Construction services firm GDB Holdings Berhad (GDB, GDB控股有限公司, Bloomberg: GDB:MK, Reuters: GDBH.KL) has secured its single-largest contract of approximately RM1.25 billion to complete the remaining main building works for 8 Conlay, the upscale integrated mixed development in Jalan Conlay, Kuala Lumpur.
GDB’s wholly-owned subsidiary Grand Dynamic Builders Sdn Bhd (GDBSB) executed a Letter of Intent (LOI) with Damai City Sdn Bhd, a wholly-owned subsidiary of KSK Land Sdn Bhd, with the mutual intention to enter into a definitive Letter of Award (LOA) to appoint GDBSB as the main contractor for the works within 14 days from the date of LOI.
Situated between the prestigious KLCC area and the bustling Golden Triangle, 8 Conlay consists of three towers, atop a four-storey experiential retail space. The integrated mixed development features the first and only five-star 68 storeys high Kempinski Hotel in Malaysia and two twisted towers which are devoted exclusively to branded serviced residences called YOO8 serviced by Kempinski. The branded serviced residential towers stands at 61 levels for Tower A and 56 levels for Tower B. These three tower blocks would be complemented by a 10-storey podium and a five-level basement.
“Since inception, GDB has been entrusted by discerning clientele to execute crucial superstructure works for high-end residential and/or commercial developments, because we take immense pride in delivering works of outstanding quality which are appreciated by target buyers.
Moreover, we have established a track record of delivering works ahead of its contracted delivery.
Having secured this LOI for 8 Conlay is the pinnacle in our portfolio, in light of the project’s iconic luxury and ambitious endeavour in the city centre. These three high-rise blocks would be the tallest towers that we participate in, and would showcase our extensive capabilities in carrying out technically-challenging undertakings.”
Mr. Cheah Ham Cheia (谢汉正)
Group Managing Director, GDB Holdings Berhad
“Today marks an important milestone in the progress of the 8 Conlay development. We are confident that with GDB coming on board as our main contractor emphasizes KSK Land’s commitment to complete 8 Conlay at the highest standard of quality and in a timely manner, albeit the current challenging times.
GDB has the prerequisite track records and the technical expertise to execute this project, which will position 8 Conlay to be a landmark of design, innovation and collaboration in the heart of Kuala Lumpur. Upon completion, 8 Conlay will own the world’s tallest twisted twin residential towers and the first and only Kempinski Hotel in Malaysia.
Now that we have the right partner to stride towards the completion of our flagship project, it will be all the more pleasing that a home-grown company is able to join us on this epic journey.”
Ms. Joanne Kua 柯盈妃
CEO of KSK Group & Managing Director of KSK Land
KSK置地董事總經理兼KSK 集團首席執行官
Under the LOI, GDBSB is given the right of access to the site and authorised to commence dilapidation surveys, pre-construction planning, setting out works, procurement, and operations mobilisation prior to the date of commencement which would be 14 days upon receipt of the LOA.
GDB intends to execute the contract using internally generated funds and/or bank borrowings. The overall duration of the contract will be for 32 months, and is expected to contribute positively towards future earnings of GDB for the duration of the contract.
Together with GDB’s order book as at 30 June 2020, this contract win brings GDB’s total outstanding order book to approximately RM2.27 billion, which will recognized till financial year ending 31 December 2023.
Apart from works for 8 Conlay, GDB’s ongoing high-rise projects are the AIRA Residence in Damansara Heights, Park Regent Desa ParkCity in Kuala Lumpur, Perla Ara Sentral in Ara Damansara, and the Hyatt Centric Hotel in Kota Kinabalu in Sabah.
Cheah said: “This new contract in hand demonstrates our immense competitiveness to secure large-scale contracts even amidst the current challenging landscape in the property development sector.”
“With every project, and even more so in large-scale undertakings, we strive to reinforce our track record for excellent delivery, not just adhering to the required timeliness but also doing so by maintaining distinctively-high quality accreditations. Time and time again, we have received accolade by industry bodies for establishing definitive standards of works for premium high-rise buildings, and we hope to continue this streak,” concluded Cheah.