CCM Group's building contract for Balestier flats terminated

SINGAPORE - Construction company CCM Group said on Tuesday that a contract it had been awarded to build a block of flats in Balestier has been terminated.

It had won the $32.3 million contract in August 2011 to build a 23-storey residential development at Jalan Ampas, with a five-storey car park and swimming pool. The project had been scheduled for completion in October last year.

But CCM Industrial, the group's wholly-owned subsidiary, received a notice of termination dated Monday from developer Orion-One Residential, CCM Group said.

The contract was terminated on the grounds of alleged breaches of contract, it added.

The construction group said it will be seeking legal advice on this matter and is currently estimating the financial impact of this contract termination, if any.

CCM Group shares fell 0.1 cent to 0.7 cent on Tuesday morning.