RIVERTREE STF SYNERGIES INKS HOA TO DEVELOP LABOUR QUARTERS WORTH RM600 MLN

KUALA LUMPUR, March 3 (Bernama) -- Rivertree STF Synergies Bhd (RSSB) has inked a Heads of Agreement (HoA) with Catenary Capital Sdn Bhd and Q Centre Management Sdn Bhd (QCM) for the development of four Centralised Labour Quarter (CLQ) facilities in the Klang Valley.

RSSB said the project, with a gross development value of RM600 million, is expected to provide RSSB with clear earnings visibility over the next three years.

In a statement today, it said the first project, Q Centre @ Teratai in Meru, Klang, will comprise 9,000 beds with an indicative development value of RM171 million, while the remaining three proposed CLQs, with a value of RM429 million, are expected to provide a further 19,800 beds, subject to finalisation of sites and definitive agreements.

RSSB executive director, Datuk Simon David Leong said the HoA marks a significant milestone for the group as it expands its role within the CLQ segment.

“We see strong structural demand emerging within the CLQ segment as industries increasingly prioritise compliant, well-managed and scalable worker accommodation solutions.

“We have identified several job opportunities in this space and view this segment as a strategic growth pillar moving forward,” he said.

Rivertree’s wholly owned subsidiary, RSSB Builders Sdn Bhd will act as a turnkey developer under the framework, reinforcing its construction and delivery capabilities within the sector.

“As the appointed turnkey developer, we will be responsible for the full scope of design and construction across the proposed facilities, working closely with our partners to ensure disciplined execution and timely delivery,” added Leong.

-- BERNAMA