GDB executes LoI for RM1.25b job to complete 8 Conlay luxury project in KL [The Egde Markets]

KUALA LUMPUR (Oct 26): GDB Holdings Bhd has executed a letter of intent (LoI) concerning the receipt of a RM1.25 billion contract for the 8 Conlay luxury integrated development at the heart of the city here.

In a bourse filing, GDB said its subsidiary Grand Dynamic Builders Sdn Bhd (GDBSB) today executed the LoI with KSK Land’s unit Damai City Sdn Bhd (DCSB) with the mutual intention of entering into a definitive letter of award (LoA) to appoint GDBSB as the main contractor to complete the main building works of the development within 14 days of the date of the LoI.

The contract sum excludes an additional provisional value of RM15.86 million for stage performance incentive, which DCSB will pay to GDBSB in stages upon the completion of each specified stage, as agreed upon by both parties.

The contract has a duration of 32 months.

In a separate statement, GDB said the contract value is the largest ever secured by the group,and brings its outstanding total order book to RM2.27 billion, which will be recognised until its financial year ending Dec 31, 2023.

GDB’s group managing director Cheah Ham Cheia said securing the LOI for 8 Conlay is the “pinnacle” in its portfolio, given 8 Conlay’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, ”Cheah said.

Meanwhile, Joanne Kua, who is MD of KSK Land and chief executive officer of the KSK Group,said: “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.”

“Upon completion, 8 Conlay will own the world’s tallest twisted twin residential towers and the first and only Kempinski Hotel in Malaysia,” she added.

8 Conlay, which is located between KLCC and the Golden Triangle, comprises 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,” said the statement.

The two branded serviced residential towers are 61 storeys and 56 storeys tall, and along with the hotel, will be complemented by a 10-storey podium and five-level basement.As at 12.30pm, GDB was unchanged at 66 sen, valuing the group at RM412.5 million.