Fleetwood (ASX:FWD) entered into an agreement to acquire Red Dog Village, a transient worker accommodation facility located in Gap Ridge, Karratha, Western Australia from Bechtel for a total consideration of AU$20 million, exclusive of tax, according to a Thursday Australian bourse filing.

The deal is expected to be completed in December, subject to the satisfaction of conditions precedent, including the extension of the development approval by five years to October 2032, the assignment of the Crown Lease to Fleetwood, and the extension of the Crown Lease by five years to October 2032.

Fleetwood is expected to start operating the facility from January 2027.