GDB Secures Court Enforcement for RM83 Million Adjudication Award in 8 Conlay Payment Dispute

KUALA LUMPUR (Nov 6, 2025) — GDB Holdings Bhd (KL:GDB) has obtained a High Court enforcement order on its RM83 million adjudication award against KSK Land Sdn Bhd, the developer of the 8 Conlay mixed-use development in Kuala Lumpur.

The enforcement was granted in favour of GDB’s subsidiary, Grand Dynamic Builders Sdn Bhd (GDBSB), after the Kuala Lumpur High Court dismissed an application by KSK Land’s unit, Damai City Sdn Bhd, to set aside and stay the adjudication decision.

The adjudication award, issued in February 2025, comprised RM76.55 million in certified and uncertified sums, RM5.93 million in late payment interest, and RM158,844.80 for adjudication costs.

“As a result of this ruling, the adjudication decision now carries the same legal effect as a High Court judgment under Section 28 of the Construction Industry Payment and Adjudication Act 2012 (CIPAA),” GDB said in a statement.

Background of the 8 Conlay Dispute

The dispute dates back to 2022, when GDBSB first took legal action against Damai City for over RM120 million in unpaid work on the RM1.25 billion 8 Conlay project, a high-profile development in Kuala Lumpur’s city centre comprising branded residences and a luxury hotel.

Although partial payments were made in early 2023, tensions resurfaced after Damai City defaulted on instalment payments in April 2023. The developer subsequently terminated GDBSB’s main construction contract, prompting the contractor to initiate new adjudication proceedings in May 2023 seeking RM102.08 million in outstanding payments.

By August 2024, the adjudicator ruled that Damai City was liable to pay RM59.32 million in outstanding sums. Enforcement of that award was granted in April 2025, and the latest RM83 million decision consolidates additional sums, including accrued interest and retention fees.

GDBSB has also filed a winding-up petition against KSK Land, reflecting the seriousness of the dispute and its financial implications.

Significance for the Construction and Property Sector

The court’s decision marks a major legal victory for GDB, reinforcing the enforceability of CIPAA adjudication rulings within Malaysia’s construction industry — particularly for developers and contractors engaged in large-scale commercial property in KL and mixed-use urban projects.

Industry observers note that the 8 Conlay case underscores the growing importance of payment transparency and contract compliance, as similar challenges often arise in high-value projects involving office developments in Bukit Jalil, industrial properties in the Subang area, and factories in Puchong.

For construction and industrial developers in Selangor, where billions in industrial land development are underway, this ruling serves as a precedent that strengthens contractor protection under Malaysian construction law.

Strengthening Financial Position

With this latest enforcement order, GDB Construction Group is expected to recover a substantial portion of its outstanding claims, bolstering its liquidity position and ongoing project capacity.

The group’s legal and financial resilience, combined with its track record in large-scale commercial and infrastructure developments, places it among Malaysia’s key construction players poised to benefit from renewed momentum in Kuala Lumpur’s commercial real estate and industrial growth corridors.