Tianjin Eco-City project to fuel greater recognition

Keppel Corporation is expecting “good returns” from its Tianjin Eco-City project, which will have a crucial role in the company’s strategy to broaden its reach in China, said Lee Boon Yang, chairman of the company.

“As a listed company, Keppel Corporation is accountable to our shareholders and other stakeholders,” said Dr. Lee in an interview with China Business News.

“We believe in creating and sustaining strong recurring income streams in all our businesses,” he said. “As such, we expect good returns from the Tianjin Eco-City project.”

Keppel owns a 45-percent stake in Sino-Singapore Tianjin Eco-City Investment and Development (SSTEC), a 50:50 joint venture between a Chinese consortium headed by Tianjin TEDA Investment Holding Co and a Singapore consortium headed by the Keppel Group. SSTEC has an initial registered capital of ¥4 billion (S$788 million).

Meanwhile, the company’s own eco-development in the Eco-City has a capital investment cost of ¥705 million.

“But numbers aside, the Tianjin Eco-City project is an important part of Keppel's strategy, as a platform to grow our presence in China, as well as a showcase of the group's ability to offer holistic integrated solutions for modern urban living,” said Dr. Lee.

“Our direct involvement as a developer in the Tianjin Eco-City signals our strong belief in and commitment to the success of the project. We also believe our eco-homes will provide the Chinese homebuyer good-quality housing options,” he added.