Heeton’s foray into hospitality began after the 2008 Global Financial Crisis, which significantly impacted various property markets. The group’s initial venture was to acquire two Thai hospitality properties. “We thought that it was a good idea to diversify into the hospitality segment,” says Ivan Hoh, CEO of Heeton Holdings (SGX:5DP
) , in an interview with The Edge Singapore. “In the property development business, we will frequently experience lumpy earnings. But our hospitality segment helps to contribute a constant stream of recurring income.”
Heeton Holdings, formerly a wet market owner in the late 1960s, has evolved significantly. Its first joint venture with Koh Brothers Development to develop Sun Plaza in Sembawang marked a pivotal moment. The development was launched in November 1999 with 93 speciality shops, including a supermarket, post office, library, cinema and food court. Sun Plaza later underwent a two-year-long asset enhancement initiative (AEI), completed in August 2015, to expand the mall by 5,772 sq ft and boost the total net lettable area to around 158,000 sq ft.
In 2011, Heeton entered the hospitality sector, owning and operating hotels. The group ventured into hospitality assets as part of its diversification strategy from property development. This move aims to establish a more stable stream of recurring income for the company.
