Unitrade Industries partners Invest Kedah to develop modular housing systems

• This collaboration aims to provide a cost and space-efficient housing solution that effectively address workers’ accommodation issues, thereby creating a conducive work environment and infrastructure in Kedah, said Unitrade.

KUALA LUMPUR (July 20): Building materials wholesaler and distributor Unitrade Industries Bhd is teaming up with Invest Kedah Bhd to jointly develop modular housing systems as centralised labour quarters (CLQs) in Kedah.

This collaboration aims to provide a cost and space-efficient housing solution that effectively address workers’ accommodation issues, thereby creating a conducive work environment and infrastructure in Kedah, said Unitrade.

In a statement on Thursday (July 20), Unitrade said its wholly-owned subsidiary Unitrade United Sdn Bhd has entered into a memorandum of understanding (MOU) with Invest Kedah for the collaboration.

"Modular houses provide the advantages of portability, durability, and easy assembly, making them an ideal solution as CLQs for factory workers' accommodations. Apart from dormitories, the CLQ facilities can include essential amenities such as offices, first-aid rooms, quarantine rooms, kitchen, toilets, canteens, grocery store and recreational areas," it added.

Under the MOU, Invest Kedah will identify and screen potential investment opportunities while providing guidance on laws and regulations; facilitating the process of obtaining permits and licenses; as well as offering suitable land to ensure a streamlined development timeline.

Meanwhile, Unitrade will provide comprehensive turnkey services, encompassing investment, construction, maintenance, and management for the seamless implementation of the modular housing solution.

In a separate development related to Unitrade’s modular housing solution, the group intends to rent a piece of land in Kampung Baru Subang, Shah Alam, Selangor to develop another CLQ.

"The area has a high concentration of factories, and the CLQ will offer a viable accommodation option to employers to house their workers. All in all, Unitrade expects further growth in its recurring revenue stream as the group expands its rental of temporary structural support equipment division with the inclusion of modular housing solutions, bolstering longer term earnings visibility and stability.

"The rental business is certainly synergistic with its building materials wholesaling operations, and thus, further strengthening its competitive edge in the industry," it added.

Unitrade shares closed down one sen or 3.7% at 26 sen on Thursday, giving it a market capitalisation of RM406.25 million.