See who's building a $94m development in Myanmar's Star City

Massive project to construct 1,043 apartments.

Yoma Strategic Holdings Ltd. (Yoma) announced that it has through its wholly-owned subsidiary SPA Project Management Pte. Ltd. (SPA PM) entered into a shareholder’s agreement to form a joint venture with Dragages Singapore Pte Ltd (DSPL) to construct 1,043 units of Zone B of Thanlyin Star City in Myanmar, which is 70% beneficially owned by the Group.

The joint venture company BYMA Pte. Ltd. (BYMA) is 60% held by DPSL and 40% held by SPA PM. BYMA will combine the design expertise and local knowledge of SPA PM with the large-scale international construction experience of DSPL.

BYMA will construct 1,043 apartments, and associated areas, of the Zone B condominium development in Star City. At a total cost of approximately US$94 million, construction works are targeted to commence by the end of April 2013 and will last for around 33 months. During this period, apartment blocks in the zone will be completed and launched progressively to allow occupants to move in as early as possible.

The construction of Zone B at Star City represents the second out of five development phases at the estate. With the involvement of DSPL, the Group is assured of reliability in schedule and construction quality of the finished blocks. Targeted to complete in January 2016, Zone B of Star City will comprise five residential blocks with a range of amenities that are conveniently integrated within the development. And with numerous new developments in the pipeline in Myanmar, the construction industry offers tremendous growth opportunities for BYMA. Beyond Zone B at Star City, BYMA is already in pursuit of several other projects.

Mr Andrew Rickards, CEO of Yoma commented, “We are delighted to be entering this JV with Dragages, a first-time entrant into Myanmar, who is supported by Bouygues S.A., a leading global infrastructure conglomerate. Dragages has over a century of construction expertise in Asia and has completed many landmark projects in the region. This partnership is an indication of the increasing confidence that many prestigious international groups have in Myanmar. With Dragages’ immense construction experience and our established vision for Star City, the joint venture will complete Zone B of Star City in quick time and to high build quality.”

Mr Rickards added, “The implementation of the project will be completed in a manner sensitive to the needs of this emerging country and Myanmar will benefit through the transfer of know how.”

The construction project remains subject to approval by the Myanmar Government.