Binastra appointed to revive Subang Sentral, gets RM316 mil contract

KUALA LUMPUR (March 18): Binastra Corporation Bhd (KL:BNASTRA) has been appointed to complete construction of Subang Sentral for RM316 million and revive the long-stalled project in Subang Jaya.

Works will cover a partially completed basement, podium car park, Tower A, and ‘lifestyle office, small office’ units, Binastra said in a bourse filing on Wednesday. The contract will also include another two new towers, including parking and related infrastructure works.

The construction works should be completed within 42 months, with the start date for the works to be determined later, the company said.

“The project carries not only commercial significance,” Binastra managing director Datuk Jackson Tan Kak Seng said in a statement, “but also a strong social responsibility, as more than 2,500 homebuyers have waited many years for their homes to be completed.”

HCK Capital Group Bhd (KL:HCK) is the white knight that took over the project formerly known as Remix 1 that has sat dormant since 2019. Prominently located along the Kesas Highway, Remix 1 was less than one-third completed while its developer grappled with financial and other challenges.

The project was eventually abandoned while its developer was wound up by an order of the Insolvency Court dated May 15, 2024.

“We are committed to completing the project without additional costs to purchasers, while enhancing the surrounding area with infrastructure improvements that benefit the community,” HCK Capital executive chairman Tan Sri Clement Hii Chii Kok said in the joint statement.

Construction of Subang Sentral, which will be developed in four phases, is estimated cost to be over RM1 billion.

The latest contract adds to total outstanding jobs on hand that have crossed RM7 billion to a new all-time high. Last month, Binastra announced a RM503 million contract for the development of a data centre in Kuala Lumpur.

Binastra was down two sen, or a little under 1%, to RM2.03 at Wednesday’s noon break, giving it a market capitalisation of RM2.2 billion ahead of the latest contract announcement. HCK Capital, meanwhile, was down one sen to RM2.18.

..........

EdgeProp's inaugural monthly print edition is fresh off the press! Free delivery is available for selected regions. Subscribe now.