Nordic construction company has been awarded a Skr330m ($30.27m) contract to build 185 apartments in the Västerbro district of central Lund, Sweden, on behalf of Tetra Laval Real Estate.

The project is a turnkey contract and will feature eco-friendly construction practices.

The Smörkärnan block, to be constructed by NCC, will include 185 rental apartments and one commercial premise across three buildings, ranging from four to six storeys.

Additionally, the development will feature a basement and garage, covering a total gross area of 18,000m².

The project is set to achieve Miljöbyggnad Gold certification, indicating compliance with EU Taxonomy criteria and environmental targets in various domains, including energy, climate, and circularity.

The use of eco-friendly concrete for the structure and reused brick for the facades are examples of the sustainable methods to be employed.

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NCC will commence the assignment shortly, starting with project planning. Construction is expected to begin in the second quarter (Q2) of 2025, with the residential units projected to be ready by early 2027.

The order will be registered within the NCC Building Sweden business area in Q4 2024.

Tetra Laval Real Estate managing director David Lang said: “We are looking forward to finally starting our first construction of rental units in Lund’s new city district, Västerbro. Achieving Miljöbyggnad Gold certification, which includes sustainability and energy efficiency, as well as reuse of materials from old industrial buildings, is a natural ambition for us.”

NCC Building Sweden head Niklas Sparw added: “NCC has been successful in constructing residential units that have a sharply reduced climate impact, for example in Helsingborg, and through other ongoing projects, we now have a workflow that ensures effective reuse.

“We look forward to applying these lessons in the Smörkärnan block and cooperating with Tetra Laval Real Estate AB to add more rental apartments in central Lund.”

NCC announced last month that it had secured a Skr350m turnkey contract to upgrade and extend the Heltågsverkstaden train maintenance depot in Solna, near Stockholm. This project is set for completion by 2027.