Kuala lumpur: The Federal Land Development Authority (Felda) has inked a memorandum of understanding (MoU) with Encorp Bhd to undertake the design and construction of housing for Felda employees. The agreement outlines plans for Encorp to develop 189 housing units initially, as part of a larger plan to build a total of 450 units.

According to BERNAMA News Agency, Felda chairman Datuk Seri Ahmad Shabery Cheek expressed that the project aims to enhance morale and motivation among Felda employees. He estimated the cost of each housing unit to be between RM300,000 and RM350,000. Despite current economic challenges, the project budget remains unaffected, ensuring that the planned and approved developments will proceed as intended.

Encorp, a subsidiary of Felda, has been appointed as the main contractor for the project, contingent on necessary approvals and the execution of definitive agreements. Ahmad Shabery emphasized that Encorp's status as a subsidiary would not compromise the quality or standards of the housing units.

Encorp Group CEO Ahmad Harzimi Mohd Taib detailed that the 189 units would be constructed in three phases, spanning regions including the East Coast, Northern and Southern regions, and Sabah. The firm anticipates receiving the Letter of Acceptance this month, with a projected completion timeline of 24 months.

The first construction phase will see 62 units built in locations such as Kuantan, Jengka, and Mempaga in Pahang, as well as in Johor Bahru and Negeri Sembilan. The subsequent phases will involve constructing 63 units and 64 units, respectively, to reach the initial target of 189 units.