Meet Charles Tan, the construction industry mogul in Singapore who once slept in his car for weeks on end
Tan’s family business, Sunray Group Holdings, is the builder of Marina Bay Sands, Resorts World Sentosa, Jewel Changi Airport and now, New Bahru. The latter represents the firm’s first lifestyle venture. He shares more details here.
With his boyish features, fashionably floppy side-part, and strapping, 1.83m frame, Charles Tan could almost pass as a member of a K-pop boy band. Or at least the manager of one. In reality, he’s the executive director of Sunray Group Holdings, and a second-generation leader of his family business.
The privately owned construction firm is responsible for the interiors of mega-projects like Marina Bay Sands (MBS), Resorts World Sentosa (RWS) and Jewel Changi Airport, to name a few. It has also worked on banks, retail stores, restaurants and museums.
You wouldn’t think it to look at him now, but the 38-year-old father-of-three once slept in his car for weeks on end, just to bring those projects to completion. “It was tough. Very tough,” he said, recalling his experience working on the now-defunct Maritime Experiential Museum in RWS. The Integrated Resorts (IRs) were Tan’s first projects.
“We had to coordinate with the US because there was a Hollywood director directing the show for the museum. We were rushing for the opening. It was a mad, mad rush. I used to sleep on site in my car because I didn’t have time to go home. But what a great experience, and when the product came out, it was amazing. We had rave reviews. I kind of miss those days actually. It keeps you young!”
Tan, then 24, was fresh out of school. He had been pursuing a degree in food technology and nutrition in Australia. But duty called. His family business needed an extra pair of hands, given the quantity and scale of projects that were coming onstream at the time.
“I felt a responsibility to the company, since it was the company that put food on the table for me. So, I decided to return to Singapore and learn everything from scratch. And I didn’t look back.”
Taking the approach of learning from the ground up, Tan’s career began on the factory floor. Being in a construction company entailed effective communication with a diverse workforce – “I have those who are educated and those who are not; some can speak English and some can’t”. Tan credits his parents and the first-generation leadership for equipping him with the people skills needed to take on the role.
It was only in 2014 that Tan began taking on more management responsibilities. Today, he oversees around 55 projects in Singapore alone. These range in size from “a few million dollars” to “100-plus million dollars” and include upcoming high-profile hotel projects like The Standard on Orange Grove Road as well as QT Singapore on Robinson Road. Tan declined to reveal the company’s annual turnover.
NEW AND NOTED
June 2024 will see the opening of New Bahru, the much hyped-about F&B and lifestyle development in River Valley that takes over the former The Herencia. The project is a joint venture with the The Lo and Behold Group, and marks the first time that Sunray isn’t merely the main contractor but also a partner and investor (Tan declined to reveal Sunray’s share of ownership or the sum invested).
The Lo and Behold Group is headed by Wee Teng Wen, scion of the Wee banking dynasty; the Tans and Wees have known each other for years.
“We have great chemistry,” Tan said of his relationship with Wee. “And we are very much looking forward to this coming online. A lot of our friends have been saying that they can’t wait to see it go live, because it’s such a great product coming into the market. It’s very unique as well. I think it will bring a whole new vibe to the area."
New Bahru will house more than 50 tenants, comprising both local and international brands. The mix includes businesses in arts, education, entertainment, F&B, retail and wellness. Among the highlights are Artichoke, Dearborn, The Coconut Club, Beyond the Vines, Woods in the Books and Kiztopia Prestige.
“We never thought that it was something that was possible for the area. But then we won [the tender for the site], and where it is now, I think New Bahru is a great example of what can be done in the global context of things as well,” says Tan. “As much as we could, we tried to preserve things, make good, patch up, so we won’t have to redo them again,” Tan explained. “Even though we have a nine-year lease, we wanted the building to last.”
The site was originally Nan Chiau Girls’ High School from 1969 to 1984, and then Nan Chiau High School from 1984 to 2000. By adaptively reusing the former school, New Bahru highlights the benefits of preserving history, reducing environmental impact, and fostering creative placemaking within an architectural canvas rich with character and story.
As far as possible, and in line with URA guidelines on heritage properties, the historic components of the building were retained and refurbished. Elements that could be salvaged were repurposed for other uses. Wooden furniture from past tenants and other projects were upcycled into window louvres for Alma House.
At the same time, the structure had to be brought up to code. For example, the existing parapet walls did not meet current height regulations; to circumvent this, railings were added. “We needed to make sure that we didn’t compromise on safety standards, while ensuring that the new building retained its charm, flavour and taste.”
WASTE NOT, WANT NOT
Tan’s concerns over sustainability stems from witnessing wastefulness firsthand. Construction and demolition waste (CDW) accounts for around 30 per cent of waste produced globally, although in Singapore the construction sector recycles 99 per cent of CDW. With ESG now a primary objective for many corporations, and cost reduction a key priority for Tan, he set himself the challenge of driving a mindset shift within the organisation.
When the firm moved to its present eight-storey, S$30 million headquarters in Sungei Kadut in 2015 – where this interview and photoshoot took place – Tan and the rest of the senior management decided to use discarded building materials and furniture to fit out the spaces. On a tour of the premises, Tan pointed out ceiling, wall and floor finishes that once adorned banks and shopping malls. Surplus furniture is often given away to staff as lucky draws. AR technology and 3D models are used to create product mock-ups for clients, saving time and cost.
Tan’s uncle, Tan Teng Huat, established Sunray in 1987. From its base in Ang Mo Kio Industrial Park II and later Bukit Batok, the firm started out doing small carpentry and joinery jobs. A major fire in December 1999 reduced the Bukit Batok factory to ashes, but fortunately the firm was able to bounce back.
“With my parents’ generation, it was all family and friends helping in the business. We didn’t want them to lose their jobs – and that wasn’t a good time to find a job too – so we decided to push through. We didn’t have much insurance, so we had to mortgage everything we had. With the support of the bank, we were able to bounce back,” explains Tan.
“Through every single disaster, we got stronger, we grew bigger,” he adds. “From the Asian Financial Crisis to the fire, to the Global Financial Crisis, to COVID-19, we were able to tide through. I think that speaks to who we are as a company.”
In the early 2000s, Sunray caught its first big break – it won the tender for Biopolis in One-North. As awareness of its competence spread, projects came streaming in, each one bigger than the last. The IRs were major triumphs. By 2012, the firm had enough projects in its pipeline to warrant overseas expansion. From Malaysia, the business expanded to other markets in Asia, with offices in Indonesia and China.
Tan declared: “Malaysia has been great for us. There is constant expansion there. Indonesia is one of the markets that we’re going to spend more time in as well, especially now that the election is over. The UK is another area where we are going to do more projects this year. Then we have new markets like Australia. We move with our clients, and our clients are there. And lastly, the focus for the next three years would be Saudi Arabia.”
GIVING BACK TO SOCIETY
As a second-generation leader, one of the challenges that Tan faces is that of retaining talent, because, as he contends, the construction industry isn’t “sexy”. “We have people standing at our door giving out name cards to poach workers. These guys are not on LinkedIn, so it’s not like head hunters can find them easily.”
Given the scale of Sunray’s business, Tan encourages staff to explore lateral transfers. To attract fresh talents, Tan makes it a point to push for training and development, and provide plenty of opportunities for younger hires to shine. More experienced employees are sent for courses or overseas postings to expand their horizons.
Cultivating the third generation of leaders is another of Tan’s preoccupations, especially since many of them are related to the family by blood or affinity. He feels it’s important to set standards and expectations for related parties joining the company. Crucially, he stresses the need for younger generations to start at the same level as non-related employees, rather than being given preferential treatment due to their family connections.
With so much on his plate, Tan still finds time to give back whenever and wherever possible. Leading the company’s ESG charge, and working with nonprofit organisations, he has distributed S$7 million worth of aid over the last four years. Among other things, Sunray has organised furniture donations and distributed necessities to shelters and families in need.
In his personal capacity – and as a member of the Citizens’ Consultative Committees (CCC) – Tan and his family help to distribute bento meals and essential supplies to underprivileged households. “We try to help as much as we can, and we connect with other CCCs and the residents. If they need furniture, and we have, like, 1,000 [disused] beds, we will let them have first dibs,” he says.
Tan and his wife – who’s a homemaker – have three sons aged five, seven and eight. The elder two are studying in ACS. Of the values he imparts to them, he says it's all about principles – how to be a good person, a good leader, how to be respectful, have manners, and how to take care of family. “I tell them that it’s very important to have the right principles, and not to give up easily,” he shares. “I may not be as good as my father, but I’ll do my best.”