Daily Newsletter

29 September 2023

Daily Newsletter

29 September 2023

NCC to build storage and training facility for Swedish Armed Forces

Construction is set to begin immediately and be completed in early 2026.

Nordic builder NCC has secured a construction contract to develop a storage and training facility for the Swedish Armed Forces.

The building will be constructed at the LV6 Air Defence Regiment's site in the Swedish city of Halmstad.

Awarded by the government's Swedish Fortifications Agency, the value of the contract is worth approximately Skr660m ($59.64m).

The Swedish Fortifications Agency owns, operates, and develops defence properties in Sweden.

The 24,000m² building will span two floors and feature halls for truck and equipment repair, theoretical and simulator training rooms, office spaces, an assembly hall, changing rooms, and service spaces.

The fenced space around the structure will include shunting yards, with the entire site being developed in accordance with the Miljöbyggnad Silver environmental standard.

NCC Building Sweden head Henrik Landelius said: “We have previously collaborated with the Swedish Fortifications Agency and are pleased to again be entrusted to build modern and functional premises for the Swedish Armed Forces.

"The training hall is a large and multifaceted project where NCC has a proven track record in similar assignments incorporating several different functions in a single building.”

Construction is expected to commence immediately and conclude in early 2026.

The order will be added by NCC to its Building Sweden business segment for the third quarter of this year.

Last year, the builder received a Skr550m contract from the Swedish Fortifications Agency to build offices, warehouses, and workshops in Sweden.

South-East Asia Construction Market Dynamics

Per GlobalData analysis, the South-East Asia construction industry in 2023 is dominated by Indonesia, though the country will see a slowdown compared to 2022 due to elevated building material prices, weak commercial property demand, high interest rates and a softening of external demand. The construction industry in the Philippines is estimated to register a AAGR of 7.2% between 2024 and 2027, supported by the government’s focus on the development of the country’s rail and road transport and energy infrastructure.

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