In today’s climate, many companies find it challenging to remain true to a social mission, while consistently generating profits. Hua Yang Bhd’s chief operating officer Ho Wen Yan tells us how the company has been achieving its mission over the past 30 years

While most developers have moved on to high-end luxury projects and overseas development, Hua Yang Bhd has remained true to its mission of providing affordable housing to the middle-income market. The main board listed developer has kept its offerings in the RM90,000 to RM380,000 range even as it clocked 30 years of operations and almost RM1 billion in completed projects throughout the nation last year.

It has achieved this while maintaining steady profits throughout the years – no mean feat for a company that started with eight four-storey shoplots in Jalan Gopeng, Ipoh.

“Our approach stems very much from our own passion to provide affordable homes for Malaysians; which is actually the basic reason why our founder, the late Ho Mok Heng, founded Hua Yang,” says chief operating officer, Ho Wen Yan (or Yan, as he is widely known).

As a teacher during the 1970s and 1980s when Malaysia was a young growing nation, the late Ho Mok Heng developed a belief in the transformative nature of providing affordable housing to the nation – the ‘family home’ as the basic building block of a better Malaysian society.

Affordability – A Competitive Edge

“Providing affordable and quality homes at strategic locations has been our competitive edge for the past 30 years and will certainly be our core strategy for the years to come,” says Yan, stressing that affordability does not mean cheap.

Hua Yang also addresses modern home-owner needs such as location and lifestyle. As property in Kuala Lumpur and surrounding areas get pricier, more people seek affordable, conveniently located and highly accessible addresses. Yet, they are discerning enough to want “lifestyle” elements such as contemporary designs and facilities.

A case in point is the company’s recently launched RM180 million development Symphony Heights in Selayang. Developed by its subsidiary Daya Niaga Sdn Bhd, Symphony Heights offers 946 apartments with multiple access routes, only 15 minutes from the Kuala Lumpur City Centre. Priced from RM135,200 to RM324,500, the apartments come with full condo facilities and are targeted at owner-occupiers such as newlyweds, families and first-time homeowners.

Some question whether “affordable” products are profitable during economic downturns. Yan explains that Hua Yang has benefited from a substitution pattern among first-time homeowners.

“In the current softening market condition, many first-time home buyers are looking towards more affordably priced property compared to higher-end properties – this has served us well,” he says.

In fact, Hua Yang will continue to target the middle-income mass market, seeing abundant opportunities there over the next three to five years.

“After all, 63.5 per cent of Malaysians are aged between 15 and 64 years old, and we believe many of these are still looking for their first home,” Yan notes, citing figures from the Department of Statistics.

Close-knit Roots, Professional Management

Founded in 1978 as Heng Poh Sdn Bhd, Hua Yang today has successfully completed some 8,900 residential, commercial and industrial developments across the nation in strategic locations such as the Klang Valley, Johor, Perak and Seremban.

Although the late Ho Mok Heng’s family is still active as board of directors, Hua Yang is today managed by a professional team of managers and experienced property individuals.

“Our approach is one of providing professional engineering and quality project management for all projects,” explains Yan.

Aside from Symphony Heights, Hua Yang’s recent projects include the mixed townships of Bandar University Seri Iskandar and Metro Pengkalan in Perak, and Taman Pulai Indah in Skudai, Johor. In the next eight years, the company will focus on developing residential, commercial and light industrial factory building projects across Malaysia, worth up to RM1.1 billion.

One upcoming project is a 17.89-acre mixed development in Sungai Besi, consisting of residential, commercial and retail development. This RM700 million project is expected to catapult Hua Yang’s growth to the next level.

To date, Hua Yang has 400ha of undeveloped land bank with potential to generate over RM1.8 billion in gross development value, and is scouting for more land within the Klang Valley.

Man on a Mission

Yan exemplifies the professional team of managers and experienced property individuals that currently runs Hua Yang. He received his architectural training at the AA School of Architecture in London and also graduated with a Masters of Science (Construction Economics and Management) from University College London.

Having worked amidst contemporary and cosmopolitan settings in Singapore and London, Yan joined Hua Yang’s Johor branch as a project coordinator, rising through the ranks before being appointed as director and chief operating officer in 2007.

Managing nationwide operations involves long hours clocked in at the office, and a hectic pace of travelling. Yan agrees that “all work and no play” does not lead to a very balanced life.

“That’s why I joined a gym, to give myself a deadline to leave the office and do something else,” says Yan.