Eng, Aw Chye Wee and Aw Seoh Bee. The 3 have since retired and were succeeded by current executive directors Aw Chye Huat and Arthur Aw.

Kimen's investment portfolio includes public equities, private equity funds, semiconductor equipment leasing, as well as performing and distressed debt funds, to name a few.

In real estate, besides Jervois Mansion, Kimen is the co-owner and co-developer of Soloha boutique hotel. It is a joint project between Kimen and the Aw family's core business, Aw & Sons.

Arthur Aw noted that the hotel was inspired by his father's hopes of going into the service industry as a way to better understand consumer sentiments and needs.

Located along Keong Saik Road, Soloha is within 700 m of 4 MRT stations and the upcoming Maxwell station.

He said: "We value agility, which means being able to manoeuvre different market conditions, identify opportunities and act quickly."

Built in a refurbished shophouse, the project is also in line with Kimen's goals of creating unique developments.

"Kimen is a small fish in a big ocean. We're not trying to compete with the big boys in the market. Our strategy is to look at small projects where we can harness our specialities and create value," Aw added.

Outside Singapore, in 2013 Kimen bought 2 apartment units in London - at Arthouse and Sterling Mansions - to test waters in the new market.

"Location is fundamental to real estate. You can invest anywhere you like, but it's hard to invest well in an area that you don't really know."

Having spent years studying in London, Aw grew familiar with the area and felt that it was a suitable step forward for the company. He said: "We decided to test our market knowledge and capabilities by buying single units first before developing our own."

The units are currently rented out to working professionals, and have appreciated by about 60 per cent in value, said Aw.

Branching out to new markets

Despite its impressive numbers, Kimen's success is not without a struggle. Aw noted that the company's biggest challenges include talent acquisition and growth.

He acknowledged that some people might be more comfortable working in large firms instead of SMEs like Kimen, because of the higher prestige or pay that the big companies can offer.

Another challenge, he noted, is that land in Singapore is scarce, which makes it increasingly challenging to grow as a developer.

"So we need to diversify. We are looking at other areas, markets and asset classes," Aw remarked.

As a solution, Kimen launched a subsidiary company, SEEDoE Ventures, in 2019.

"The name SEEDoE is short for 'seed of emunah', which in Hebrew means faith. As a family holding business, a lot of time you keep everything inside. So the idea behind this company is for us to step out of our comfort zone and venture beyond Singapore to embrace greater collaborations and partnerships," Aw said.

The company serves as an incubator for individuals and small firms overseas, who have insight and ideas they would like to share and see to fruition.

"This will allow us to expand beyond our typical portfolio," Aw noted.

Through SEEDoE, Kimen is also be able to tap into local expertise and ease its transition into new markets.

Aw also hopes to curate passionate talent who share the same sense of value and purpose in their work.

He said: "We will grow, but we will continue to be a lean team. Flat, dynamic, transparent and close - just like a family."

SEEDoE is currently developing a boutique residential project in Central London in collaboration with a local London partner.

Sowing seeds of sustainability

While Aw's father fostered his interest in property, his mother taught him to care for the environment. And this, too, has translated into his work.

Scheduled to be completed between Q4 2025 and Q1 2026, Jervois Mansion will be the first private residential development in Singapore to be granted the Green Mark Gold Plus Super Low Energy certification by the Building and Construction Authority. Meanwhile, SEEDoE is also integrating sustainability into its current project in London.

However, to Aw, being sustainable is "not about winning green awards".

"It's about designing a place, be it residential or commercial, which users or residents would co-own and co-sustain," he said.

"I believe we, as citizens of planet Earth, must do our part to ensure its sustainability for future generations. My mom, Madam Chew Ngui, who is 93 years old, has practised this throughout her life. She has been my role model," he added.

As a developer, his goal is to encourage residents or tenants to adopt the eco-conscious lifestyle as well. This is done by building community gardens and hosting workshops on his sites, for example.

Aw also noted that there is demand for green developments, especially from the younger buyers.

"It is my belief that this will gain more and more importance," he said.