Downer EDI (ASX:DOW) announced a major long-term partnering agreement with Stockland.
The deal, which centres on an integrated facilities management contract, is valued at approximately $500 million over an initial five-year term.
Scheduled to commence on Aug. 1, the agreement also includes a five-year extension option, potentially anchoring the partnership well into the next decade.
Under the terms of the contract, Downer will assume responsibility for delivering essential services across Stockland’s diverse operational portfolio.
This includes a broad geographic spread across New South Wales, Victoria, Queensland, and Western Australia, covering commercial office buildings, retail shopping centres, logistics facilities, and land lease communities.
Downer CEO, Peter Tompkins, emphasised that the partnership aligns with the company's core strategy of applying industry-leading asset management capabilities to drive value for customers.
The collaboration aims to enhance the performance of Stockland's assets by leveraging Downer’s proprietary works management technology platform.
The digital-first approach is intended to provide heightened data utility and transparency, fostering more informed decision-making and consistent service quality.
Downer's expertise in sectors ranging from transport and defence to healthcare and education will be pivotal in maintaining the essential infrastructure that allows these communities to thrive.