The building contractor for a Punggol Build-To-Order (BTO) project has been fired for failing to meet project milestones, the Housing Board (HDB) said yesterday.

As a result, the project, Waterway Sunrise II, is likely to be delayed by about a year. This means home owners who were expecting to move into their new flats in the middle of next year may now get their keys only in the first or second quarter of 2022.

On July 28, Lian Ho Lee Construction informed HDB that it had to cease work at the BTO site due to difficulties in continuing with the project.

HDB told The Straits Times it has been monitoring the progress of works at the site closely. This month, it terminated the contractor's services for "failing to perform its duties effectively".

In the meantime, a contractor has been appointed to secure the site and to provide environmental control services such as to prevent mosquito breeding.

HDB said it is in the midst of bringing on board a new contractor to complete remaining works.

The BTO project comprises 1,014 units across seven blocks, features a basement carpark and was launched in February 2017. The housing project is currently around 45 per cent complete, HDB said.