Ocon building on firm foundations

OCON Construction has reduced its reliance on parent company Opal Property and is continuing to cast its net wider to win work.

Managing director Andrew Barker told TheBusinessDesk.com, that after a tough year 2009-10 when turnover fell more than 30% as a lot of property funding dried up, trading has now stabilised.

“We did £60m last year and it’ll be the same next year – the market is still tough so I think holding steady is an achievement. There are fairly good inquiry levels, which is promising.”

Manchester-based Ocon – which was set up by Opal Property owner Stuart Wall after he became frustrated by unreliable service being provided by contractors – is now less reliant than ever on its parent.

Non-Opal work is now 85% of revenues. Barker said: “We are an independent company and no longer just Opal’s contractor – the majority of our work now comes from universities or private developers.”

With the student property sector still seeing investment, more construction firms have been competing for those jobs which are available.

When tendering, Ocon sells on its track record of delivery, rather than price.

Barker said: “We’ve delivered 1,800 student rooms this summer on time and on budget and that level of consistency and service is a point of difference for us, along with our experience in the sector.

It has just completed a 100-unit £5m student scheme on Liverpool’s London Road for Westville Developments.

Further afield Ocon, which has around 80 full-time staff, is on site in Sussex and has previously worked in Scotland.

Andew Barker adds: “We have the capability to operate nationally – in fact this is one of the reasons we’ve been able to maintain turnover – and we are pursuing a number of opportunities in locations outside our North West heartland.”