IJM Construction Sdn Bhd, a wholly owned subsidiary of IJM Corporation Bhd has secured a RM314.8 mil contract for the construction of a 34-storey hotel and office tower at The Light City in Gelugor, Penang.
IJM Construction received the letter of award early this month from Laksana Positif Sdn Bhd, a wholly owned subsidiary of IJM Perennial Development Sdn Bhd (IJMPD).
Construction work is scheduled to commence in January 2021 and is expected to be completed within 45 months in October 2024.
IJMPD is a 50:50 joint venture company between IJM RE Sdn. Bhd (a wholly owned subsidiary of the group) and Perennial Penang Pte Ltd, an indirect wholly-owned subsidiary of Perennial Real Estate Holdings Pte Ltd, a Singapore-based integrated real estate and healthcare company.
The project comprises a 34-storey tower and two basement levels with a total built up area of about 830,000 sq ft.
The hotel is a 500-room luxurious four-star hotel, while the office component of the building consists of 90 office suites in various built-up sizes and layout options with a net lettable area of 166,000 sq ft.
IJM Corp’s CEO and managing director Liew Hau Seng said the latest contract win will add to IJM Construction’s growing footprint of projects in Penang.
“The appointment of IJM Construction is testament to our strategy of delivering world-class, high quality developments as well as an acknowledgment of our expertise and capabilities as a builder,” he noted in a media release.
In March, IJM Construction was awarded a RM140 mil contract for the construction of a 24-storey hotel with a 10-storey podium for commercial lots and carpark in Butterworth.
In August, the company secured a RM864.7 mil contract for the construction and development of The Waterfront Shoppes, an 11-storey retail mall and the Penang Waterfront Convention Centre (also at The Light City), followed by a RM174.1 mil design and build contract for government agency headquarters in September.
With the latest contract win, IJM Construction’s outstanding order book stands at circa RM5.4 bil comprising a good mix of private and public sector projects.
The Light City, which is part of Phase 2 of The Light Waterfront Penang, spans across 32.76 acres and accounting for 22% of its entire master plan. The mixed development project spans across 4.1 million sq ft with an estimated total gross development value of RM4.5 bil. – Nov 24, 2020