December 2019
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THE DEFINITIVE GUIDE TO THE REGION'S CONSTRUCTION PROFESSIONALS
Amira Sajwani Journey of an Emirati Role Model and Business Woman
Feature An overview of the Top Contractors in Saudi Arabia P64 - This month's unsung hero is Zeina Kourki
A MEMBERS OF EMIRATES TRANSPORT BUSINESS CENTERS:
CEO Wissam Younane wissam@bncpublishing.net Director
// contents December 2019 // Issue #58
Rabih Najm rabih@bncpublishing.net Group Publishing Director Joaquim D'Costa jo@bncpublishing.net +971 50 440 2706
Business Development Director Rabih Naderi rabih.naderi@bncpublishing.net +966 50 328 9818
Deputy Editor Kasun Illankoon kasun@bncpublishing.net Art Director Aaron Sutton aaron@bncpublishing.net Photography
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News Expo 2020 Advertorial Real Estate Cover Story Site Visit Feature Interview Opinion Event Review Innovation Machinery Unsung Hero
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Marouane Al Mandri Marketing Executive Vince Celestial vince@bncpublishing.net
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// Editor's note
editor’s note Luxury Property Buyers According to Property Finder, established areas in Dubai still rank high on the radar of luxury property buyers. Although the sale of an AED 90 million villa at District One in Mohammed Bin Rashid City is the costliest house purchase in Dubai so far this year, a closer look at property transactions valued over AED 10 million shows that older areas still dominate sales in this segment. According to statistics from Data Finder, the real estate data and insights platform under Property Finder Group, old investor favourites Downtown Dubai and Palm Jumeirah lead in terms of volume of apartment transactions valued above AED 10 million from January until October 2019. Emaar’s under-construction Il Primo project in Opera District accounted for 18 of the total 34 luxury apartment transactions in
Downtown Dubai. On the Palm Jumeirah, the Royal Atlantis Resort & Residences made up 13 of the total 31 luxury apartment transactions in the first 10 months of the year. The Alef Residences on the Palm Jumeirah also accounted for eight apartment transactions above AED 10 million. When it comes to luxury villa sales, both established and new communities have performed equally well until October 2019. The top 5 communities for highest volume of villa sales above AED 10 million were Dubai Hills Estate (47 deals), the Palm Jumeirah (43), MBR City (32), Emirates Hills (22) and Jumeirah Golf Estates (13). Average price of luxury of homes in Dubai seem to average between AED 22 million to just over AED 25 million.
On the web Keep up to date with all the latest news, features and much more on our website. www.cbnme.com
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Kasun Illankoon Deputy Editor kasun@bncpublishing.net
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// Update An update from around the region
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Projects
Al Akaria and Arabian Dream Triple Five to collaborate on developing world’s largest mixed use entertainment and shopping center
Al Akaria Saudi Real Estate Company announces its initial collaboration with Arabian Dream KSA, principally owned by Triple Five Worldwide, owner and developer of the three biggest retail and entertainment centers in North America – Mall of America, American Dream and West Edmonton Mall, to develop the world’s largest mixed use entertainment and shopping center development of its kind at Akaria’s Al Widyan site in Riyadh. Estimated at USD 5bn to develop, this new destination will comprise theme parks, water parks, recreational and sports facilities, retail dining, 12
shopping centres and hospitality components, coupled with the latest artificial intelligence technology to create a truly different visiting experience for all its visitors when it is completed. The development is located within the Al Widyan masterplan which is 100% owned and being developed by Al Akaria. Spread over 7 million square meters, the Al Widyan masterplan is being designed and developed as a fully-integrated mixed-use development and leisure destination based on the principles of wellness and quality of life and incorporating a
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blend of carefully planned lifestyle, commercial and entertainment districts and clusters. First phase launch of the Al Widyan project is targeted to take place in the first half of 2020. “We are very proud to partner with Arabian Dream and Triple Five on the development of a mega leisure and entertainment destination at our Al Widyan project site. With the proven track record of Triple Five in developing such projects and creating new experiences for its visitors, we are confident that once completed, it will become a new destination
for residents of Riyadh and visitors to Saudi Arabia. Through this project, we are also proud to play an active role in contributing towards Saudi Arabia’s Vision 2030”, said Aiman Mudaifer, Chairman of Saudi Real Estate Company. “Al Widyan is the largest project in our portfolio. This collaboration with Arabian Dream aims to bring a unique leisure and entertainment experience to its residents, visitors and tourists. This project is a testament of Al Akaria’s ambition to deliver world class developments,” added Kelvin Kwok, CEO of Saudi Real Estate Company.
Contracting
ECC appointed as Main Contractor for the Largest 3D Printed Project in the World
Engineering Contracting Company LLC (ECC) is the main contractor of the largest 3D printed project in the world that has achieved the Guinness World Record in partnership with Dubai Municipality. Located in Al Warsan, the project will be utilized as an office spanning over 640 sq. m. with two levels, 9.5 meters in height making it the largest 3D printed project in the world. The vision for the project was to create an efficient development keeping in line with the new futuristic www.cbnme.com
vision for Dubai – to become the leading hub of 3D printing technology by the year 2030. Kareem Farah, CEO of ECC, commented: “We are thrilled about this partnership with Dubai Municipality and for the project to have achieved the Guinness World Record for the world’s largest 3D printed development. Challenging projects are a cornerstone of ECC and what we are truly known for in the construction market. We pride ourselves on innovative, never-been-done proj-
ects and executing them to the best of our ability. The team working on the project have outdone themselves and we are exceptionally proud of each one of them.” The development was printed using locallysourced materials with one machine. ECC Group’s associated companies Abanos Interior Fit-out and Joinery, Prime Metal Industries (PMI) and Prime Ready Mix (PRM) were appointed as subcontractors for the supply and installation of wooden
doors, glass, aluminium panels and manufacturing of special concrete respectively. Ali Ahmed Mustafa, Project Manager, commented: “It’s a great honour to be a part of this historic and iconic project that has broken records – worldwide. We were able to attain this milestone due to the commitment, hard work and relentless perseverance of the entire team working on it along with the immense resourcing support from the head office.”
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// NEWS
Contracts
Eagle Hills Awards Contract to MJM for Main Works of Kalba Waterfront
Eagle Hills Sharjah, a joint venture between Sharjah Investment and Development Authority (Shurooq) and Eagle Hills, has announced that it has awarded the contract for the main works of Kalba Waterfront in Sharjah to MJM Contracting LLC. The contract involves the architecture, infrastructure and landscaping of the mall, which once complete will offer residents and visitors of the emirate an integrated leisure and shopping 14
destination, combining the convenience of modern shopping, leisure and recreation amidst the serenity of Kalba’s natural lagoons. Low Ping, CEO of Eagle Hills, said: “Eagle Hills is fully committed to developing a unique leisure and shopping destination in Kalba, Sharjah through an innovative retail concept offering advanced shopping facilities complemented with a variety of outdoor
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experiences. Our latest agreement with MJM is an important milestone to realizing this one-of-a-kind development, in line with our commitment to supporting Sharjah’s growing tourism and leisure sector.” Kalba Waterfront will have a total built area of 20,000 square meters. It will feature a mix of retail, food and beverage outlets, a waterfront promenade and terraces, a supermarket, a large food
court, as well as a family entertainment center. Low Ping added: “With MJM’s expertise in building high quality shopping centers, we are confident the company will deliver Eagle Hills’ vision of a worldclass tourism and shopping destination. The construction of the mall will be inline with our international standards and will complement Sharjah’s rich and natural heritage.”
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// Expo 2020
Uniting Water, Energy & Food CBNME spoke to Michiel Raaphorst, co-founder of V8 Architects about the unique design of the Dutch Expo 2020 Pavilion.
The Netherlands will be represented by a unique pavilion that is not a building in the traditional sense, but a temporary climate system built using locally sourced building materials. The Netherlands will invest EUR 19.4 million in its Expo 2020 participation. The pavilion was designed in close collaboration between the Dutch firms V8 architects, Kossmann.dejong, Witteveen+Bos and the Swiss-based 18
firm Expomobilia. The Dutch Pavilion will be located in Expo 2020’s Sustainability Thematic District. V8 Architects is a full-service architectural office founded in 2011 by Rudolph Eilander and Michiel Raaphorst. The office is known for designing characterful buildings that tell the story of their surroundings. V8 consistently seeks to strike a balance between human beings and their liv-
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ing environment. Their designs are surprising and imbued with meaning, pragmatic and enriched with storytelling. With a dedicated team of specialists in design, research, and engineering, the office works on commercial projects, offices, housing, public buildings and infrastructure, in an international context and at various scales. “My career is a collection of very
inspiring experiences with different offices, before founding V8 Architects together with Rudolph Eilander. I have worked at an urban design studio, a project developer, a communication firm and at two of the bestknown Dutch architectural practices where I have also gained extensive international experience. This wide range of experience enriched my architectural vocabulary and allows me to relate to all participants in the design process. You could say that I am capable of understanding the client’s wishes very well. V8 Architects is known for its very strong contextual related solutions. Tailor-made solutions that enhance cities and their urban environment. The unique aspect of our projects is that people can easily identify themselves with our buildings. Our buildings tell a story about their users, the city they are part of and the times we live in,” said Michiel Raaphorst. The Dutch pavilion is the embodiment of the Netherlands’ chosen theme of ‘uniting water, energy, food’ and demonstrates the connection this www.cbnme.com
Michiel Raaphorst, cofounder of V8 Architects
country makes between sustainable energy, water management, agriculture, and circularity. Inside the pavilion, visitors are treated to a sensorial rich experience of Dutch know-how and skills in the field of innovative water, energy and food harvesting. According to Michiel Raaphorst in Dubai’s dry desert climate, the
Netherlands will create a temporary biotope. “The architectural design is, in fact, a smart engineered biotope. A circular built pavilion, in which water, energy, and food are intrinsically connected. One could say that the pavilion works like a harvesting machine, in which we harvest water, energy, and food.
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// Expo 2020
And where visitors can experience these natural phenomena in a sensory way. It will be built using rented construction material, like sheet piles, and will be finished with biobased materials, like mycelium. So after the Expo2020 we will return the materials to the local building industry or degrade them biologically. A zerofootprint as a legacy, that’s the key.” The pavilion will be built by way of a construction method and materialization that makes the closed-loop circularity concept intelligible. To minimize transport, the entire pavilion will be constructed using locally sourced construction materials. All materials will be either given back or recycled after the expo closes, a strategy that will keep the pavilion’s ecological footprint as small as possible. Building on the Netherlands’ international reputation for excellence in civil engineering, the pavilion is a temporary exercise in pragmatism. In contrast to the civil engineering character of the exterior, the interior adds a scintillating layer of light, tactility, and refinement, inspired by the typical rhythm of the Dutch landscape and geometric patterns and elements from the Arabic culture. “In our opinion that is because buildings are designed for the future. They should sustain and be used not only today but also in the future. This is the genuine thought behind sustainability: to take responsibility for the coming generations. And with the designed environment we are also able to adapt to and answer societal challenges. Like we show in the design for the Netherlands pavilion; a building could in the future act as an inclusive biotope,” Michiel commented. When it comes to challenges that were faced in coming up with the design of the project, Michiel said: “To test the various technical elements and how they work together, we need to simulate the local circumstances during the Expo 2020. Since these conditions are completely different than the Netherland ones, this is 20
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somewhat challenging.� We asked Michiel if there were any other projects they’re slated to work or are working in this region, he said that was not on the horizon for the moment: “We are currently busy with investigating how we can redevelop and redesign some of the unfinished buildings. For this, we can contribute to our extensive know-how since this www.cbnme.com
is how we continue to develop our European cities and make them more vital and resilient. Just imagine: a concrete skeleton has a lifespan of more than a hundred years, why not use it again? It would make cities more organic and it improves the feeling of belonging. It would be great if we can share thoughts about this vision with developers in the region.
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// Advertorial
Legacy of Excellence CBNME spoke to Cyrus Engineer, Managing Director, Shapoorji Pallonji International Property Developers LLC, about their latest projects and how being innovative has set them apart
Tell us how has 2019 been for Shapoorji Pallonji International Property Developers? The year 2019 has been slower than expectation. Nevertheless, we saw the advent of some very buyer-friendly payment schemes and other customer focused initiative which makes property purchase a very compelling decision, given the current prevalent rates. The post-handover plan launched for our landmark project – Imperial Avenue has generated considerable momentum and coupled with our construction progress has resulted in a strong sales pipeline & conversion rates. Tell us what are the expectations for 2020? Expo 2020 Dubai is to be the “single biggest opportunity” to push business growth in 2020 and developers are ramping up to address the real estate requirements of the 25 million visitors expected to visit Dubai 22
during the Expo 2020. This will also boost the associated sectors of hospitality and commercial office space. Additionally, residential units that are under construction are also scheduled to be completed by 2020. This shows that contractors are geared up to meet this demand and will play a major role in helping the city deliver this iconic event. Dubai’s real estate market is close to the bottom of a two-year downturn and the market should pick up ahead of Expo 2020. While higher oil prices and an increase in construction activity in the lead-up to Expo 2020 Dubai is expected to boost real estate market growth next year and rates are expected to stabilize in 2020. Tell us about the latest projects that the company is involved in? We are in the throes of delivering Imperial Avenue, a luxury residential
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tower located in the Burj Khalifa District in Downtown Dubai. Imperial Avenue boasts of panoramic views of both – the Burj Khalifa and the Dubai Canal. Imperial Avenue has a good mix of 2, 3, and 4-bedroom apartments, 4- and 5-bedroom penthouses, and 4and 5-bedroom podium villas. The tower is now 50% complete and on schedule for completion by Q3 2020. The construction of 38 floors has been completed in less than two years, demonstrating the company’s long-term commitment to the UAE real estate market and to this landmark project valued at over AED 1.5 Bn. Tell us what makes those project you are working on so unique? The project boasts of a many first such as 6D BIM Technology, Thermodynamic water heating, piped gas,
Grey water Harvesting and Water Purifiers, which helps reduce the maintenance costs • 6D Building Information Modelling refers to the linking of individual 3D components or assemblies with all aspects of project cycle management information. • Electric car charging bays as per authority guidelines. • Unitized Curtain Wall system, with U value (which indicates thermal performance), is provided at a level which is better than local regulations, hence resulting in better HVAC performance & lower energy consumption, lower life cycle costs • Aerators used in Faucets & Showers, which result in water savings of more than 50% vs., conventional faucets & showers • Power saving Kitchen Appliances, including Gas fueled Cooktop which results in energy savings & lower life cycle costs • Smart Elevators with PLC’s which control optimal & efficient routing & based on traffic studies (lower energy consumption), have specified & provided lift speeds to ensure avg., waiting time for occupants which is benchmarked better than hotels • 3D planning of voluminous & complex concrete pours to identify & address constructability constraints (including provide heat dissipation points, control temperature of concrete by using crushed ice, adjusting reinforcement & rebar size) Tell us what are the features of the current project – Imperial Avenue - and why is the project so special? The project offers world class amenities and facilities such as 2 infinity swimming pools, a gym, squash court, steam room, games room, kids play area, mini theatre, multi-purpose hall, 13 high-speed elevators, 10,000 sq.ft. lobby and a grand entrance driveway. The project comes with a fully fitted www.cbnme.com
kitchen, premium finishes and fixtures and wooden decks in all apartments We have a ready show apartment, so prospects can get an idea of the quality we have to offer. In terms of the market here in Dubai – what are the encouraging signs you see in the construction industry that provide Shapoorji Pallonji to make an impact in the near future? Dubai’s regional hub stature is increasingly growing on the global level, thanks to the government's investorfriendly policies for high net worth individuals and multinational companies to make the emirate their home. The upcoming mega event Expo 2020, with over 20 million visitors expected to come to Dubai by 2020, the Expo is expected to provide a significant boost to the various sectors including construction & real estate. Apart from these, the robust vision of the leadership has ensured that Dubai will continue to lead the region in its quest for economic supremacy.
In terms of going beyond the UAE, are there plans to start up projects in Saudi Arabia or GCC? Yes, we are exploring opportunities in the GCC but we firmly believe that wich to partake in the UAE growth story. In terms of sustainability, what steps have Shapoorji Pallonji taken to increase their sustainability at construction sites and also their projects Where we stand today, sustainability is a burning need that everyone is responsible to ensure! Be it developers, regulators or designers. We all need to adapt to sustainable practices in our businesses. As a developer, we are translating this into practice at our landmark project - Imperial Avenue, located at Downtown Dubai. We have a thermodynamic water heating system on the rooftop to supply hot water to all the units. Moreover, we have over 40,000 ft2 of landscaped area on the podium that is catered to by greywater harvesting, 6D BIM technology and centralized water treatments plants, all of which create a sustainable footprint for the next generation.
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// Real Estate
PropTech Prospects With an established technological infrastructure and a favourable start-up ecosystem, the Middle East offers unparalleled opportunities for real estate entrepreneurs By Kasun Illankoon Digital technologies have transformed the world of business with inventive solutions, productivity gains and cost efficiencies. Real estate, long impervious to innovation, is the latest sector to be affected, and the Middle Eastern realtors are beginning to grasp the benefits of PropTech, as the innovations are referred to. Globally, venture-backed real estate tech companies raised $14 billion in the first two quarters of 2019, an eye-opening 309% increase from the same period over the previous year, according to CREtech.com's 2019 MidYear report. Here in the region, as much as 80% of the industry believes PropTech can be a business enabler, according to a survey by HexGn’ Global PropTech Time, a digital lab focused on technologies dedicated to the real estate industry. PropTech prospects in MENA Companies such as Estater App are changing the way real estate transactions are being executed in the region. The start-up, which operates in Bahrain and Kuwait, offers an intuitive platform for listing, sharing, finding or managing a property using sophisticated GIS mapping. Similar ventures across the region are unlocking the benefits of Artificial Intelligence (AI), Virtual Reality (VR) and the Internet of Things (IoT) to maximise efficiency and rationalise the resources associated with real estate transactions. Dubai-based start-up HomeValue, for instance, has launched the region’s first independent home valuation platform, powered by artificial 24
intelligence algorithms. Via Fone Technologies bridges the B2B gap with an AI chatbot to engage customers in two-way communication. Favourable start-up ecosystems These start-ups have capitalised on the region’s favourable start-up ecosystems, established as countries in the Middle East seek economic diversification. Incentivising entrepreneurs is a tried-and-tested way of doing so, while simultaneously creating jobs and reducing income inequality. Bahrain, for example, takes an evolved approach for entrepreneurs, particularly for new players in PropTech, where licencing and regulatory approvals can be cumbersome and time-consuming. The nation’s Real Estate Regulatory Authority promotes a transparent environment, while cre-
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ating a five-year sector strategy in line with international best practices. GCC nations have also been among the first to embrace this new wave of disruptive technologies by assembling dedicated infrastructure for maximum value. In June, Bahrain became one of a select handful of nations offering commercial 5G networks, which will allow property asset managers to equip buildings with future-proofed cloud-based and IoT services. With an established, connected infrastructure to cater to a regional population of 411 million — and expand into other international markets, the foundations for a Middle Eastern PropTech revolution have now been put into place. International entrepreneurs need only bring their A-game to the market.
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// Real Estate
Surging Demand Dubai property sets new 1-day record in volume of registered deals, reveals Property Finder
November 24th witnessed an 11year high in terms of the number of overall property transactions registered in Dubai in a single day, according to Data Finder, the real estate insights and data platform under the Property Finder Group. A total of 515 real estate transactions cumulatively worth AED 888.3 million were registered in Dubai on the day, the highest since 2008 when data became publicly available. The second-highest 1-day volume recorded was on September 6, 2015, when 405 property transactions were registered in Dubai. The lowest volume of transactions so far this year was registered on May 16, with 163 real estate deals. The most expensive property transaction registered on November 24 was a 5-bedroom penthouse on the 45th floor of The One JBR which sold for AED 33 million, according to Data Finder statistics. 26
“We are starting to see some new dynamics in the market take shape, mostly due to Expo 2020 and it will be interesting to see how these trends will grow into next year,” says Lynnette Abad, Director of Data and Research, Property Finder. Off-plan properties dominated sales registrations on November 24, accounting for 387 out of the 515 deals. In this segment, buyers mostly opted for off-plan apartments, with 248 unit sales registered. Popular areas In terms of buyer preferences, popular off-plan apartment projects were Dubai Creek Harbour, La Mer, Azizi Riviera and Damac Hills. When it came to off-plan villa developments, Emaar’s Arabian Ranches 3, Expo Golf Villas in Dubai South and Dubai Properties’ Villanova registered the most number of deals on November 24. Off-plan properties are still the fa-
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vourite for investors due to attractive prices, payment plans and fee waivers by developers. This comes on the back of a record October for Dubai property, with sales hitting a 11-year high on a monthly basis. Property Finder had reported that 4,774 overall property sales were recorded with the Dubai Land Department (DLD) in October 2019, the highest since 2008. “Sales transaction volume is 4 percent higher to date this year than all of 2018. I believe this trend will continue into 2020, where we will see higher amount of transactions take place than years before,” adds Abad. All these point to a resurgence in consumer confidence in the Dubai property market, with the abundance of new supply at affordable prices. With Expo 2020 around the corner, people are no longer sitting on the fence. Instead, it looks like they are making up their minds to purchase property.
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// Cover Story
Amira Sajwani
Journey of an Emirati Role Model and Business Woman Kasun Illankoon spoke to Amira Sajwani, Senior Vice President – Operations, DAMAC Properties, about her role in the company and how DAMAC Properties continues to create a unique experience for their customers
A
mira Sajwani, Senior Vice President – Operations at DAMAC Properties, is in charge of day-to-day operations across DAMAC Properties, ensuring that cross-function teams are working closely to deliver dream homes and thriving communities. “As always, as a real estate developer, we consider our customers and our operating environment equally important. As a company that is UAE based, we aim to support the needs of the economy and of the people who call it their home,” said Amira. Within her expansive portfolio, she oversees the operations of DAMAC’s network of agents both locally and internationally, and plays an instrumental role in developing agent programmes and initiatives, which strengthens partnerships, and empowers agents with the tools they need to sell more effectively. She also oversees the recruitment and development of customer relationship management team members, and the digitalisation of customer portals and services.
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Many of Amira’s earlier days were spent working with DAMAC’s Commercial Department, where she was able to gain experience of project management and international development. Amira also worked closely with DAMAC’s Chief Finance Officer, which helped her develop an understanding and interest in private equity as well as mergers and acquisitions. This was instrumental in her decision to pursue a Masters in Corporate Finance. The skills she gained during the cross-training, coupled with her post-graduate education, ensured that Amira was destined for a successful career in real estate. “The common objective for all of us at DAMAC is to enable the creation of sustainable communities. To achieve this goal, and in my current role in the company, my primary focus is on our partners' division, which deals with our vast network of agents and brokers. I work very closely with our agents to improve the synergy between them and our internal teams.
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// Cover Story
DAMAC has very recently launched a loyalty programme for agents and an online platform which is aimed at creating better engagement and improving efficiency. We are also working on many other initiatives that will help connect customers with their dream homes,” said Amira. Hussain Sajwani Influence “My brothers and I have inherited the entrepreneurial spirit from my father who has always inspired us to develop an innovative approach to business. Having an entrepreneurial mind-set is crucial when it comes to approaching challenges and opportunities. It enables me to stay committed to the vision of the company while encouraging creativity and innovation within my team. In an environment that is rapidly evolving through technology and people, I think being businessfocused and business-savvy is what sets you apart from the crowd, and I truly believe that all of us don the entrepreneur hat at some point in our careers. I’ve grown alongside the growth of DAMAC Properties, and I have vivid memories of my father taking us to the site of DAMAC’s first project, Marina Terrace, passionately explaining every tiny detail of the project to us. Ever since then I’ve wanted to be a part of his vision, and I’m grateful that I’m able to contribute in meaningful ways now.” Amira’s father, Hussain Sajwani, Chairman of DAMAC Properties, is a pioneer of the property market expansion in Dubai. In the mid-90s, he built several hotels to accommodate the growing influx of people coming to the emirate to do business and trade. In 2002, he identified a growing market opportunity and established DAMAC Properties, which has grown to become one of the largest property development companies in the Middle East. “My father has been a great source of inspiration, both in my professional 30
and personal life. The valuable lessons that I have learnt from him have had the most transformative impact on me. His phenomenal entrepreneurial journey and his deep sense of serving the community have shaped my understanding and idea of business and leadership. I also find his passion and involvement in the day-to-day operations of the company very inspiring. For me, he will always be my role model,” said Amira. DAMAC’s performance in 2019 “Considering prevalent softer market conditions and the current imbalance between supply and demand, our strategy is focused on delivering projects that are in the development pipeline, while limiting new launches,” remarked Amira. In 2019, DAMAC delivered 3,072 units in the first nine months of the year. This also includes the first ever handover in AKOYA, the Company’s largest master development.
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“We have awarded contracts worth nearly AED 500 million in the first two quarters of the year for completion across key projects such as AKOYA, DAMAC Towers by Paramount, and DAMAC Maison Privé, among others.” “We are the only company in the Middle East & GCC who have paid down total debt by 30% in the last 12 months. This was paid by cash from operations, and this is a sign of strong cash flow generation and sensible balance sheet management. We have increased our collections, cut our receivables and controlled operational costs even as we see the emergence of risky, long-term customer payment plans that are available in the market today. Our strategy has always been dependent on market conditions, and being an agile organisation, we are able to switch gears easily and adapt based on the needs of the market,” said Amira “Dubai's real estate market is maturing as it evolves into a market where
people are looking for homes, and not just assets. While the market has been soft in terms of prices, the long-term outlook is positive. Key government initiatives such as the introduction of long-term visas for investors and skilled professionals, 100% foreign ownership of businesses, and the establishment of the Higher Committee for Real Estate Planning will provide a long-term boost for Dubai's real estate sector. The economic impact of the upcoming Dubai Expo 2020 will also drive traction for the real estate sector.” DAMAC’s Projects Earlier this year, DAMAC introduced Zada, a community-inspired residential property in Business Bay. Overlooking the Dubai Canal, the project features one-bedroom luxury homes along with world-class amenities such as an open-air cinema, a wellness centre, landscaped gardens, and swimming pool, among others. Zada is DAMAC's response to a growing demand for accessible luxury homes and offers the www.cbnme.com
perfect combination of location, luxury lifestyle, and value for money. “At DAMAC, we have always believed in developing real estate that aligns with the aspirations of Dubai and the vision of the country's wise leadership. As Dubai evolves into a place where people are looking to settle for the long term, we have shifted our focus on creating mixeduse communities that offer the perfect environment for families. Our master communities, DAMAC Hills and AKOYA, serve as ideal examples of community living spaces that appeal to every aspect of human life. Moreover, we approach real estate as a service and not just a product. Through effective community management, we activate our communities by organising events and activities that bring residents together to do what they love. Within the last two years, in our master community DAMAC Hills, we have welcomed more than 6,000 residents who enjoy a holistic lifestyle that is secluded enough for peace and quiet,
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// Cover Story
DamacResidenze with interiors by Fendi - with views of Palm Jumeirah
and is only 30 minutes away from the bustling heart of Dubai. On the construction front, we also have an expert team who incorporates innovations in real estate technology to achieve significant efficiencies on various fronts, an example of which is ‘framework construction’, a methodology that streamlines construction and helps save time,” said Amira. When asked about what makes DAMAC’s project so unique Amira pointed out that their unique brand of luxury and the ability to gauge the present and future aspirations of customers set them apart in Dubai's real estate market. “Our projects are designed to serve 32
as wholesome communities where residents can live fulfilling lives. As a leading real estate developer, we have been at the forefront of the many phases of Dubai's real estate sector, and we have delivered over 27,400 residential and hospitality units till date. Through our human-centred approach to real estate, we have created some of the most iconic projects in Dubai that have offered continued value to both investors and residents. Building on our success in the Middle East, we have also expanded to international markets like London and the Maldives, where we’re developing differentiated living experiences that complement the local culture.”
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Women in Construction The “glass ceiling” still exists in many occupations and industries, including construction. There are a variety of reasons why women have a hard time breaking through but this seems to be changing. The construction industry is not homogeneous; it embraces a wide range of activities, products and skills. It includes design, building, civil engineering, oil and gas, heavy engineering, design and consultancy, and companies manufacturing and fabricating components and products used by the industry. Companies range from those employing over 5,000 people to small and medium-sized enterprises that are
the backbone of the industry. A multitude of skills and trades make up the workforce. The industry has changed significantly over the past decade, with new forms of procurement, partnering arrangements, increasing use of design and build with more integration between design and production, greater use of off-site pre-fabricated components, customisation of standard components, a new culture of health and safety, more use of product skills as opposed to trade skills, and more specialisation. Due to this transformation, Amira believes that the industry itself is becoming more inclusive. “The real estate sector, which was www.cbnme.com
once considered to be a male-dominated industry, is becoming more inclusive of women. Today, women are transforming the real estate industry as professionals, agents and inspiring leaders. Women bring a unique set of skills that make them especially fit for the real estate sector, and these are inherent attributes such as active networking skills, the ability to quickly gain local expertise, multi-tasking and strong negotiation skills. At DAMAC, we strongly believe in the value that women bring into the business. Currently, women represent around 30% of our workforce, with the number steadily increasing year-on-year,” remarked Amira. Challenges “Right now, the biggest challenge faced by Dubai's real estate market is the imbalance between supply and
demand. At DAMAC, we have taken proactive measures such as limiting new launches and focusing on delivering existing projects. If the industry takes necessary steps to strike the right balance, we will be out of the woods and back on our trajectory of growth. At DAMAC, we are focused on the realities of demand, both in terms of quantity and type. It is interesting to note that we are witnessing a stabilisation in prices in certain areas, which signals a recovery of the real estate market,” Amira said. Amira's rise to the top at DAMAC should not be a surprise. From an early age, Amira has been destined to be one of the leaders of the company and is seen as one of the top role models in the country. Her leadership and forward thinking decision making cannot be ignored by her peers and this ultimately will make her stand out more in the near future.
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// Site Visit
Creating Experiences Kasun Illankoon spoke to Fouad Mashal, CEO of Al Barakah International Investment, about the Al Qana project Located in the heart of Abu Dhabi extending across 2.4 kilometres of waterfront, Al Qana is the ideal destination to leave behind the busy city and experience an atmosphere that leaves you feeling rejuvenated, excited and alive. Connected by four travers-
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ing bridges, visitors can stroll leisurely along the boulevard experiencing the absolute best in dining, entertainment, retail, wellness and adventure. Designed as an energetic, fun-filled destination for the whole family, the space lends itself to an abundance
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of immersive experiences from onground water shows, live performances and concerts, interactive gaming hubs and underwater aquarium adventures. Al Qana will include state-of-the art facilities from waterside eateries, the
Fouad Mashal, CEO of Al Barakah International Investment
largest standalone cinema in Abu Dhabi, the Middle East’s largest aquarium, first-of-its-kind lifestyle hub including wellness facilities, first to the UAE VR park, kids’ zone, and landscaped community spaces that are aimed at encouraging social interaction. Al Qana is the first-ever Build-Operate-Transfer (BOT) model project jointly developed by The Department of Urban Planning and Municipalities and Al Barakah International
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Investment that contributes to Abu Dhabi’s vision 2030. The project is expected to be completed Q4 2020. Al Barakah International Investment who have a successful and diverse portfolio within real estate development, contracting and engineering, facilities management, tourism and hospitality, and healthcare. Through their partnership with governmental entities, Al Barakah International In-
vestment has contributed significantly through major community development projects that lay the foundation to a thriving nation. CBNME had a chance to talk to Fouad Mashal, CEO of Al Barakah International Investment who tells us all about the Al Qana Project: Abu Dhabi being the ideal location to open Al Qana Abu Dhabi aims to cement its position as one of the most liveable cities in the world and the ultimate destination for entertainment. Hence it was important to create spaces in the capital that encourages social interaction and provide residents a healthy lifestyle that contributes to their well-being. Al Qana was designed to support the capital's vision for 2030 and Tomorrow 2021 Plan. It is a landmark that will be positioned prominently in the social fabric of Abu Dhabi, nearby the heart of the new city. It will also be close to other major developments and attractions such as Warner Bros, Ferrari World and Louvre Abu Dhabi, with a direct eye-line view of Sheikh Zayed Grand Mosque. Located on Khor Al Maqta Al Qana is located on the historic natural Khor Al Maqta and the waterway bordering the mainland in close prox-
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// Site visit
imity to the iconic Sheikh Zayed Grand Mosque. Adjacent to the neighbouring five-star hotels, the development is in a prime location for both residents and tourists. Al Qana’s location does not only complement the existing community, but also the other famous landmarks of Abu Dhabi. Features of Al Qana Al Qana is a unique waterfront social dining and entertainment destination. 36
The development is one of the muchanticipated touristic landmarks in the capital featuring seven anchor destinations spanning over 2.4km of scenic and picturesque waterfront walkways. Al Qana will be divided in seven key districts. It will include state-of-the art facilities from waterside eateries, the world’s first Cinemacity CityMAX theatre, the Middle East’s largest aquarium, first-of-its-kind lifestyle hub including wellness facilities, first to the
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UAE VR+ e-sports gaming & academy park, kids’ playground zone, outdoor skate park, and landscaped community spaces that are aimed at encouraging social interaction. Al Qana is an exceptional large scale project and with its functional diversity and distinctive architectural design, will play one of the key roles in future social and architectural developments in Abu Dhabi. Besides the unique architectural language of the whole
development, accentuating movement and dynamics of the form, each building has its own distinctive architectural features and design story. For instance, one specific element, the façade cladding material was developed specifically for Al Qana in order to fit the project vision. Latest Technology and Innovation in building Al Qana There is no doubt that Al Qana is an exceptional large-scale project in Abu Dhabi, with its functional diversity and innovative architectural design. In order to establish a unique architectural language of the whole development, our architects have developed the façade cladding material specifically for Al Qana in order to fit the project vision. www.cbnme.com
Challenges Such an important project doesn’t come without its challenges. We are building a social dining and entertainment destination with high expectations from nationals, residents and government officials as well. This is the reason why we worked hard to hire experienced and talented staff. We partnered with world-class companies from around the world to raise the quality of this project. We aim to exceed the expectations by delivering a unique destination that will provide an unparalleled experience to its visitors and make them feel rejuvenated, excited and alive. Al Qana Redefining Future Projects In line with the capital's vision for 2030
and Tomorrow 2021 Plan, Al Qana is a destination that will play a key role in supporting the government to realise its vision of enhancing Abu Dhabi’s status as one the world’s most popular destinations for business, leisure, lifestyle and entertainment. Al Qana aims to enhance the quality of life in Abu Dhabi by improving recreational, cultural, sporting and active initiatives. It is also a touristic hotspot supporting Abu Dhabi Department of Culture and Tourism (DCT Abu Dhabi) efforts to strengthen the emirate’s stature as a leading international tourism and cultural destination. With Al Qana, we also want to keep pace with the new requirement of visitors and reflect Abu Dhabi's multicultural society. Al Qana has been conceived to become an integral part of the Abu Dhabi social fabric.
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// Feature
Top Contractors in Saudi Arabia Construction Business News ME takes a look at some of the leading contractors in Saudi Arabia and what are the recent project that they were involved in. Following a deceleration in 2017, Saudi Arabia’s GDP growth began to recover in the first quarter of 2018. It is estimated to have reached 2.2% in 2018 according to the IMF latest estimates and is set to further accelerate, reaching 2.3% in 2019. The return to growth has been underpinned by a combination of favourable factors including a rebound in oil prices, a gradual acceleration in the growth of the non-oil economy and the govern-
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ment’s shift away from a tight fiscal policy as announced in the 2018 and 2019 budgets. The gradual acceleration has resulted in planting confidence among the construction sector, in particular for contractors in Saudi Arabia. The implementation of various urban regeneration initiatives including mixed-use communities and large-scale infrastructure projects, is expected to act as a catalyst for the real estate market.
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Larsen & Toubro
Larsen & Toubro is a major technology, engineering, construction, manufacturing and financial services conglomerate, global operations. L&T addresses critical needs in key sectors – Hydrocarbon, infrastructure, power, process industries and defence. L&T is engaged in core, high impact sectors of the economy and out integrated capabilities span the entire spectrum of ‘design to deliver’. With 8 decades of a strong, customer focused approach and a continuous quest for world class quality, they have an unmatched expertise across technology, engineering, construction, infrastructure projects and manufacturing, and maintain a leadership in all their major lines of business. The company is one of the top contractors in Saudi Arabia with major contracts being signed during 2019. According to ProTenders, Larsen & Toubro currently have $36.5 bn in projects in Saudi Arabia. In a major international competitive bidding process, the Metallurgiwww.cbnme.com
cal & Material Handling Business of L&T Construction has been awarded a large order from MA’ADEN Gold and Base Metal Company (MGBM), wholly owned subsidiary of Saudi Arabia Mining Company (MA’ADEN) for setting up Mansourah Massarrah Gold project. Ma’aden is the champion of the Saudi Arabian Mining Industry, and now internationally recognized mining company with global presence. This (EPC) Engineering, Procurement & Construction order for gold processing plant in the Kingdom of Saudi Arabia, secured against stiff global competition is the largest single EPC order for the Metallurgical Business in International market. Mansourah Massarrah gold project once commissioned will be the largest capacity gold processing plant for MA'ADEN. This project will be developed in consortium with OUTOTEC based on the latest Pressure Oxidation Technology (POX) and will be one of its kind within KSA.
The scope of the work involves design, engineering, procurement, installation, construction & commissioning of various sub units of the process plant and associated infrastructure works. The project is located in the Central Arabian Gold region. The end client MGBM manages production and sale of gold, copper, silver, and zinc, with gold accounting for the biggest business segment. Also in July 2019, the consortium of L&T Hydrocarbon Engineering Limited (LTHE) and EMAS AMC PTE Ltd. (A Subsea7 Company) were awarded a project by Saudi Aramco. This project consists of twenty eight offshore jackets in ZULUF, MARJAN, SFANIYA & RIBYAN offshore fields of Saudi Arabia. It demonstrates Saudi Aramco’s trust on LTHE’s capability to deliver to a challenging schedule with excellent safety and quality performance. LTHE’s fabrication facilities in Middle East & India are fully equipped to execute these challenging projects.
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// NEWS
Nesma and Partners Contracting Co. Ltd
Nesma and Partners Contracting Co. Ltd., an engineering and construction company, is part of the Nesma Group. It has been a contributor to Saudi Arabia’s industrial and infrastructure sectors since 1981 with reliable, multidimensional construction services. Currently, Nesma and Partners is a recognized leader in the fields of oil and gas, petrochemicals, and power and water sectors. In addition to its role within a leading company responsible for major construction work in the Kingdom and the wider Gulf region, Nesma and Partners has established itself as the contractor of choice for an array of esteemed clients. With a reputation for efficient, impeccable service, the company continues to expand its construction expertise, incorporating the latest and most advanced industry technologies. 40
Nesma and Partners can meet all requirements of civil and building construction services, industrial mechanical (oil & gas) construction services, and electro-mechanical construction services. We can provide plant expansion and ground-up construction services for Lump Sum Turnkey (LSTK), Engineering, Procurement, and Construction (EPC), and Lump Sum Building (LSPB) projects. By combining technical expertise with immense knowledge of local markets and rich human capital, Nesma and Partners ensures ample resources for the most demanding construction, operations, or maintenance projects. According to ProTenders, Nesma and Partners currently have projects valued at $16.3bn. According to the company’s website, Nesma and Partners were involved and
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contracted for the following projects: • Camels Heritage Village Project at Riyadh • King Abdul Aziz Road Development Project • National Guard Health Affairs Specialized Hospitals, Riyadh, Jeddah, Al Taif and Al Qassim • Resort Cove Infrastructure Package – Zone B, King Abdullah Economic City (KAEC) • Riyadh Metro Project – Package 02 (Line No. 3), Riyadh • Jabal Omar Development Project Phase I, Makkah • Saudi Aramco R&D Lab – Phase II, Dhahran
*NOTE: Complete list of projects are on the company’s website: https:// www.nesma-partners.com/projects
Consolidated Contractors Company (CCC)
CCC’s origins go back to 1952 when three talented young entrepreneurs, the late Kamel Abdul-Rahman, the late Hasib Sabbagh, and the late Said Khoury, joined forces to create one of the first Arab construction companies. After decades of growth, CCC continues to practice the same style of management incorporated at its founding, a style based on mutual trust with clients, ease of communication, and smooth collaboration across locations and departments. Since the company’s humble beginnings, the CCC Group has expanded to include several subsidiaries, augmenting CCC’s regional and international status. Today, CCC leads the industry in the adoption of new technology to improve construction efficiency and enhance project controls. According to data obtained by ProTenders, CCC currently have project worth $14.1 bn in Saudi Arabia. One of the biggest projects that CCC are involved in is the Riyadh Metro Project, Package 1 - Lines 1 & 2 by Arriyadh Development Authority (ADA): CCC are www.cbnme.com
working in a Consortium comprising of a Civil Works Joint Venture and a Transit System Contractor. The Civil Works Joint Venture consists of Bechtel, Almabani and CCC in Consortium with the Transit System Contractor, Siemens (BACS). The consortium is responsible for the design and build of Lines 1 and 2 of the Riyadh metro network. These two lines will form part of the six-line metro system that will run for a total length of 176 kilometers across the city and includes 85 stations. The Riyadh Metro Project is implemented by Arriyadh Development Authority, the ex-
ecutive arm of The High Commission for the Development of Arriyadh. BACS scope of work on Lines 1 and 2 encompasses detailed structural, architectural, civil, MEP and transit system design together with construction, testing and commissioning works. BACS is fully responsible for the design and integration of the transit systems and the civil infrastructure.
NOTE: Complete list of projects are on the company’s website: https:// www.ccc.net/projects/
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// NEWS
Al Bawani Co.
Al Bawani Co. is categorized “Class 1” Construction Company by Saudi classification agency and ISO 9001 : 2008 certified for Quality Management System for design, Engineering Works and Construction Management of Housing Complex, Industrial and Commercial Buildings, Hospitals, Educational Institutions, Governmental, Diplomat Missions, Air Base and Defense Facilities. We are a construction firm that is capable of executing a turnkey project to the satisfaction of our clients. We are primarily concentrating with the Saudi Arabian market and in addition to this; we are selectively active within the Middle East in our strong fields and fields in which we can operate profitably. According to the company’s website Al Bawani are involved in these major project around Saudi Arabia: Arabsat by Arriyadh Development Authority This project has been in collaboration 42
with the High Commission for Development of Riyadh, where His Royal Highness the Prince of Riyadh issued his consent so that Riyadh Principality take over the supervision of the design and implementation of the building through an international competition in which more than 25 local & global designers have participated
and distinct project that keeps pace with the rapid development of one of the most important industry sectors of modern technology, namely, the information technology and communication sector.
Ministry of Foreign Affairs A new building with multiple facilities located at Al Nesseriyah Road in Riyadh for the Saudi Diplomats, Consuls, and general public engaged by the Ministry of Foreign Affairs. The project entails the following scope of work but not limited to: academic building, quality finishing, unique facade works, and extensive landscaping.
King Abdullah Center for Cancer & Liver Disease KACOLD is mainly a Tower building consisting of 23 floors (21 + 2 Basement levels). Total built-up area of the Tower is 83,750 M2. The project will also include a connecting bridge between the new Tower and the existing North Tower at levels 2 and 3. Central Plant Bldg. consists of (5) floors including two (2) Mezzanine floors. Total gross area of the Central Plant building equals to 12,630 M2.
ITCC by Al Raidah Investment Company Information Technology and Communication Complex is an intelligent
NOTE: Complete list of projects are on the company’s website: https://www. albawani.net/all-projects/
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// Interview
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Standing Out Kasun Illankoon spoke to Atif Rahman, Director and Partner at Danube Properties, on the growth of the company, their latest projects, and the importance of maintaining a good relationship with their buyers
Danube Properties the property development arm of Danube Group and is rated amongst top 5 developers in the UAE. Leading the charge is Atif Rahman, Director and Partner, Danube Properties, whose leadership and vision has led to Danube Properties being among the top brands in Dubai. In terms of growth over the last few years Atif said: “We’ve had phenomenal growth in the construction industry as we have a market share of 10.6%. Danube’s biggest advantage right now is the consumer trust we have gained over the years. When the group started in 1993 by our Founder & Chairman Rizwan Sajan, he started from a small store for building materials and now we are a multinational conglomerate diversified into many business verticals.” Atif explains how Danube Group’s strongest division – manufacturing quality building materials, has been instrumental in giving all Danube Properties a distinct advantage: “We have a huge advantage when it comes to building materials business because as Danube Group, we are largest building materials company in the region. Everything that goes into our building and properties comes from our own factory.” When asked about what makes Danube stand out, Atif pointed out that gaining the trust of the consumer and producing a quality product made them stand out. “It is not just one factor that can lead to the success of any product. You need to have a trust in brand, the right www.cbnme.com
“We have a huge advantage when it comes to building materials business because as Danube Group, we are the largest building materials company in the region. Everything that goes into our building and properties comes from our own factory.” Atif Rahman product at the right price along with the right quality. As a developer you need to remain focused on what you deliver and when you deliver which is a crucial aspect. We try to deliver the properties as soon as we can with the highest standard of quality. It is also important, when talking about any real estate project, there is no set design theme you can come out with. You have to treat every single piece land exclusively and ensuring
you are developing the best possible property. One of my dreams is to ensure that whatever we develop remains the benchmark for quality living for our consumers.” In an industry that is flooded with developers, Danube Properties have had to develop the right strategy to stand out. One of the ways is to make their properties affordable while providing a high level of quality. “Affordability is not cheap, and most individuals misunderstand affordable as cheap. How do you achieve affordability? This is not rocket science, this is a matter of common sense, and we do it by creating economies of scale. We go with the right volume in order to have the right negotiation power when we are buying the building material or when discussing with the contractors. We give affordability to our consumers by not cutting down on the quality or the amenities but by providing a high asset class at the lowest price possible,” said Atif. Atif further added: “I think Danube Properties is a very reliable brand with a great track record of delivering properties on time with the highest level of quality. When you look at our price point we are able to achieve the best affordability in any real estate class. The payment plan that we offer is convenient as you literally pay half of the property price till you get the handover of the property which is a big advantage. I believe if you look after your customers, they will look after you.”
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// Opinion
Ras Al Khaimah - A Rapidly Growing City Benoy Kurien, Group Chief Executive Officer of Al Hamra Real Estate Development, points out a few reasons why Ras Al Khaimah is growing
Heritage With an interesting archaeological heritage and rich cultural history dating back to the Bronze Age, Ras Al Khaimah, a Northern Emirate of the UAE, is one of the few places on earth that had been inhabited for more than 7,000 years. Its strategic location and favourable geographical factors have made it an attractive route for traders and merchants from across Asia, Africa, and Europe. Today’s Ras Al Khaimah, backed 46
by its naturally beautiful and serene landscape, is witnessing impressive economic growth with significant investments in infrastructure development. The emirate is rapidly evolving and bringing a new lifestyle choice for a diverse group of residents and tourists from across the world. Location, location, location With master-planned residential communities, world-class hotels, shopping malls, souks, entertainment facilities,
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leisure attractions and a superb infrastructure, Ras Al Khaimah is an idyllic city for families considering living close to nature and tranquility. Only 45-60 minutes commute from the center of Dubai, Ras Al Khaimah offers the best of both worlds – urban lifestyle and proximity to nature. Residents can enjoy premium community living with all possible amenities and a unique blend of varied natural landscapes including majestic mountains, coastal beaches, mangroves, sprawling
oases, desert and hot mineral springs in this northern Emirate. Living choices The relaxed lifestyle of the emirate is further complemented with affordable and elegant living choices. Assuring a high quality of life and convenient access to all emirates, Ras Al Khaimah’s residential portfolio includes a wide range of short-term and long-term accommodation from flats in low-rise apartment buildings to waterfront villas and everything in between. Moreover, the rental value on residences are today the most-competitive with studio apartments starting from AED 22,500 per year, further enabling residents to make significant savings monthly even if they work in neighbouring emirates. Also, investors looking for affordable homes in prime locations and high-rental yields have several options to explore. The city is well-equipped with public facilities including schools, universities, www.cbnme.com
hospitals, medical centres, parks, libraries, recreational and cultural amenities. Plus, recent announcements on utility tariffs by concerned authorities has enhanced the attractiveness of Ras Al Khaimah as an affordable alternative. Recreational activities Besides the unparalleled quality of life in terms of space and better value for money, Ras Al Khaimah offers plenty of active living opportunities such as rock climbing and mountain hiking, as well as a variety of sports including golf, equestrian horse riding, desert off-roading, fishing, sailing and surfing. The serene lifestyle and close-knit community spirit are ideal for families. Government drive The driving force behind Ras Al Khaimah’s considerable recognition on the local, regional and global stage is government’s economy diversification and development initiatives, in addition to the tax-free corporate business environment and the
convenience of obtaining residence visas in its free zones in record time. Recent statistics show that the government has been successful in cementing Ras Al Khaimah as one of the world's most welcoming and efficient investment destinations by making it easy for foreign investors to set up their ventures in the UAE. The recent inflow of investments in the hospitality, leisure, retail and MICE business will propel the city’s growth and help achieve its target of 1.5 million visitors by 2021 and a total of 3 million visitors by 2025. Home to the world's longest zipline since 2018 at Jebel Jais, UAE's highest point, Ras Al Khaimah continues to strengthen its reputation as one of the fastest-emerging tourism destinations in the region. There’s no denying that relocating to Ras Al Khaimah is worth the move. It is a great alternative for UAE residents and tourists seeking to indulge in slower pace of life, thriving community feel and natural scenery.
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// Event review
Big 5 2019 CBNME recaps the events most notable stories and grabs in-depth interviews with the leaders of the construction industry who talk about their latest products, technology, and what their future ambitions are and how they are going to achieve it His Highness Sheikh Ahmed Bin Saeed Al Maktoum, President of the Dubai Civil Aviation Authority, CEO and Chairman of the Emirates Group, Chairman of Dubai World, and Noor Takaful Insurance Company, officially inaugurated the 40th edition of The Big 5 at the Dubai World Trade Centre this morning. The construction industry mega-event is set to welcome over 2,500 local and international exhibitors from 66 countries showcasing 20,000 building solutions and products to 68,000+ expected participants from more than 130 countries over the four days of the show. As the region’s largest and most influential event for the construction 48
industry celebrates four decades of success, for the first time, The Big 5 covers the full construction cycle with six specialised shows: The Big 5 Heavy, Middle East Concrete, HVAC R Expo, Middle East Stone, The Big 5 Solar, and the Urban Design & Landscape Expo. Vice President Construction – dmg events, Josine Heijmans, said: “Reflecting the impressive growth of the UAE and wider region, The Big 5 has developed into the global hub for the entire construction industry it is today. In a shifting economic landscape, innovation, technology, market insights, networking, and learning are key to remain competitive. It has never been
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more important for the industry to come together, address current challenges and shape future strategies.” With more than US$ 800 billion worth of construction contracts awarded over the last ten years, the MENA region’s future projects pipeline exceeds US$ 3.7 trillion. Construction projects alone account for US$ 2.4 trillion, according to a recent report by MEED Projects published by The Big 5. 59% of these upcoming construction projects are for mixed-used buildings, followed by infrastructure (21%), apartments, houses and villas (7%), airport, port and rail terminals (6%), hotels and resorts, hospitals and clinics, government facilities, and offices.
Solution, Service & Beyond CBNME spoke to Sulaiman Afaleq, Board Member, KiCE Construction Equipment, about their participation at The Big 5 and what they are looking forward to in 2020 KiCE Construction Equipment, headquartered in the Al-Uyun (Hassa Region), is one of the leading manufacturer of Concrete Batching and mixing Plants accessories in the Middle East. In addition, KiCE manufacture bulk conveyor and silo’s components that enhance material flow performance and storing system. Founded in 1979 by Sheikh Hassan Al-Afaliq, KiCE believes in taking care of the customer with great quality products and exceptional service. This has been a successful and standard policy at KiCE for many years and will continue in the future. KiCE continues to boost its support in Saudi Arabia to its Chinese partners, namely Fujian Snowman Company, which offers Snowkey concrete cooling systems and Truemax Machinery and Equipment Company, which provides placing booms and static pumps. It also has the exclusive dealership to market and distribute all kinds of JUNJIN pumps from Korea – mobile or static in lengths from 25 to 63 m. “We are specialising in concrete solutions so we have that arm of production of concrete, masonary units along with it, we have our precast units. The main business for us is the construction equipment that we are manufacturing,” said Sulaiman Afaleq, Board Member, KiCE KiCE is a diversified and innovative company that serve specific targets of the material handling industry. The growth of the company, over the www.cbnme.com
years, is due to recognized improvements in the productivity of our customers operations. “Our business is into construction solutions and we are specialising also on concrete solutions. The Big 5 is an opportunity to meet suppliers, business partners, and manufacturers that we are representing back in the Saudi market.” “Business wise things have im-
proved in the market for us. We have seen the market pick up in the construction material market and we believe that 2020 will be a good year for us. We are going to see a lot of new construction sites opening up in Saudi Arabia. There are a lot of opportunities and we are looking to expand our business just to get ready for 2020,” concluded Sulaiman.
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// Event review
In Conversation with Karim Helal Karim Helal, Co-Founder and CEO of ProTenders launched the platform in 2011, rolling out the first feature of e-Tendering Traditionally, tendering involved stacks of proposals that involved an innumerable quantity of paper and multiple weeks or months of time investment to review and award bids. Seeing that this affected productivity and time management in the industry, which further delayed other processes, ProTenders’ e-Tendering was launched in 2011. Followed by this digitalisation, there seemed to be a demand for identifying construction opportunities with the right stakeholders, and soon turning this demand into an opportunity to help the AEC industry, a full-fledged ProTenders’ platform which include market intelligence and a comprehensive partner search were launched in 2016. CBNME spoke to Karim Helal at the recently concluded Big 5 about his thoughts on the overall construction market: “The outlook for the GCC construction market remains largely optimistic. Investors, developers and contractors are optimistic in the long term due to various govt initiative aimed at encouraging the market - New visa reforms, changes to foreign ownership, New forms of project procurement and finance such as public-private partnerships. With all these transformations taking place, companies must think more strategically about their next moves in the GCC construction industry. Year 2019 has been a good year for 50
“The outlook for the GCC construction market remains largely optimistic. Investors, developers and contractors are optimistic in the long term due to various govt initiative aimed at encouraging the market” Karim Helal the GCC construction industry, which is expected to continue to remain largely positive backed by government visions to help attract more investors into the market. UAE: On An average $12Bn of new projects are awarded every quarter in urban Sector. $414Bn worth of projects are in either planning, design or tender stage while $453Bn worth of projects are under execution. The
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total value of UAE's contract awards in 2019 has been USD$60.1Bn till October 2019, while in 2018 it amounted to USD 83.2Bn. We forecast on average $95.8Bn projects to be awarded between 2020 and 2022. * Saudi Arabia; There are currently $379Bn projects in Saudi Arabia are under construction with further $683Bn projects in the pipeline. * Kuwait: In total, there are $320Bn worth of projects are in the design stage and these projects in the pipeline will be awarded over the next 5 years. * Oman: The Oman construction market is expected to register a CAGR of 6% over the forecast period, 20192024. There are a total of 1344 active construction projects in Oman, with a combined value of $198.5Bn. We forecast the Oman construction sector to have a period of growth over the near term - From 15.6% in 2019 to 44.9% in 2020 YoY growth. *Bahrain: The total project value is estimated to be worth of $123.1Bn. We forecast $37.5Bn worth of contract to be awarded in 2020. As the World Cup nears, less infrastructure investment will be underway and a significant slowdown in Urban Sector will be seenin the short to midterm. Leading developers will have to undertake significant efforts over the next 2 years to add more urban sector projects to the pipeline. Over 150 large-scale projects worth billions of dollars are to be offered after 2022.”
www.cbnme.com
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// Event review
CEO Forum The Middle East construction industry considered one of the top locations to invest, according to ground-breaking new report The Middle East and Africa’s largest construction event, The Big 5 has revealed a first of its kind research paper, The Voice of the Construction Industry Report, during the CEO Forum on its opening day. The report is based on research conducted by GRS Research & Strategy Middle East, in conjunction with The Big 5. A total of 5,951 senior construction industry professionals were surveyed from136 countries on the trends and outlook of the construction sector in the GCC, Middle East and Africa. Ben Greenish, Senior Vice President of dmg events said: “Thanks to the size, strength and history of The Big 5, we not only deliver a world-class trade event, we are also a trusted source of insight and intelligence for the construction industry. This new research from a huge cross section of senior construction professionals underscores our reputation as a source of knowledge, and helps global industry stakeholders generate revenues, save money, and shape future strategies.” “The responses come from professionals in sectors including manufacturing and distribution through to developers, contractors, engineers, architects and consultants, with each being segmented by business type, seniority, geographic location, and company turnover, allowing for a detailed analysis of the issues influencing each sector and how they are shaping the industry,” added Greenish. The research revealed that the GCC and the wider Middle East were the 52
standout opportunities recognised by respondents not already active in those regions when considering where their business may look for opportunities in the future. Of the GCC countries, respondents felt there were the most opportunities to be found in the United Arab Emirates (56%) followed by Saudi Arabia (44.4%). In line with these findings, 36% of those interviewed said their business would enter the UAE within the next 12 months either directly or via a joint venture. According to Andrea Piccin, Partner - General Manager, GRS Research & Strategy, the findings represent good news for the UAE and the wider Middle East region: “Economic growth is seen as a key factor generating business opportunities in the GCC. This is undoubtedly piquing the interest of international companies, which are
now looking to expand in the Middle East for the first time.” “Also, the increase in tourism, particularly in the UAE, is a major driver for business growth and one that many construction companies have already capitalised upon,” he added. As part of the research, the top trends impacting all aspects of the construction industry were addressed with respondents stating prefabrication and modular construction, energy efficiency, and sustainability are the most important. “These trends reflect the UAE and Saudi governments’ recent focus on the development of smart and sustainable cities. According to the results, it is anticipated during the next 12 months governments from these two countries will place even greater emphasis in these key areas providing an additional boost for the industry,” added Piccin.
Left to right: Eng. Thabet Mubarek Governor Saudi Contractors Authority, Eng. Mohamed ElDahshoury CEO Hassan Allam Construction, Egypt, Hamed Zaghw CEO- Middle East & Africa, AECOM, Ammar Al Assam CEO, Dewan Architects + Engineers, Richard Fenne, Principal/Studio Chair, Woods Bagot
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Keep Your Business Running On Time, Every Time. Envision a truck that could do more with ever y minute, hour and day. A truck so reliable, you’ll spend more time on the road thanks to longer ser vicing inter vals. A truck with a cab designed to of fer more comfor t and driveabilit y, as well as on-board fuel coaching systems. A truck with the power to move fur ther, and the ef ficienc y to keep your business running like clockwork. With the all new Croner, we’ve turned that vision into a cut ting- edge realit y.
// Innovation
Symbol of Innovation Ithra Dubai’s One Za’abeel re-shapes the Dubai skyline
Cities cannot be disassociated from their landmarks. When thinking of the world’s metropolis, it’s highly likely the image conjured up is that of a building that has become synonymous with the city. For New York, it might be the Empire State Building. Perhaps it is the Gherkin or St Paul’s Cathedral for London, the Eiffel Tower for Paris and the eponymous Opera House for Sydney. Some of these buildings are old, some of them are fairly new, but their significance is undeniable iconic edifices that have set new standards for engineering and design. One Za’abeel isn’t just another skyscraper. Claiming the world’s largest cantilever and two monumental towers standing 300 and 235 metres above ground level and situated at the gateway of Dubai’s financial district, it will re-shape the emirate’s skyline with a timeless and epic design. 54
A colossal project Constructing a flagship building like One Za’abeel is no small feat. Currently around 30% complete and on track to finish in Q1 2021, the scale of the development is enormous and complex, involving the collaboration of some of the world’s most renowned firms in the contracting, architecture and project management sectors. As projects go, this one pushes the limits of design and engineering with its twin skyscrapers, Tower A and Tower B, rising over a total built-up area of 470,700 square metres. Tying up the elements of One Za’abeel is “The Link,” a 225-metre-long panoramic sky concourse of ambitious scale and design, suspended perpendicularly to the development’s towers at a height of around 100 metres. Made from composite material of steel and concrete, it features a record-setting cantilever
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providing 360-degree views of Dubai. But it is about more than just its architectural features, of course. One Za’abeel is a high-quality multiuse development that seamlessly integrates the ultimate in luxury, residential and hospitality, and retail concepts, as well as offering premium office space, making it Dubai’s most prestigious business address, home to the city's top companies and haven to the world’s most discerning business and leisure travellers. Tower A will host offices and the world’s first One & Only urban resort, an ideal retreat for Dubai’s thriving business community and urban travellers seeking a unique hotel experience. Tower B will be primarily residential and will be divided between luxury simplexes and duplexes. Meanwhile the retail gallery on the podium level will offer a unique range of retail and
leisure experiences over three floors. The Link will be a destination in its own right, with attractions including Michelin starred restaurants, observation decks, and an infinity pool, providing unmatched immersive experiences and connoting a distinctive lifestyle destination. Technological marvel Bringing all this to life requires developing innovative new approaches to construction and engineering. In fact, the technical and practical aspects of building and lifting just the cantilever, weighing 9,000 tons when lifted and 13,000 tons when completed, presents a set of challenges of its own. The most notable and latest phase of construction was the recent launch of the sliding of The Link. It is constructed of seven steel modules – named Assembly A through G – that are being slid into place before being lifted to their final position on the building. Three of the six sliding phases scheduled before the final lift of the cantilever have already been completed. Upon the assembly of all the steel modules, The Link will be lifted 100 meters above the ground. Ithra Dubai appointed a sliding and lifting specialist to ensure the project moved smoothly. The first sliding phase of the Link that took place in September involved using heavy-duty strand jacks capable of generating a pulling force of up to 220 tons per jack to slide both the first segment and the launching nose 30 metres along the temporary platform to the edge of the podium, creating space to assemble the next segment. At 1,742 metric tons and 51 metres in length, Assembly A is the heaviest individual node to be erected. The second slide followed in October and saw Assembly B – 24 meters long and weighing 849 metric tons – being slid 30 meters above the Happiness Bridge from Tower A to Tower B. The primary nodes for each of the bridge’s assemblies were constructed off site and delivered fully fabricated www.cbnme.com
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// Innovation
to reduce on-site welding. Transporting these nodes entailed significant planning, coordination and execution to move the individual elements to the construction site, with the heaviest weighing in excess of 45 tons. Integrating with its surroundings What makes a good building great is the sum of all its parts. One Za’abeel has been designed to integrate with its surroundings and provide myriad benefits to the community, combining retail, residential and leisure spaces that improve social connectivity. It will allow residents to live, work and spend their leisure time in the same area, and encourage positive density and diversity. It will also have a positive impact on the environment as its shared facilities minimise energy consumption and its mixed-use spaces create more efficiencies in infrastructure. Along with making the development work with the surrounding community, it also had to account for the live sixlane carriageway it is straddling. Construction is underway with the highway operating around the clock, early on in the construction, the excavation began seven levels below the existing infrastructure of the Happiness bridge. This entailed massive amounts of planning and coordination with Dubai Municipality and the Road and Transport Authority to ensure that all steps are being carried out with safety at the forefront. An iconic legacy With One Za’abeel, we are combining cutting-edge design, incredible technical achievements, integrated communities to create an address for an allinclusive experience. When complete, it will tower over the green expanse of Za’abeel Park and the vicinity and will offer a new kind of sustainable development for residents, tenants, and visitors alike. It will be a liveable space in a walkable area created by the development’s arteries, allowing residents and visitors to walk to Dubai’s financial centre or stroll to neighbouring parks on custom56
designed bridges. Tenants will benefit from a destination office building that promotes sustainability with a target for LEED Gold certification and attracts the biggest names in the corporate sector. And visitors will be attracted to the space for its high-end retail experience,
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top restaurants and luxury urban resort. Given its complexities and innovations, One Za’abeel is a ground-breaking and challenging project that sits in the heart of the city. It respects the past while looking ahead to the future with optimism and determination.
// Machinery
CAT GC RANGE
Setting The New Standards In Heavy Equipment – Al-Bahar Introduces The Cat® GC Range
Al-Bahar today announced the launch of the latest Cat® GC range across its territory. The two models being offered currently as part of the range introduction include 950 GC and 330 GC. Attributed as the ‘Game Changers’, these machines offer the opportunity to move more material in less time, at a lower cost per ton, for a faster return on equipment investment. Al-Bahar states that regional customer demands and requirements, dictated the introduction of the new GC range. The GC models are a result of the continuous expansion of the range by Caterpillar, after the success of its 950 GC wheel loader launched 58
previously. This particular range of equipment is known for offering convenient acquisition and operating costs. They are simply economical with an attractive total cost of ownership. Built as per the Cat production system standards, they are best-in-class machines and come with the standard Cat brand promise of durability and reliability. Bringing along the new standard, the GC machines are ideal for those looking for machines that are simple, durable, fuel competitive and easy to use. Moreover, with the extensive support of Al-Bahar dealer network and services with Cat® Genuine Parts, the
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GC models promise new opportunities to optimize businesses. In other words, these machines are easy to own, operate, and service. “Customer value comes first at Al-Bahar. Having considered our customer requirements, we found that some of our existing customers wanted simple fuel-efficient machines, which would minimize their owning and operating costs,” quoted Mr. Samer Ismail, Product Manager - Earthmoving & Excavation, Al-Bahar, commenting on the need of the GC range in the region. “There existed the need of a product range at a different price point, offering the same Cat Brand Promise
and quality,” added Samer. “With an objective of meeting our customers' expectations, we have introduced the GC range, including machines that offered high performance and are supported by Al-Bahar. Our customers are aware; there will be no compromise on the quality, and after-sales support.” Cat® 950 GC Wheel Loader The 950 GC is a complete new design leveraging proven Cat components and technology to meet customer needs. Reliable Performance, Low Fuel Consumption and Ease of Operation are the main attributes of the machine. It is purpose-built to be the right
machine to get everyday jobs done. Designed for quarries, sand-and gravel pits, coal operation and construction jobsites, the 950 GC is also an exceptional choice for governmental bids, offering agencies a well-designed, durable machine that fits the budget. Designed to deliver maximum efficiency, Cat 950 GC assures maximum productivity for everyday operations. It comes with performance series buckets; Z-bar linkage for better bucket loading; and load sensing hydraulics for better balance. Powered by the renowned Cat C7.1 engine it has an Engine Idle Management System, which minimizes fuel consumption. Load sensing hydraulics prowww.cbnme.com
duce flow and pressure for the implement system upon demand and only in amounts necessary to perform the needed work functions. Commenting about the 950 GC, Samer added, “The 950 GC is the machine of choice for a customer who doesn't need all the technology and options that goes with the 950L, instead is looking for a easy to use machine with lower acquisition costs. It is a very heavy-duty machine and it works well for applications in our region.” Cat® 330 GC The 330 GC is a smart choice for operations where high reliability and low-costper-hour performance are
priorities. It offers the ideal balance of dependable performance, operator productivity features, and reduced costs. Setting the standards, 330 GC lowers maintenance costs with extended and more synchronized maintenance intervals. The precise combination of larger hydraulic pumps, an electronic main control valve, and electronically controlled cooling fans in 330 GC allows it to deliver top performance while burning less fuel. Additionally, it is equipped with two modes to help manage fuel consumption for your specific applications. The new Smart Mode automatically matches engine speed and
hydraulic power to demand for the highest fuel efficiency in any application. Other highlights of 330 GC include ISO-Certified Rops Cab, allaround visibility, Touchscreen Monitor, Keyless Push Start, fewer connections, less hose and groundlevel daily maintenance. Samer concluded quoting, “These machines are winners, particularly among customers who are looking for high performance machines that are simple, durable, fuel efficient, easy to use and come packaged with the same Cat reliability. We will add more GC models to our product offering, based on the availability and customer requirement.
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// Machinery
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Efficient, Durable and Precise
Putzmeister have been global leaders in the world of construction and mining since 1958. The company is also leading the way by being more innovative with their products. Innovative technologies that are constantly updated as per the latest research and development, and market requirements. Customising equipment to the exact needs of our customers and providing effective, long term and simple solutions to complex problems through our hardy and versatile machines. Handling and decoding complex construction assignments across the globe. Ably and actively partnering clients on projects and helping them deliver on their promises. CBNME caught up with Paul Bruns, Regional Director of Putzmeister, at www.cbnme.com
the recently concluded Big 5 event in Dubai. “We provide world class products and services, setting the standards for quality through continuous and significant investment in research and development. Putzmeister provide our clients with advice and support ranging from the right choice of machines to be used for a construction project to engineering solutions,” said Paul Bruns. Products that are catered to concrete, shotcrete, telebelt, mortar, tunneling, mining, energy, and environment, all have the right technology implemented in them to make them stand out. On jobsites or in industrial facilities worldwide, Putzmeister technology takes care that all machines and installations are working perfectly. With
different pump and conveying systems Putzmeister offers you always the right machine for your application. The label ‘Made by Putzmeister’ is an implicit promise to their customers that they will have a thinking, intelligent partner in all their undertakings. A partner that will deliver to their exact requirements irrespective of the complexity of the task or the remoteness of the scale. With enthusiasm backed by experience we approach every task afresh, be it a small scale construction or a mass assignment, tight deadlines or unique concreting and manufacturing needs. “We provide customized solutions to complex and diverse challenges faced by our clients in every part of the globe,” concluded Paul.
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// Machinery
The Crusher
CBNME spoke to Najmeddine Sahraoui, Deputy General Manager of Middle East and Africa, about MB Crusher and what makes them stand out
“With the flexibility and mobility of an accessory and the performance of a larger machine, they wanted to replace the traditional crusher in most applications. It was this vision that resulted in the first worldwide patented crushing bucket” Najmeddine Sahraoui The UAE's construction sector will thrive beyond 2020. And the MB Crusher market is highly correlated to overall infrastructure development. With MB Crusher attachments con62
tractors have the advantage of crushing and screening the existing materials onsite, eliminating the need to load demolished material onto trucks or dumpers and take it to a waste dump,
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and also saving money over buying in new materials. For road construction works, it’s possible to crush the material and reuse it directly on site as subbase, drainage filling and trench filling. We spoke to Najmeddine Sahraoui, Deputy General Manager of Middle East and Africa, at the recently conclude The Big 5 event in Dubai who gave us a brief update on MB Crusher: “MB Crusher is one of the leading players in the market. We believe strongly about being in the GCC and Middle East market due to the numerous construction projects we see in this region where they use our technologies, starting with crusher bucket machines, screening bucket machines and these machines ultimately give a lot of value to the constructors. The benefits of using this machine include cutting costs and productivity and reliability of the machines itself. Very often we introduce a new generation of our machines where we have new systems, new technologies, to better satisfy our clients.” MB has offered the largest line of patented crusher buckets all over the world. With extensive innovation and development, MB now offers crusher buckets for excavators, skid loaders, and backhoes of all sizes. “With the flexibility and mobility of an accessory and the performance of a larger machine, they wanted to replace the traditional crusher in most applications. It was this vision that resulted in the first worldwide patented crushing bucket,” concluded Najmeddine.
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Ko u r k i We talked to Zeina Kourki, PR & Digital Communications Manager Middle East & Africa, SNC-Lavalin, who tells us about her role and how she is helping to contribute to SNC Lavalin success Goals and Objectives As part of my role within the communications team in the Middle East and Africa regions, my key objectives are to raise SNC-Lavalin’s brand awareness and showcase its business capabilities and success stories through traditional and digital media channels. Positioning SNC-Lavalin as one of the market leaders? The communications function at SNCLavalin plays a key role in developing strategic communication plans aligned to our business objectives, and creating engaging content that communicates our regional footprint, our end-to-end services in engineering, design and project management, Infrastructure, Nuclear and Resources sectors, our industry thought leadership and contribution to shaping future cities, as well as nationalization and training programs to develop local talent across the region. Attributes Over the past 10 years, I’ve gained an extensive regional experience working in public relations and media management industry for B2B and B2C brands. This combines exposure to both traditional and digital media channels, which helps me bring a 360-degree perspective to develop and implement effective communication strategies for SNC-Lavalin. Creativity and striving for excellence are also two key attributes that I constantly aim to achieve so I can bring an added value to the business. Most importantly, my native Arabic language skills are instrumental in shaping the brand voice in the Middle East and maintaining high quality content standards. 64
Importance of teamwork Nowadays, an integrated communications team that combines expertise in internal and external communications, branding, digital and marketing communications is fundamental to help
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any organization meets its business objectives and build a solid reputation in target markets. That’s what our team brings to the table, and only by collaborating and working together can we achieve our goals and drive results.
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Save the date Mark your calendar
December
3-4
Global Real Estate CEO/CFO Conference London, UK An ideal format to meet with more than 40 real estate companies and REITs, industry experts and other UBS representatives from the developed and emerging markets, to understand first hand, the market dynamics across the world and gain insight into which regions and companies are best positioned to capitalize on the market environment.
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Infrastructure Investor Women in Infrastructure Forum
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Location: New York, USA Infrastructure Investor's Women in Infrastructure New York Forum features high profile keynote speakers and panel discussions with pioneering women in infrastructure. The forums powerful leaders provide insight into the evolving industry and share strategies and approaches to achieving success. The Women in Infrastructure Forum offers numerous opportunities to network and build impactful relationships.
// construction business news me // December 2019
December
11-13
RICS Commercial Property Conference London, UK The RICS Commercial Property Conference offers exclusive insights into the key industry developments, to ensure you understand where the market is in the current cycle, are aware of the latest investor and occupier demands, and can take advantage of future opportunities.
World of Concrete Asia Shanghai, China The World of Concrete Asia showcases the latest technologies and exhibits related to concrete general, concrete surface, mortar & related masonry, non-concrete flooring and so on. At the same time, nearly 100 worldclass education programs are presented with speakers from China and all over the world. The show brings each aspect of the Concrete Industry World, expands your business reach throughout the world.
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