Swedish construction company NCC and property management company Staffanstorps Kommunfastigheter have signed an agreement for the construction of a new school for nearly 550 students and an associated sports facility in Staffanstorp, Sweden.
The new school will be the initial project to be constructed as part of a framework agreement signed by the two companies for new construction and conversion of the company’s properties.
The framework agreement, worth nearly SEK700m ($77m), will be operational for two years with an option for a two-year extension.
Staffanstorps Kommunfastigheter CEO Göran Sturesson said: “NCC has a working method for strategic partnering that is solid, and suitable for Staffanstorps Fastigheter AB, and we look forward to the partnership.”
The framework agreement includes conversion, expansion and new construction work as well as demolition of Staffanstorps Kommunfastigheter’s buildings.
Initially, NCC will construct a new school in Staffanstorp with an associated sports hall. The new school, Norra skolan, will accommodate 550 students from preschool class to Grade 6.
Under the agreement, both parties will contribute expertise and experience at an early stage of the project and work together to develop a better final product.
Work on the school project will commence immediately, and construction is expected to start in 2019.
NCC Building Sweden head Henrik Landelius said: “NCC has years of strong experience with working in strategic partnering, and we are also one of the operators building the most schools in Sweden right now.
“We will bring these experiences and lessons with us as we continue our long-term collaboration with Staffanstorps Kommunfastigheter.”
The estimated order value for the framework agreement is approximately SEK700m ($77m) for the entire period.
Order registration will take place on a continual basis in accordance with call-offs, in the NCC Building business area.
NCC is one of the construction, infrastructure and property development companies in the Nordic region, with sales of almost SEK55bn ($6.07bn) and 17,800 employees in 2017.
Image: NCC signs agreement to build school in Sweden. Photo: Courtesy of NCC.