Boustead Projects unit secures design-and-build contract from Yusen Logistics

REAL estate solutions specialist Boustead Projects Limited announced that its wholly owned subsidiary, Boustead Projects E&C Pte Ltd has secured a design-and-build contract from Yusen Logistics (Singapore) Pte Ltd.

The contract is for the redevelopment of an existing logistics facility in Tuas, Singapore.

The redevelopment, which is set to be completed by Q4 2018, will mainly involve the addition of a two-floor ramp-up warehouse which will maximise the plot ratio of the existing logistics facility.

The project will extend Boustead's logistics industry track record to over 948,000 sq m of gross floor area, and raise the group's order book backlog (unrecognised project revenue at the end of June 2017 plus the total value of new orders secured since then) to S$160 million.

Thomas Chu, managing director of Boustead Projects, said: "We are honoured to be selected as the design-and-build partner of Yusen Logistics for the redevelopment of one of their existing logistics facilities in Singapore. This project reaffirms our status in Singapore as a leading builder of choice for international and regional 3PL (third-party logistics) providers, and extends our industry track record to over 948,000 sq m of gross floor area constructed and developed in the logistics industry."

He added: "We are pleased to have made business development progress in difficult industrial real estate sector conditions, and will continue to work hard at converting our pipeline of opportunities into projects."

The Yusen Logistics Group is a total logistics provider offering standalone and customised supply chain solutions in international freight forwarding, contract logistics as well as transportation. It operates in over 310 cities in 43 countries, and has seven logistics facilities in Singapore.

The contract is not expected to have a material impact on the profitability, earnings per share or net tangible asset value per share of the Boustead Projects Group in the current financial year ending March 31, 2018.