Soilbuild Construction secures contract for redevelopment of three warehouses

SOILBUILD Construction Group on Friday said it has been awarded a design and build contract by Singapore Storage & Warehouse for the redevelopment of three warehouses for rice storage in Singapore.

The projects comprise two phases of redevelopment, the group said in a filing to the bourse operator.

Phase 1 involves the redevelopment of a warehouse located at Pasir Panjang Road and is expected to be wrapped up within 50 weeks from the commencement date.

Phase 2 involves the redevelopment of warehouses located at Kaki Bukit Road and Senoko South Road and is expected to begin within one month from the completion date of Phase 1. It is to be completed within 46 weeks.

Ho Toon Bah, executive director of Soilbuild Construction said that the contract has raised the group's order book (as at end December 2016 plus new order since) to S$412.8 million.

"While the local construction market is expected to remain challenging, the group will strive to secure more projects in the local market," he added.

The projects are not expected to have a material impact on the consolidated net tangible assets and earnings per share of the group for the current financial year ending Dec 31, 2017.