Australian-based Syncorana Group and Bosnia and Herzegovina’s Steco Centar – a leading manufacturer of prefabricated building systems - recently announced the execution of a landmark Joint Venture Agreement to establish Steco (Australia) Pty Ltd, a new company that will introduce high-quality prefabricated homes in Australia and Oceania.
The partnership combines Syncorana's strategic vision for Indigenous economic development including housing manufacture and building and workforce training with Steco's thirty years of experience in the design and manufacture of prefabricated housing systems.
The joint venture represents a significant step towards establishing an advanced manufacturing facility capable of supporting Australia's growing demand for affordable, sustainable and high-quality housing solutions. The new facility is designed to create highly skilled jobs, strengthen sovereign manufacturing capability and support long-term industry growth.
Under the agreement, the parties intend to establish a local manufacturing operation at an estimated cost of around AU$150 million capable of scaling to produce three thousand prefabricated homes per annum using advanced European manufacturing technology adapted to Australian standards and market requirements.
A distinguishing feature of the proposed Australian facility will be the inclusion of Syncorana’s registered training organisation - Living Planit/Dreamtime Institute of Training and Management - designed to become a national centre of training excellence for prefabricated construction, advanced manufacturing and modern building techniques. The integrated training facility is intended to support the development of a highly skilled Indigenous and non-Indigenous workforce capable of manufacturing, assembling and installing prefabricated building systems for the Australian market.
The venture will seek to supply a broad range of construction markets including residential housing, Indigenous affordable and social housing, early childhood learning and aged care centres, workforce accommodation and commercial developments. It complements Syncorana’s Indigenous housing strategy planned for implementation via its national network of Indigenous partnerships.
Steco (Australia) also intends to collaborate with strategic partners, government, institutional investors, developers and builders and community housing providers to expand the use of prefabricated construction systems throughout Oceania. This initiative will assist in addressing Australia's housing supply challenges while contributing to national economic development and increasing participation by Aboriginal and Torres Strait Islander peoples in the construction and manufacturing sectors.
Speaking about the new JV, Carlton Taya, Chief Executive Officer and Managing Director, Syncorana Group said: “The joint venture marks a defining milestone in the evolution of Syncorana. Our partnership with Steco Centar brings together proven international manufacturing and building expertise with an Australian vision to transform the way homes are built.”
“Australia is facing one of the most significant housing supply challenges in its history. Through this joint venture we intend to establish advanced manufacturing capability that can deliver high-quality prefabricated housing faster, more efficiently and at scale,” he said.
“This partnership is about much more than manufacturing. It is about creating skilled jobs, supporting Indigenous economic participation, developing the next generation of workers through our training centre of excellence, and using technology and artificial intelligence to build a smarter and more sustainable housing industry,” Mr Taya said.
“Importantly, this initiative will provide meaningful training and employment pathways for Aboriginal and Torres Strait Islander peoples, apprentices, school leavers, veterans and workers seeking to transition into advanced manufacturing and modern construction.”
“We are delighted to be partnering with Steco Centar, a world leader in prefabricated housing manufacture and look forward to building a long-term business that delivers value for our shareholders, customers, government partners and Indigenous communities across Australia,” he said.
These sentiments were echoed by Milenko Stevanović, Chairman, Steco Centar, who added: “We are proud to enter into this strategic partnership with Syncorana and to support the establishment of advanced prefabricated housing manufacturing in Australia.”
“Steco Centar has spent many years developing innovative building technologies and manufacturing systems. We believe Australia represents an exciting opportunity to apply our experience to one of the world's most dynamic housing markets.”
“Syncorana shares our commitment to quality, innovation and long-term growth. Together we intend to combine European engineering expertise with Australian manufacturing capability to deliver world-class housing solutions,” he said.
“We are also delighted that our Australian partnership will include a dedicated training centre where our engineering knowledge and manufacturing systems can be transferred to a new generation of Australian professionals,” he added. “By integrating education with manufacturing, we will help ensure that Australian workers are trained to the highest international standards while supporting the long-term success of the joint venture.”
