Diploma Group Limited : Diploma Awarded $100M Stage 2 Queens Riverside Apartment Tower

10 January 2012

DIPLOMA AWARDED $100m STAGE 2 QUEENS RIVERSIDE APARTMENT TOWER Diploma Group Limited is pleased to confirm the formal award of the Design

& Construct Contract from Frasers Property Australia for the construction of a
26 storey residential tower featuring 265 apartments.
Qlll is the second stage of the Queens Riverside Hotel + Residences also being constructed by Diploma for Frasers.
The first stage, a $107 million construction contract now underway, is for the construction of Fraser Suites Perth plus common basements and podium for the Queens Riverside precinct. The new construction contract will allow a seamless extension of Diploma's existing construction activities and resources on the Queens Riverside site.
Construction of QIII will commence immediately and complete in January
2014.
Over 300 construction jobs will be generated by this contract, with an average staffing of 200 workers.
QIII is part of Frasers' master-planned mixed-use Queens Riverside precinct, which will offer 408 luxury apartments in three buildings and a 236 room all- suites hotel operated under the Frasers Hospitality brand, plus retail and commercial space
The development will deliver a new urban quarter for the Western Australian capital at a time when demand for inner city accommodation is increasing sharply.

10 January 2012

Frasers Property Australia's Chief Executive Officer Guy Pahor said Qlll was attracting a wide range of local, interstate and international buyers looking to secure a high quality property off the plan, underpinned by the state's mining boom.
"We are delighted to take another leap forward in the construction of Queens Riverside and we look forward to working with Diploma Construction to bring this vibrant urban quarter to life," said Mr Pahor.
Commenting on the award, Diploma Construction Managing Director John Norup said "We are delighted to be awarded the second tower on this prestigious project. We have enjoyed a good working relationship with Frasers Property Australia and this new contract will see us working together until January 2014.
"We are currently on program to deliver the first tower in June 2012 and this will be the largest hotel built in Perth in the last decade."
The award of this significant contract, now brings the value of contract awards in FY12 to $188m with the company still awaiting the outcome of approximately $103m worth of external contracts.

Eleven78 - Update

Settlements are now underway at Diploma's $75m Eleven78 development on Hay Street West Perth with approximately $16m of settlements already complete. Diploma achieved Practical Completion just prior to Christmas as announced on 22 December 2011.
Diploma expects the vast majority of settlements for apartments sold off the plan to be complete by the end of January 2012, retiring approximately $45m of project specific debt.
The project is heavily presold with 95% of apartments selling off the plan prior to construction commencing in 2009.

Ends