Sunway Construction accepts contract for RM147.36 million project in Putrajaya

KUALA LUMPUR: Sunway Construction Sdn Bhd (SunCon), a unit of Sunway Holdings Bhd, announced it has accepted a contract from Putrajaya Holdings Bhd worth RM147.36 million to build a hotel and office building in Putrajaya.

The new structures will be raised on Plot PZ10, Parcel Z, Precinct 1, Putrajaya.

“The proposed project is expected to contribute positively to the earnings of the group for the financial year ending Dec 31, 2010 onwards,” said Sunway Holdings in a statement to Bursa Malaysia.

Work on the proposed 16-storey three-star hotel and one block of 11-storey office tower will commence on Oct 7, 2009. The project is expected to be completed 36 months from the commencement date. Both buildings will have two levels of basement car park each.

“The proposed project is subject to certain risks in the property and construction sector in Malaysia including changes in general economic conditions such as but not limited to inflation, taxation, interest rates, constraints in labour and material supply.

“The experience and expertise that SunCon has in construction projects in Malaysia provide assurance in mitigating the execution risks,” said Sunway in the statement.