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185 October 2021
MEConstructionNews.com
THE BUSINESS OF CONSTRUCTION
An Oasis of Tranquility
THE INVESTMENT CORPORATION OF DUBAI PAVILION AT EXPO 2020 PROMISES TO BRING A SENSE OF CALM AMIDST THE HUSTLE AND BUSTLE OF THE MEGA-EVENT
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CONTENTS
October 2021
08
16
18
20
28
44
ANALYSIS
FEATURES
INSIGHT
08
The briefing
20
38
The big picture
Gavin Davids speaks exclusively to Raja Alameddine, CEO of Lootah Real Estate Development about the developer’s shifting market focus
40 Tenders
Techture outlines how BIM is just the beginning and MAPEI reveals its sustainability best practices at EXPO 2020
12
In profile Raja Alameddine
Comments
The industry’s brightest minds share their thoughts on a variety of topics and issues impacting the construction industry
Providing a wrap-up of the biggest local, regional and international construction news stories
28
Big Project ME, in association with ProTenders, provides the biggest tenders for the month of October 2021
16
Market report
Big Project ME hears from Kez Taylor of the ALEC Group, about the design and delivery of the ICD Pavilion at Expo 2020 Dubai
44 Progress report
18
Analysis
Asteco looks at the real estate performance of Abu Dhabi in Q2 2021
Project profile A Tranquil Space
Union Properties announces the breaking of ground on its latest project - Motor City Views
Suhail Arfath of Hloov explains how data is the lifeblood of any project
MEConstructionNews.com | October 2021
2
WELCOME
Introduction
All systems go for the EXPO
B
y the time you read this, the biggest show in the world will be underway, with EXPO 2020 Dubai finally kicking off with all the fanfare and glamour that its host city is known for. While there will be plenty of economic and social benefits to come from the megaevent, the real estate sector is already feeling the positive vibes, with analysts and developers reporting upticks in sales and investor interest, not to mention in prices, over the last few months. This positivity is likely to remain in place for the duration of the EXPO, with the experts predicting a sustained impact on the real estate sector thanks to the extensive infrastructure and transport development around the event. However, what will be interested to see is how the EXPO will change mindsets and attitudes amongst investors in Dubai. We are already seeing key demographics demanding particular types of products and offerings, which has resulted in
October 2021 | MEConstructionNews.com
developers moving quickly to respond. This is particularly true of our cover story this month, which is with Raja Alameddine, the new CEO of Lootah Real Estate Development (LRED), who has been brought in to drive the developer’s transition to a sustainable, technology-empowered entity that offers millennial and Gen Z investors properties that not only suit their budgets, but also their tastes and desires. With Dubai pushing to become a hub for the global professional nomad, this shift in focus is a particularly interesting one, as not many other developers seem to have caught on to the trend. I’m sure there will be many observers, including myself, who’ll be watching to see if Raja and his team will be able to make a success of their new direction. Also on the horizon is our upcoming ME BIM Summit, which is set to be our first live event of 2021. Held on November 1 at The Westin Mena Seyahi, this year’s event is shaping up very nicely, with some great speakers coming on board. If you want to be part of the conversation, I recommend you drop me a line!
Gavin Davids
HEAD OF EDITORIAL & CONTENT gavin.davids@cpitrademedia.com @MECN_Gavin MEConstructionNews me-construction-news
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Contact Us Table Booking & Sponsorship Jude Slann | +971 4 375 5714 jude.slann@cpitrademedia.com Award Nomination Enquiries Gavin Davids | +971 4 375 5480 gavin.davids@cpitrademedia.com
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Licensed by Dubai Development Authority
185 October 2021
MEConstructionNews.com
THE BUSINESS OF CONSTRUCTION
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Editorial HEAD OF EDITORIAL & CONTENT Gavin Davids gavin.davids@cpitrademedia.com +971 4 375 5480
An Oasis of Tranquility
THE INVESTMENT CORPORATION OF DUBAI PAVILION AT EXPO 2020 PROMISES TO BRING A SENSE OF CALM AMIDST THE HUSTLE AND BUSTLE OF THE MEGA-EVENT ON THE COVER
Big Project ME gets an exclusive first look at the Investment Corporation of Dubai’s Pavilion at EXPO 2020 Dubai, which is set to be an oasis of calm and tranquillity at the megaevent MEConstructionNews.com @meconstructionn MEConstructionNews me-construction-news
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OUTDATED DEVELOPMENTS UNDER PRESSURE BY NEW BUILDS IN DUBAI, JLL SAYS
Knight Frank Middle East continues strengthening of UAE StratCon Advisory teams
There’s a lot to take away from this article but it is clear that this proves that you can’t keep piling on new units into the market without a few casualties along the way. The most
CONSULTANT
obvious being older homes
NEOM presents vision and plans to 150-leading design and construction firms
that lack the overall polish and infrastructure offered in newer communities and areas. Of course, in real estate, that has been the
INTERVIEW: Delivering value in the Holy City
case since time immemorial but few property markets are quite like Dubai’s. Certainly, there are not
CONSTRUCTION
many that have seen
AD Ports Group inks deal with CMA CGM for new terminal
residential building defy global economic realties for years but have stock that is ageing far ahead of its time. It is not surprising that we are not seeing the rapid bounce back of prices that have boosted other real estate markets
CONSTRUCTION
but the changes to home
Chapman Taylor showcases masterplan for community on Al Reem Island
ownership laws and the slowdown to construction projects is ultimately keeping the market stable. It is really heartening to see both tourists and corporates still feeling the pull of Dubai, proving that it remains a global destination with a bright future.
MACHINERY
Volvo develops novel electrohydraulic system October 2021 | MEConstructionNews.com
EXPERTS: How to avoid costly disputes in the UAE
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Date
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T HE W E S T I N D U BAI M I N A SEYAHI / DUBA I / UAE
The digital twins disruption; democratisation of data and expanding the scope of BIM 01 Nov 2021
About
6th ME BIM Summit
Insightful
Following a divergence into the virtual sphere in 2020, the Middle East’s leading BIM-focused summit is back in 2021 as a live event that will feature the industry’s brightest minds in an all-new format that is sure to educate and inform even the most experienced of construction professionals.
Last year’s event featured presentations and participation from the likes of Dubai Municipality, The Red Sea Development Company, the CIOB, Heriot-Watt University, and other industry leaders such as ALEC, EllisDon and KEO International Consultants.
Knowledge Sessions
Over the last six years, the ME BIM Summit has grown from an event focused on introducing BIM to an underserved audience, to an event that is now the industry’s leading platform for discussion, debate, and education about the far-reaching potential of BIM usage, and how the technology is driving growth, evolution, and innovation across all segments of the construction sector.
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This event presents you with an opportunity to interact and connect with regional industry decision makers and influencers. There are several innovative ways to sponsor and participate from speaking opportunities to branding, interactive live polls to presentations.
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8
THE BRIEFING
Technology
BIM is just the Beginning MIDDLE EAST
Dayesh Jaiswal, director at Techture, outlines how the BIM and technology consultancy firm is helping to revolutionise the construction sector
A
s a BIM and technology consultancy firm, Techture has been established in the UAE since 2014. The company has worked on
October 2021 | MEConstructionNews.com
projects such as The Rove Hotel, Address Residences, Gate Avenue DIFC, Expo 2020, and The Cove DCH with clients like Emaar, HLG, Kier Group, Al Naboodah, LACASA Architects and many more, delivering a variety of BIM outputs. With production offices in India, along with coordination offices in Dubai, USA, UK and Singapore, the firm specialises in creating international code compliant models at all levels of developments. With the Dubai office responsible for the projects in UAE and the company’s recent expansion into Saudi Arabia with projects like Diriyah Gate Development and MISK City Infrastructure, amongst others, Techture is transitioning towards becoming a construction technology consultant. The company’s team of BIM and software engineers works in tandem with its dedicated R&D team and technology
consultants to develop useful, pragmatic and customised BIM-based applications, plug-ins and automation scripts to extend the utility of existing BIM models and construction data, proving themselves to be an industry leader. In order to fully understand how their client first policy, combined with high-quality outputs, quick turn around times and ISO certified implementation strategy, has ensured 80% repeat business, Big Project ME speaks to Dayesh Jaiswal, director at Techture: How does Techture leverage custom software development on a typical BIM project? We work with BIM professionals to deliver BIM solutions at various stages of a project. Our extensive experience in various BIM implementations projects around the world made us realise there
Filling the gap Techture helps its clients by providing effective utilisation of BIM data to fill the gaps their clients have.
2014
Techture has been established in the UAE since 2014
THE BRIEFING
is a massive gap in utilising BIM data effectively. To quote an example, one of our clients from the logistics industry came to us with a very peculiar problem. They had 3D-models and were already using them for construction effectively. They wanted to understand how these models could be extended beyond the typical construction use case scenario. We worked with their teams to understand the gap and came up with a web-based cloud application that can optimise the size of their warehouses on the basis of the number of pallets, racks, size of pallets, size of boxes and many other parameters. This then allowed them to design their own warehouses based on their capacity requirements and cut down their conceptualisation stage times to one fourth. Additionally, we also developed a utility within the application to optimise the sizes of cartons based on the type of contents and homogeneous and heterogeneous packing styles. Another utility within the application allowed them to then stack these cartons on pallets in the most efficient and optimised arrangement. To summarise, the application empowered our customer to optimise their carton sizes, pallet arrangement, and consequently their warehouse layouts and designs. Traditionally, it would have taken them weeks to do the optimisation and we provided them a solution that does it in minutes.
9
higher return on their investment. The application empowered the customer to reduce costs on licenses and manpower along with the ability to better visualise the information and data that they have.
trained professionals. We were brought in to solve this problem and suggested the most optimal solution. We created an application which was able to view all 3D and static Asset Information Data, at a centralised location which could be accessed by anyone. We also provided the utility of linking the Dynamic IoT sensor data with an automated alarm system that would trigger notifications to the concerned, in the case of overloading. Additionally, we also developed CMMS capabilities within the application to provide a single point of interaction with their digital twin. This enabled the client to have a single point of interaction with their digital twin and realise a
Optimised solutions Dayesh Jaiswal says that Techture provides clients with optimised solutions that will resolve challenges in an efficient and timely manner.
80%
Percentage of repeat business for Techture
What solutions do you provide for linear construction and infrastructure projects? The workflows for creating and utilising 3D information models for infrastructure projects, such as - railways, metros, smart cities, flyovers, expressways, tunnels etc. are established and provide a lot of aid in constructing these assets. We realised that these models were just being used for coordination and quantification for concrete elements. Reinforced steel is the most expensive building material that’s used in large quantities. Optimisation of steel quantities and detailing is very important to save on cost overruns. There were no established workflows for creating reinforcement models for these elements. We extended the utility of these workflows towards reinforcement steel as well. Our optimised workflows and protocols ensure that the most value engineered design is being translated into the built asset on site. Dynamic linking with design and costs gives you on the spot answers to ‘How much would I save if I were to reduce spacing?’. We have started providing reinforcement optimisation as a part of our standard BIM implementation package.
Can you outline what advancements you’ve made in the Digital Twins segment? Digital Twins has been an industry buzzword in recent years and the entire industry is flocking towards creating these virtual models to exactly replicate every aspect of their built asset. Apart from creating the models, along with the COBie information, required for facility management, we extended the utility of the LOD 500 7D Model, for one of our Airport Authority clients. We developed a custom web-based cloud application that would seamlessly integrate with the building management system. The BMS employed by the client was not BIM enabled and visualisation of the information could only be done by MEConstructionNews.com | October 2021
10
THE BRIEFING
Leading by Example MIDDLE EAST
MAPEI’s Stefano Iannaconne reveals how the Italian building solutions provider is leading the way at EXPO 2020 Dubai by showcasing the best sustainable solutions and standards in the regional construction industry
October 2021 | MEConstructionNews.com
M
APEI Construction Chemicals, the fully owned subsidiary of MAPEI Group, is a partner of the Italy Pavilion at EXPO 2020 Dubai. In order to fully understand the company’s contribution towards the Italian Pavilion, as well its work on other pavilions and projects related to the mega-event, Big Project ME spoke to Stefano Iannacone, director, Middle East and Africa for MAPEI Group, ahead of the launch of EXPO 2020 Dubai. How did MAPEI help deliver the pavilion and work with the pavilion team to deliver it on schedule and to quality? In line with the sustainability subtheme of Expo 2020, MAPEI wanted to create a truly exceptional pavilion
that encapsulates the unique blend of Emirati flair and Italian culture. Our expert team worked in close proximity the pavilion team and lead architects to create an extraordinary pavilion through the circular economy approach, using recyclable products. Our cutting-edge works of engineering were used to recreate real sand dunes and coated the suspended walkway within the pavilion through the use of coffee beans and a special powder made from orange peel. Our Technical Services Department also provided the resin and concrete flooring to install ceramic and marble, decorate and finish off walls and various waterproofing solutions. What will MAPEI be showcasing during the Expo? How does the company expect to
THE BRIEFING
11
Team (UTT) was able to share their expertise on the technical aspect of the tunnel segments to ensure long-term durability and longevity of the tunnel. The Dubai Roads and Transport Authority had strict sustainability guidelines for the Route 2020 project, which gave MAPEI the competitive advantage and position as the ideal candidate to support in the build of this mega project. Other notable Expo 2020 projects include Al Wasl Plaza, UAE Pavilion, Sustainability Pavilion and the Mobility Pavilion, to name a few. connect with audiences and attendees at the Expo? As the world’s leading manufacturer of adhesives, sealants and chemical products for the construction industry, we will showcase our sustainable building solutions at Expo 2020 Dubai. MAPEI has supplied over 200 ecofriendly products from 20 products lines, including adhesives for ceramics and marble tiles, resilient flooring, waterproofing, concrete repairs, epoxy resin floor coatings and cementitious mortars: weighing over 8,000 tons. MAPEI products will be featured in more than 55 pavilions, 16 zones and 60 areas across the Expo site. At MAPEI, we believe in leading by example, and will showcase our green initiatives and sustainable best practices at Expo 2020. Our top-quality products will supplement the visitor experience at Expo and will showcase MAPEI’s dynamic business model, which is based on three main principles of sustainability: Social, Environmental and Economic, bringing our ‘Think Local, Act Global’ approach to life at Expo 2020 Dubai. What are some of the other pavilions MAPEI has worked on and how have its products helped deliver a successful event? MAPEI secured a diverse range of projects at Expo 2020 catering to specific requirements by the pavilions and zones at the Expo site. Aside from the Italy Pavilion, one of the notable pavilions that MAPEI contributed towards is the Expo Village - a residential complex built to accommodate all participating delegates.
Building to the Expo MAPEI was also involved in the buildup of transportation links to the Expo, including Route 2020.
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Eco-friendly building products used on the Italian Pavilion
Expo Village was the first and one of the biggest projects in which we were involved at Expo 2020, contributing a range of environmentally friendly and low-VOC adhesives, sealants and chemical products to all 15 of the buildings, spanning an area of over 350,000 sqm. Furthermore, MAPEI also participated in the build leading up to Expo 2020, including the roads and bridges, in addition to the Dubai Metro Red Line station extensions leading up to the Expo site, known as Route 2020. MAPEI was involved in the excavation works of the Route 2020 metro line, supplying products for underground works to the Expolink consortium, as well as solutions for building a 2.5 km long, 10 m diameter tunnel. In addition, our Underground Technology
How has MAPEI contributed to the three key themes of the Expo with its products? Sustainability and innovation are part of MAPEI’s core values, and we have seamlessly integrated our vision to build a sustainable future into our corporate development strategies, coupled with innovative best practices, placing a heavy emphasis on research and development. Our global network of 31 laboratories is equipped with cutting edge technology, headed by MAPEI’s Technical Services Division Team, which consists of certified experts who test thousands of new formulations used to design and construct eco-sustainable building products and advancements. All of our products are analysed for their physical and chemical characteristics, and the subsequent impact on the environment. Our products adhere to the highest standard of quality attaining us the GSO:ISO 13007, EN 13818, EN 1504 & EN 934 certifications. As an added value, our sustainable best practices have also attained the Leader in Environment and Energy Design (LEED v4) certifications, which played a crucial role in winning all projects related to Expo 2020 Dubai. Furthermore, MAPEI supplied products to the Expo site which were locally produced at our state-ofthe-art 40,000 sqm manufacturing facility; located only five minutes (3km) from the Expo site, enabling us to incorporate a circularity approach across operations. This has resulted in minimising our carbon footprint through short travel time, enabling us to increase fuel efficiencies. MEConstructionNews.com | October 2021
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THE BIG PICTURE
03 UNITED KINGDOM
01 UNITED STATES
AESG acquires Commetch Europe
Vertiv Holdings acquires E&I Engineering Group Vertiv Holdings Co (Vertiv), a global provider of critical digital infrastructure and continuity solutions, has announced that through its subsidiaries, it has entered into a definitive agreement to acquire E&I Engineering Ireland Limited and its affiliate, Powerbar Gulf LLC (“E&I”) for approximately $1.8 billion in upfront consideration plus the potential for up to $200 million in cash, based on achieving certain 2022 profit milestones. The upfront consideration consists of $1,170 million in cash and approximately $630 million of Vertiv common stock.
02 UNITED KINGDOM
UK’s Penspen signs $70m in MEA energy contracts Penspen, the UK-based engineering, project management, asset management and integrity services specialist, has said that it has recorded a highly successful year to date in the Middle East and Africa, with a strong performance forecast for the rest of the year. The company added that its Project Management Consultancy (PMC) service line alone has secured more than $50 million from five new, longterm contracts from entities such as ADNOC, ADNOC Onshore, ADNOC Offshore and ADOC during 2021.
AESG, the specialist consultancy, engineering and built environment advisory firm with headquarters in Dubai, London and Singapore, has announced the acquisition of Commtech Europe, an established provider of commissioning and technical services throughout Europe. AESG said that the rapid expansion of the data centre and pharmaceutical sectors alongside the ever-increasing complexity of building systems, meant that Commtech Europe’s reputation and strength in commissioning critical facilities and systems would perfectly align with AESG. Commtech Europe will be fully integrated into AESG.
04 UNITED KINGDOM
06 EGYPT
DP World to build fourth berth at London logistics hub
Alstom delivers first two trains for Cairo Monorail
DP World will begin construction work next month on a fourth berth at its London Gateway logistics hub. The upgrade is being built at an investment of $415m in a bid to increase supply chain resilience and create more capacity for the world’s largest ships. The investment builds on the $2.76bn investment DP World has already made in Britain over the last decade. The new fourth berth will raise capacity by a third and completion will coincide with the delivery of a new wave of 24,000 TEU vessels in 2023/2024, which will all be operated between Asia and Europe.
October 2021 | MEConstructionNews.com
05 TUNISIA
Metito-led consortium wins tender to build Tunisian seawater desalination plant
Metito has announced that its consortium with Orascom and Cobra has won the tender to build a seawater desalination plant in Sfax. The tender was raised by the Société Nationale d’Exploitation et de Distribution des Eaux (SONEDE). The project is fully funded by the Japanese International Cooperation Organization (JICA) and is set to begin operations in February 2024. Metito will carry out the design, procurement, and construction (EPC) of the project which is estimated to be complete within 30 months.
The first two Innovia 300 trains for the Cairo Monorail project have been delivered, Alstom has announced. The trains were completed at the firm’s Derby UK factory, with propulsion systems application led by Alstom’s site in Trapaga, Spain. The dispatch of the first eight fully automated, driverless cars out of 70 trains (a total of 280 cars) is a major milestone in the Cairo Monorail project, Egypt’s first two monorail lines. The lines link the New Capital City and 6th October City to Greater Cairo. Both lines of the project are expected to open in 2023.
01
THE BIG PICTURE
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05 07 06
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08 UNITED ARAB EMIRATES
07 KUWAIT
Two workers die in accident at KIA Terminal 2 worksite Two Nepali nationals have been killed in a work site accident during the construction of the Kuwait International Airport Terminal 2. The two workers died after being buried under sand while working at the construction site for the new terminal building. A third worker was also trapped under the rubble but was pulled out safely by the Kuwait Fire Department, after a four-hour rescue operation. Dr Rana Al Faris, the Public Works Minister, has announced a probe into the incident.
Union Properties signs $114m MoU to exit from under construction Motor City shopping centre Union Properties, the Dubai-based real estate developer listed on Dubai Financial Market and the owner of a group of diversified activity subsidiaries, has announced that it recently completed the signing of a MoU under which it will completely exit from the ownership of a shopping centre under construction in Motor City in Dubai. The MoU is valued at $114.34 million and was signed with one of the leading real estate developers in Dubai.
09 UNITED ARAB EMIRATES
Hitachi ABB Power Grids supplies GSU transformers for Al Dhafra PV2 Solar Project Hitachi ABB Power Grids has announced that it will supply large generator stepup (GSU) transformers, protection and telecommunications to China Machinery Engineering Corporation (CMEC), the EPC (engineering, procurement and construction) contractor for the Al Dhafra PV2 Solar project in Abu Dhabi. The project consists of approximately three million solar panels, making it the world’s largest single-site solar farm.
MEConstructionNews.com | October 2021
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THE BIG PICTURE
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10 SAUDI ARABIA
12 UNITED ARAB EMIRATES
SWPC issues invite for EoIs for 1,392km IWTP project in KSA
Chapman Taylor showcases masterplan for Al Reem Residential Community
An invitation for expressions of interest (EoIs) for the Riyadh-Qassim Independent Water Transmission Pipeline (IWTP) project has been issued by the Saudi Water Partnership Company (SWPC). Once the project is complete, it will boast a transmission capacity of 685,000cu/m per day. A competitive process will be held to select the developer/developer consortium for the 1,392km-long pipeline project, which will be implemented on a BOOT basis. The deadline for submitting the bids has been set at October 31.
October 2021 | MEConstructionNews.com
11 BAHRAIN
Middle East’s largest and first cylindrical aquarium launched in Bahrain
Mall of Dilmunia has launched the Bahrain Aquarium, it has been announced. The aquarium is a major highlight for the mall and occupies all four levels, making it the first and largest cylindrical aquarium in a Middle Eastern mall. The cylindrical shape provides easy access for visitors across all four floors. Containing approximately 700,000 litres of seawaters, it has a depth of 17 metres and a diameter of seven metres. It is home to more than 2,700 specimens from 85 different species, including rays, fish and sharks.
Chapman Taylor has unveiled the masterplan concept for the Al Reem Residential Community on Abu Dhabi’s Al Reem Island. The development features multi-tower housing and hospitality, and will be fully integrated within the natural environment, with beautiful views and extensive green landscaping. The ambitious urban design creates a new city district which combines respect for the region’s history and heritage with a bold embrace of the future within a landscape of rivers, mangroves, beaches and desert.
THE BIG PICTURE
15
14 UNITED ARAB EMIRATES
13 UNITED ARAB EMIRATES
Empower begins supply of Uptown Tower Emirates Central Cooling Systems Corporation (Empower) has said that it has started supplying the ‘Uptown Tower’ in Dubai with its environmentally friendly district cooling services, with a capacity of 3,850 Refrigeration tons (RT). The Uptown skyscraper is the first high-rise tower in Uptown Dubai district and is being developed by Dubai Multi Commodities Centre (DMCC), a Dubai Government entity. Empower said that the Uptown project has been built according to the Leadership in Energy and Environmental Design (LEED) gold standards.
Eltizam Asset Management Group acquires Inspire Integrated Eltizam Asset Management Group (EAMG) has acquired Inspire Integrated (formerly Multiplex Services), a real estate and facilities management company in Dubai for $10 million. EAMG is a subsidiary of Abu Dhabibased International Holding Company and said that the move is part of its strategy to expand the group’s real estate, infrastructure property management, facilities management and project delivery services. Inspire Integrated will continue to operate under the same name.
15 OMAN
Hatta hydroelectric power project nearly 30% complete Construction of the 250MW pumpedstorage hydroelectric power plant in Hatta is nearly 30% complete, DEWA has announced. Once complete, the plant will feature a storage capacity of 1,500MWhours and a life span of up to 80 years. The hydroelectric power plant is an energy storage system with a turnaround efficiency of 78.9%. It utilises the potential energy of the water stored in the upper dam which is converted to kinetic energy during the flow of water through the 1.2km subterranean tunnel.
17 CHINA
SABIC-led JV to build $6bn petrochemical complex in China 16 UZBEKISTAN
Masdar launches 100MW Uzbekistani solar project Masdar, the subsidiary of Mubadala Investment Company, and global renewable energy company, has inaugurated the Nur Navoi Solar Project, Uzbekistan’s first successfully financed Independent Power Producer (IPP) solar project. The 100-megawatt photovoltaic (PV) plant is Uzbekistan’s first utility-scale solar project. It has begun energisation and has made its first contribution to the country’s renewable energy targets. The plant will produce enough power for 31,000 households, and will displace around 150,000 tonnes of CO2 each year.
Saudi Basic Industries Corporation (SABIC) has signed an agreement to build a petrochemical complex in China at an investment of $6.15 billion in a joint venture with Fujian Petrochemical Industrial Group. The two companies will set up a 51:49 joint venture after receiving approval from the relevant Chinese government authorities. The project will include a mixed-feed steam cracker, numerous downstream facilities, and several by-product units. It will also boast an ethylene capacity of 1.5 million MT per year.
18 CHINA
China’s Baoshan signs MoU with Saudi Aramco for steel plate factory Baoshan Iron and Steel Co (Baosteel), China’s biggest listed steelmaker, has signed an initial pact with Saudi Aramco, to study building a steel plate factory in Saudi Arabia. The nonbinding Memorandum of Understanding is one of several agreements the state-owned Aramco has signed as it looks to expand its industrial investment programme. Baosteel said that the companies intend to carry out a feasibility study on building a plant to make heavy steel plates, which are commonly used in the construction industry.
MEConstructionNews.com | October 2021
16
MARKET REPORT
Industry outlook
Abu Dhabi Q2 2021 Market Overview
UNITED ARAB EMIRATES
Asteco report examines the performance of the capital’s real estate market for the second quarter of 2021
A
steco recorded the delivery of approximately 2,070 apartments and villas in Q2 2021 including units in Water’s Edge and Mayan, both located on Yas Island, as well as a number of buildings located in Al Raha Beach. More than 9,350 residential units are anticipated for handover before the end of the year; however, some projects are likely to experience delays and spill over into 2022. The second quarter also saw the launch of Noya Viva and Noya Luma by Aldar Properties, the second and third phases of their Noya development on Yas Island. The projects offer a mix of townhouses (2 BR and 3 BR) and villas (3
October 2021 | MEConstructionNews.com
BR to 5 BR) to all nationalities on freehold basis and registered significant levels of demand. Construction on both communities is expected to begin in 2021 with completion earmarked for Q1 2024. Apartment rental rates softened marginally (by 1%) over Q2 2021, although several properties remained more or less stable due to previously recorded drops. Annual declines, however, were more pronounced and averaged 8%. Whilst the higher reductions in Q1 2021 occurred in the lower end of the market, this quarter focused on mid and high-end properties, with some units noting declines of 10% to 15%. Incentives such as multiple cheques, rent free periods and waived/discounted agency fees have resulted in an increase in demand for mid and high-quality buildings, particularly on Reem Island and Al Raha Beach. Conversely, villa rental rates recorded an average increase of 1% in Q2 2021, which was predominantly driven by the rise in interest for well-developed villa communities located on Yas Island, Saadiyat Island and Al Raha Beach, a trend that traces back to mid-2020 following the lift of the COVID-19 restrictions/ lockdown. Similar to last quarter, tenant
movement was dominated by residents looking to upgrade/upsize, particularly in respect of villas and townhouses. This was facilitated by the increased availability within the mid to high end sector. The office market continued to be challenging, despite only showing marginal rental rate reductions in Q2 2020 (annual declines stood at 4%). Instead, landlords offered incentives in regard to payment terms and conditions (i.e.: rent period, service charge waiver and/or reduced fit out cost). Apartment sales prices remained relatively stable over the last three months with prime and high-quality units being the most sought after. Similar to the rental market, demand for completed villas continued on a high note, particularly within the upper end. Villa sales prices increased by 1% on average over Q2 2021 predominantly driven by Al Raha Gardens and Al Reef, which recorded sales growth rates of 6% and 2%, respectively. It should be noted however, that the current uptick in villa sales prices is predominantly driven by the limited availability of good quality properties offered for sale at attractive rates, the report concluded.
MARKET REPORT
17
ABU DHABI NEW HOUSING SUPPLY, 2021
1,700
2,000 Q2 2021
Projected H2 2021
50
70
300
Q1 2021
Q1 2021
9,050
Q2 2021
Projected H2 2021
Apartment rental rates softened marginally (by 1%) over Q2 2021, although several properties remained more or less stable due to previously recorded drops” NORTHERN EMIRATES APARTMENT RENTAL RATES, Q2 2021 (AED THOUSANDS PER ANNUM) STUDIO
1 BEDROOM
2 BEDROOMS
3 BEDROOMS
% CHANGE
FROM
TO
FROM
TO
FROM
TO
FROM
TO
Q1 2021Q2 2021
Q2 2020Q2 2021
ABU DHABI ISLAND
-
-
60
100
100
140
150
230
-2%
-7%
INVESTMENT AREA
65
90
90
145
110
185
170
285
0%
-3%
Central Abu Dhabi
40
45
55
60
75
105
110
140
-2%
-11%
Corniche
50
55
60
75
75
110
120
155
-3%
-19%
Khalidya / Bateen
65
70
65
80
68
130
105
170
-2%
-4%
Al Raha Beach
55
65
65
85
100
130
130
185
-1%
-2%
Marina Square
39
45
50
70
68
102
95
150
-1%
-5%
Shams Abu Dhabi
42
45
50
65
77
115
110
145
-2%
-7%
Saadiyat Beach
-
-
70
80
112
135
140
160
0%
-4%
Yas Island
50
55
70
80
100
120
160
170
0%
-5%
PRIME PROPERTIES
HIGH END PROPERTIES ABU DHABI ISLAND
INVESTMENT AREA
MID END PROPERTIES
40
50
48
75
60
110
90
140
-2%
-8%
Shams Abu Dhabi
-
-
48
60
65
85
95
125
-1%
-6%
Najmat & Tamouh
35
42
45
58
63
95
90
128
-2%
-7%
Al Raha Beach
42
45
50
62
75
110
-
-
-2%
-8%
Khalifa & MBZ City
23
38
42
70
60
108
115
130
0%
-3%
Central Abu Dhabi
30
35
40
45
45
58
55
90
-1%
-9%
Corniche
30
35
42
50
55
60
68
80
0%
-9%
Khalidiya / Bateen
25
35
38
45
50
60
65
85
-2%
-11%
INVESTMENT AREA
Al Reef
32
38
45
52
58
68
75
92
0%
-5%
OFF ISLAND
Khalifa & MBZ City
22
32
32
42
42
52
60
75
-1%
-8%
ABU DHABI ISLAND INVESTMENT AREA OFF ISLAND LOW END PROPERTIES ABU DHABI ISLAND
Source: Asteco
-1% Q-o-Q Q1 2021
-8% Y-o-Y Q2 2020
-33% Since peak Q4 2015
-15%
Since market low Q2 2012
MEConstructionNews.com | October 2021
18
ANALYSIS
Construction data
Data is the new lifeblood of the Built Environment MIDDLE EAST
Suhail Arfath, director, Digital Transformation and Innovation at Hloov, says that democratised and regulated data flow is essential to make the built environment live and breathe—just like the human body
O
October 2021 | MEConstructionNews.com
ne of the most critical systems in the human body is the cardiovascular system which includes the heart, blood vessels, and blood. The functions of blood determine the health of the human body. When the body does not receive an ample amount of nutrients and oxygen, cells begin to die. If all cells in the body were to die, we would cease to exist as we know it today. This most incomprehensible yet magical process is made possible by the human heart – which typically works 24/7 and 365 days for an average of 70 years and also helps to regulate the two other body systems: the respiratory and nervous systems. A similar analogy can be made for the data in the built environment as it is a very complex sector that heavily
depends on communication and the flow of information. Industry reports reveal that roughly 96% of the data produced in the built environment remains unused and thus wasted in silos. In comparison, if the same were to happen in the body, a person would suffer organ and tissue damage, resulting in risk to life. With such a large amount of data lost during the process, a sector wherein megaprojects typically take 20% longer to finish than scheduled and are up to 80% over budget; the built environment can barely stay afloat. According to some reports, construction teams spend 13% of their time looking for project data and information, while 30% of E&C companies use tools that do not integrate. Compare this loss in resources to human body blood loss and functioning; the construction sector would barely survive.
Data wastage Industry reports reveal that roughly 96% of the data produced in the built environment remains unused and wasted.
30%
E&C companies use tools that do not integrate
ANALYSIS
As digitisation across the built environment continues to gain momentum, leveraging data will become critical to ensure that it reaches its full potential. Data is the lifeblood of our world, and we must learn how to harness it to derive meaningful insights for everyone. We are quickly moving toward an era where people would recognise data as the new lifeblood of the built environment – leading to minimised waste and preservation of resources on our planet. In essence, we must make a paradigm shift from ‘data as information’ to ‘information as data.’ In other words, the data itself is becoming the new lifeblood of the built environment. This new way of thinking requires professionals to equip themselves with the right tools to use and handle data in their workflows and make the most of it. In the new digital era, the built environment needs tools built with a people-centric digital-first mindset and leverage advanced technologies like Machine learning (ML) and Artificial intelligence (AI) to process large volumes of the most valuable raw data available in its pure form from various sources and derive insights from it. Just like the human body, the built environment needs a “heart” that pumps democratised, regulated, and accurate data at the right time to the right stakeholder. Data democratisation means efficiently sharing information among different stakeholders that helps generate ideas, reduce costs, enhance productivity, and increase transparency by using the right insights at the right time without compromising security or confidentiality. At Hloov, we believe that nature is the most exemplary teacher one can learn from, and taking inspiration from it, we are developing “Project Heart.” Like the human heart, Project Heart empowers every stakeholder within the built environment through advanced machine learning (ML) algorithms to monitor, regulate, and govern data flow, making it accessible to the right people at the right time. The goal is to democratize data for better decisionmaking within all stakeholders; create
19
We are quickly moving toward an era where people would recognise data as the new lifeblood of the built environment – leading to minimised waste and preservation of resources on our planet” People-centric mindset Suhail Arfath says that the built environment needs tools built with a people-centric, digital-first mindset.
96%
Data produced in the built environment is unused
an efficiently managed data flow; reduce costs and provide actionable insights that help optimize resources required to minimize waste and achieve goals. The future of the built environment hinges on how we go about using data in real-time so that information becomes actionable insights for effective decision-making. In summary, with the growing urbanisation and persistence of inefficiencies in the built environment, the productivity of E&C firms will continue to be negatively impacted. Each project requires multiple stakeholders to work together seamlessly, which is why many problems, including exorbitant costs, notorious schedule overruns, misalignments between
stakeholders during planning, execution, and completion phases resulting in project failure. The increasing demand for construction calls for increased collaboration and consistency; data silos must flatten out to achieve that. Hence, there is a dire need to rethink the approach towards the built environment and smoothen the circulation of data within it. We must strive towards a future of the built environment where information becomes actionable insights for effective decision-making in real-time so that information becomes actionable insights for effective. – Data is the new lifeblood of the built environment, and for a healthy built environment, the data must be available and accessible.
MEConstructionNews.com | October 2021
20
IN PROFILE
Lootah Real Estate Development
Young at Heart BIG PROJECT ME SPEAKS TO RAJA ALAMEDDINE, THE NEW CEO OF LOOTAH REAL ESTATE DEVELOPMENT, ABOUT DRIVING THE UAE-BASED DEVELOPER’S VISION FOR SUSTAINABLE, AFFORDABLE AND TECHNOLOGY EMPOWERED REAL ESTATE PROJECTS
October 2021 | MEConstructionNews.com
21
MEConstructionNews.com | October 2021
22
IN PROFILE
n May 2021, it was announced that Lootah Real Estate Development (LRED) had appointed Raja Alameddine as the company’s new CEO, with a responsibility of leading the expansion of the company’s regional footprint and driving a new vision within the organisation. Coming into the role with an extensive track record of leading and managing large real estate investment, development, financial and legal operations, Alameddine’s appointment is intended to bring a deeper focus on delivering sustainable, tech-powered and affordable lifestyle real estate projects to the community, Lootah Holding Group CEO, Arash Dara said at the time. Having been in the role for a few months now, Alameddine tells Big Project ME that while his background may be in delivering megaprojects, his remit at LRED is to implement a forward-thinking vision to the company and ensure that it is targeting the right market segments moving forwards.
Deep focus Raja Alameddine intends to bring a deeper focus to LRED on delivering sustainable, techpowered and affordable lifestyle projects.
Market shift LRED will look to develop projects and units that will target the millennial and Gen-Z market
“When I joined the company in March 2021, I looked at its portfolio and what it was doing historically, and while they were doing a great job, I felt that there was a need to move in a different direction, at least in specific sectors. “There needed to a bit more focus in terms of real estate development – today you can do projects and develop units that can compete with everything that is out there in the market, or you can pick a niche product and say that you’ll work on it. Alternative, if you see that there isn’t a niche product that you can easily identify, can perhaps create one. “So, that’s why I felt that there was a need for LRED to be more focused
on a specific market segment that is underserved. Even in Dubai, there are market segments everywhere that are not served, which is why every once in a while, you will have a developer, retailer or operator come up with an idea that does very well, and then suddenly everyone is following it. “That was the idea (behind my appointment), for me to come in and look at where the niche markets are, where we can operate in or create them, so that instead of competing in a market with 80,000 units (which is the number of units being supplied this year), we’re competing with 1,000 units. Instead of competing for 200,000 buyers, you’re competing for units that have 400,000 to 500,000 buyers. “It’s about supply and much larger demand. I’m talking specifically about the market that will serve the young – or young at heart – and the entrepreneurs at the beginning of their careers, who are looking for something that is really aspirational in terms of living, working, playing and being entertained, all that same location,” Alameddine asserts, pointing out that in the current market, a young professional or entrepreneur may live in an apartment in JBR or Dubai Marina but does not have access to the resources and entertainment needs they may require. He envisions creating precisely this type of space for the market as he believes that as Dubai looks to
It’s about supply and much larger demand. I’m talking specifically about the market that will serve the young – or young at heart – and the entrepreneurs at the beginning of their careers, who are looking for something that is aspirational” October 2021 | MEConstructionNews.com
IN PROFILE
attract global professional nomads with its recent visa changes. “Today, if you look at young end-users, they are not living in an ideal situation. Dubai is fantastic and it has everything, but there isn’t an environment that puts it all in one place for someone who is 25 years old, who wants to go down to a co-working space, sit down on a couch and work on their laptop, and then be able to go upstairs to their unit, before heading downstairs to grab a bite. They don’t have all of that in one place, so I think eventually, that offering will appear in the market.” Furthermore, he says that while there has been a discernible shift in attitudes because of the COVID pandemic, with investors wanting more space
with larger apartments and villas, it doesn’t mean that small apartments and co-living spaces are going to die out. With people learning to live again in a communal form, he predicts that post the pandemic, the market will see a rise in the concept of co-living. “The co-living model is much needed. It brings people together, and that type of offering really makes people think about what they need and what makes a good offering. It’s not just about renting or buying a space – they’re going to be very picky about what they’re investing in.” This also leads to customers being more conscious about the sustainability and environmental impact of what they’re buying or renting, he adds, pointing out that younger consumers
Conscious consumers Modern-day consumers are more conscious about sustainability and the environmental impact of the units they rent or purchase.
2002
Lootah Real Estate Development was founded
23
have been taught in school and university about conscious consumerism. “We see that most of our customers are smart and energy conscious, with sustainability and care for the environment (at the forefront of their decision making). We’ve made sure that all of the developments we’re doing now have a lot of emphasis on smart systems and sustainability, with BMS being introduced in all of our new projects. It’s the norm now. “In terms of materials, it’s very easy to use energy efficient materials at no extra cost – you just have to have the will and the intention to do it. This is what we’re working on, and we’re working with some young companies that we want to partner with and bring on board,” he reveals. MEConstructionNews.com | October 2021
24
IN PROFILE
If a developer today is able to develop 5,000 units, then let him develop 5,000 units. It’s his PNL at the end of the day. If he misses it, then he’s going to in trouble. If he does well, then he does well!”
October 2021 | MEConstructionNews.com
This concept of partnership extends to how LRED will be approach its future projects, Alameddine states. He reveals that the developer is exploring partnerships and joint ventures with other developers, architects and design firms as it looks to elevate its offerings in the region. In this vein, LRED announced a partnership with JPA Design earlier this year – a move that not only signifies the developer’s commitment to enhancing its local presence and elevating its brand, but also highlights how it intends to design projects that will appeal to its target market – millennials and Gen Z. “We listen to the needs of the market, our clients, our potential customers and hence we innovate by utilising
Elevated offerings LRED is exploring partnerships and joint ventures with other developers, firms and architects to elevate its offerings in the market.
90+
LRED has delivered over 90 buildings so far
our collective expertise and range of partnerships,” Alameddine says. However, he stresses that in order for these partnerships to work, it is essential that the right partner is chosen, as choosing the wrong one can have dramatic consequences. “(Why should you do a joint venture or partnership?) Because it allows you more exposure to projects, it allows you to reach something special. Each partner is going to bring in something different. They are not going to just put in equity but are instead going to have a contracting or consultant arm, strong financials, risk spreading visà-vis the lending bank, and so on. “When you bring in a partner, you bring in all these benefits, but it
26
IN PROFILE
also depends on how you pick your partner and how you move along. I have personally been involved in a lot of companies that were a partnership of two major companies and it was always initially very well defined, with people knowing what they were doing, and there were detailed agreements laid out in the beginning,” he explains. While the larger developers may not need to explore the joint venture option, Alameddine indicates that many of Dubai’s smaller developers share the same ideas and viewpoints that he does, with several well-known brands offering to work with LRED. “We haven’t been doing this typically – nobody in the industry has been, but there’s definitely an economic aspect to it, let’s not kid ourselves about that. It’s going to bring more equity and benefit, more assurance to the lending banks and all of that. “For example, if you bring in somebody and join forces with them, then you can come up with something that’s very interesting. I think we’re going to see more and more of that. It’s not going to be widespread, and will be limited to specific developers, but I’ve talked to some of them and they’re very excited (by the concept),” he relates. With EXPO 2020 beginning, Alameddine predicts that Dubai’s real estate market is going to see a significant change following the mega-event, which is expected to see 15 to 20 million visitors.
October 2021 | MEConstructionNews.com
There needed to a bit more focus in terms of real estate development – today you can do projects and develop units that can compete with everything that is out there in the market, or you can pick a niche product and say that you’ll work on it” EXPO impact Developers will need to adjust their supply after the EXPO, Alameddine says, as he predicts there will be a period of market stabilisation after the mega-event.
Aspirational needs LRED is designing and developing units that will suit the aspirational needs of its target markets.
“Obviously, the real impact will be after the EXPO has happened,” he says. “We all know it’s going to create a buzz, which is why everyone is scrambling today to get their projects done. What this means is that villa prices have gone up by 20% to 30% since the start of the year, and apartments are catching up with them. “However, the challenge will be what’s going to happen after the EXPO. A lot of the supply will be taken. In fact, I don’t think there’s going to be an oversupply issue from now, to when the EXPO is over. But I fear that what’s going to happen after the EXPO is that if developers don’t adjust their supply, there might be an issue after it. I think
there could be some sort of stabilisation happening – everything is increasing now, and I think that will continue for the next three to five months, but after that, it’s going to start to stabilise, and I think developers will need to be very careful after that,” he warns. As the interview draws to a close, Alameddine addresses the issue of oversupply in the market, pointing out recent talk from big developers about regulating oversupply in the market may not be the solution to the issues facing the sector. “In my personal view, this is supposed to be a free market – when you start regulating supply and demand, it’s not the ideal environment for developers. If a developer today is able to develop 5,000 units, then let him develop 5,000 units. It’s his PNL at the end of the day. If he misses it, then he’s going to in trouble. If he does well, then he does well! “But, if you say that you’re going to limit supply and that you’re going to do this and that, then you create an environment that’s not healthy for a developer. It’s a controlled environment, and I personally don’t like that. I think it should be an open market, where you study, do your homework, and do it very well, and then whatever happens, has to happen. “Keep it as a free market, where if you do well, you succeed, and if you don’t do well, then it’s your loss,” he concludes bullishly.
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October 2021 | MEConstructionNews.com
PROJECT PROFILE
29
ICD Pavilion PROJECT NAME: Investment Corporation of Dubai Pavilion CLIENT: Investment Corporation of Dubai CONTRACTOR AND DESIGNERS: ALEC FITOUT, Icaria Atelier and LMS LOCATION: Expo 2020 Dubai TOTAL PAVILION AREA: 1,350 square metres TOTAL NUMBER OF MODULES: Eight
A Tranquil Space BIG PROJECT ME SPEAKS TO ALEC FITOUT TO FIND OUT HOW THE ICD PAVILION AT EXPO 2020 DUBAI WILL PROVIDE VISITORS AN OASIS OF CALM AND RELAXATION DURING THE MEGA-EVENT MEConstructionNews.com | October 2021
30
PROJECT PROFILE
ith Expo 2020 Dubai kicking off this month, several pavilions are making final preparations ahead of the big show. Given that several countries are using the six-month long event to showcase their culture and heritage, the crowds visiting the Expo site are sure to be treated to an extravaganza that will rival anything that can be found in the world. However, while most of the pavilions at the Expo have opted to go for the spectacular and eye-catching, one pavilion has opted for a more serene and understated vibe. This pavilion belongs to the Investment Corporation of Dubai, the principal investment arm of the Government of Dubai, who says that the pavilion will be a ‘memorable, welcoming, and enriching experience’ for visitors. At the ICD Pavilion, visitors will be taken on a journey to explore some of ICD’s portfolio of companies, including regional giants such as DMCC, Emirates Global Aluminium, Dubai Holding, LINQ by ALEC, Emaratech, Kerzner and Dubai Global Connect.
Taken on a journey Visitors to the ICD Pavilion will be taken on a journey to explore ICD’s portfolio of companies.
A sense of respite The pavilion has been designed to give visitors a respite from the bustle and crowds of the EXPO.
Narrated over eight modules, interspersed with seating and relaxing areas made of all-natural materials, the pavilion has been designed to give visitors respite from the busy and crowded areas found elsewhere around the site. Designed and built by ALEC FITOUT and design partners Icaria Atelier and LMS, the ICD Pavilion
will cover an area of around 1,350 square metres and will be focused on highlighting the portfolio companies’ focus on excellence, commitment, sustainability, integrity and respect. “The Investment Corporation of Dubai supports and drives the economy of the Emirate, an imperceptible yet key component of its success. Like an essential element in nature, ICD weaves itself firmly and naturally into the fabric of Dubai’s every day, vital for its successful growth and emerging at strategic points to reinforce progress. This interconnected, seamless progress is the inspiration for design,” a spokesperson for ALEC FITOUT tells Big Project ME in an exclusive preview of the pavilion ahead of the Expo’s October 1 launch. “ICD’s presence at the Expo is a true representation of the corporation’s spirit, transforming a notion of progress and security into a physical space of peace and enjoyment, a discreet but firm and elegant infrastructure that provides shelter and guidance to its visitors, seamlessly integrating different natural elements with layers of information,” he continued. The outside of the ICD Pavilion consists of a bamboo structure that will radiate light and movement, with visitors attracted to the entrance via an audio-visual waterfall aperture that will screen the ICD corporate
The remit for the team was to design and build – on a limited and fixed budget – a truly memorable and exceptional visitor experience that reinforced the corporate identify of ICD and its various owned entities” October 2021 | MEConstructionNews.com
PROJECT PROFILE
31
identity. Once past the waterfall, they will be engulfed by tall hedges and guided through the pavilion whirling stems and stalks, and winding grassy slopes, the spokesperson continues. “The ICD visitor experience inverts the typical design for an EXPO Pavilion in that ALEC FITOUT and our design partners Icaria Atelier and LMS have designed an outdoor space combining all natural materials as well as intelligent and subtle use of media and technology to reinforce the corporate identity of ICD. “The visitor experience is one of relaxation and exploration – informal seating areas along the experience route encourage visitors, families and corporate guests to unwind in a natural outdoor environment.” The decision to participate in EXPO 2020 was taken following a discussion between the senior management of ALEC, ICD and EXPO, with the consensus being that the mega-event would provide an excellent platform for ICD and its various assets to showcase and reinforce their corporate identity to the thousands of visitors, guests and businesspeople expected to attend. In order to deliver the project on time and on a very tight schedule, ALEC FITOUT was appointed because of its record of delivering fast-track design and build projects, and its experience in delivering a variety of EXPO projects including the Mobility and Opportunity Pavilions, as well as the KSA, Morocco and Qatar country pavilions, and the ENOC and DP World pavilions. “Considering our experience in fasttrack projects and that our operational teams are familiar with EXPO delivery, it was a natural choice for ALEC FITOUT to be chosen to deliver the design and build visitor experience for ICD Pavilion,” the spokesperson says. “The remit for the team was to design and build – on a limited and fixed budget – a truly memorable and exceptional visitor experience that reinforced the corporate identify of ICD and its various owned entities. An extremely challenging timeframe of five months was mandated for the D&B project, considering that MEConstructionNews.com | October 2021
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PROJECT PROFILE
EXPO must open on 1st October.” The only reason this project has been delivered to such a tight deadline is because of ALEC FITOUT’s long established delivery frameworks, says Taylor. These frameworks not only allowed for fast and clear decision making, but it also ensured that the team were able to progress uninterrupted once the decisions were made, he explained. “Over the years, ALEC FITOUT has developed a non-
October 2021 | MEConstructionNews.com
linear, non-traditional, fast track delivery framework whereby design, budget and program are validated in parallel – a truly collaborative process with our design partners Icaria Atelier and LMS as well as close communication with ICD ensured that design intent and direction was approved early in the process. “Once the concept direction was approved our team quickly developed design in relation to program and cost to ensure the design intent was achieved bearing cost and time constraints. The second major milestone was
Fast-track delivery The pavilion was designed, built and delivered within a period of five months.
8
Number of modules across the pavilion
presentation of final design with confirmation of lump sum budget and program. From this moment the project operations team, with the ongoing assistance of EXPO, ensured that the build and installation proceeded at a super-fast track pace to ensure timely delivery,” he outlines. Conceived in the first quarter of 2021, the pavilion and visitor experience has been planned and designed with COVID in mind, with the outdoor experience partly motivated by the pandemic and ensuring effective social distance, combined with the intent of
PROJECT PROFILE
showing only natural materials and focus on sustainability. “Naturally there have been various delivery constraints due to logistics and international procurement, however, considering that the pavilion is an outdoor visitor experience we believe that it is very COVID friendly in terms of its design,” he highlights, but points out that ALEC FITOUT’s fast-track, non-liner, design and build framework ensured that any issues and challenges that arose were dealt with in an effective manner, with due consideration to the impact on design intent, program and budget.
“Working very collaboratively with our design partners as well as the EXPO delivery teams solutions have been found for all challenges as they arose,” the spokesperson asserts. “ALEC FITOUT, together with our exhibition design partner, Icaria Atelier, developed a clear vision and strategy early in the design process for the AV, Media and lighting direction to be incorporated within the pavilion. Considering the visitor experience is outdoor the design was required to be practical yet creative as well as mindful of project budget and timeframe.
1,350 sqm Total size of the ICD pavilion
33
“Each of the participating assets including Kerzner, DMCC, Emirates Global Aluminium, Dubai Holding, LINQ by ALEC, Emaratech and Dubai Global Connect, as well as ICD will have media content in a specially designed totem naturally integrated into the organic shading structure. “The media productions for each company are linked using fluid transition texture images that represent each business category and add an artistic note to these AV productions and ensure a coherent visitor experience for the guest,” he adds.
MEConstructionNews.com | October 2021
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PROJECT PROFILE
We anticipate that visitors will experience something different and unique and that the use of natural elements will encourage guests to relax and have a sense of wellness and welcoming” “The use of natural materials provides an incredible opportunity to our creative and delivery teams to design and deliver a truly memorable visitor experience. We are very proud that the pavilion uses natural materials such as bamboo for the woven structure. We believe that our firm commitment for the use of natural materials will ensure a
October 2021 | MEConstructionNews.com
memorable and relaxing visitor experience for all guests and connects with many of the overarching themes of EXPO 2020 which includes sustainability at its core.” Finally, Taylor says that ALEC FITOUT will continue to be involved in the pavilion project beyond its handover, particularly in regard to the maintenance of its MEP
Natural materials The pavilion is constructed from natural materials such as bamboo for the woven structure.
Team effort The pavilion’s successful delivery was due to the teamwork and coordination by all the stakeholders involved.
systems, landscaping, lighting and audio-visual elements. Kerzer, the hospitality operator that is part of ICD’s portfolio, will be responsible for the operation and management of the pavilion, he added. “It has been a great team effort by all so far and we will continue to work closely for the duration of the EXPO to help facilitate each visitor having a very memorable experience at the ICD visitor pavilion. The feedback to date from ICD and the EXPO team has been positive. The pavilion offers a very different experience to many of the other pavilions at EXPO and as such we are very excited to see the how the pavilion is received by all the guests that will be able to visit it very soon. “We anticipate that visitors will experience something different and unique and that the use of natural elements will encourage guests to relax and have a sense of wellness and welcoming – transforming the notion of ICD progress and security in Dubai into a physical space of peace and enjoyment at the EXPO,” he concludes.
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EXPERT VOICE
Land Sterling
Sustainability Principles for a Better Future MIDDLE EAST
Steve Hextall, head of Project Management and Cost Consultancy at Land Sterling, tells Big Project ME that sustainable construction and design is the only way forward for the region’s construction industry
O
ver the coming years the GCC’s construction sector will come to be defined by three key factors if it wants to grow, experts have said. These key factors are Digitalisation, Innovation, and perhaps most crucially – Sustainability. The importance of sustainability to the construction industry is evident by the strengthening of green standards by government authorities, and their continued focus on improving and raising the bar when it comes to sustainable construction. As someone who has spent several years working around the world in international contracting and consultancy firms, Steve Hextall has been able to see first-hand the positive impact of
October 2021 | MEConstructionNews.com
sustainable construction, with his former company, Aspect Project Management able to fill a niche in the market as a client centric specialist consultant. Following six successful years of operation, Aspect was acquired by Land Sterling in July 2021 and Hextall was appointed as the head of Project Management and Cost Consultancy for the real estate consultant. As part of his remit, he will look to add project management and cost consultancy expertise to the current Land Sterling service offering, creating a truly 360-degree real estate and building consultancy in the GCC, with sustainability at its core. He speaks to Big Project ME about the overarching vision for his role, and how Land Sterling will look to move the needle forwards
when it comes to sustainability in regional construction. Why is the ongoing trend towards sustainable construction in the region so important to the future of the sector? Historically the trend in UAE development has been to transfer built assets, but now the new emerging trend is for developers to build, own and operate assets. This has shifted the focus towards the life cycle costing of the building, together with reducing energy usage and consequently the cost of operation. Occupant and employee wellness is now high on the corporate agenda, so the onus has also fallen on developers to create healthy workplaces and living spaces
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FOR MORE INFORMATION Please visit the Land Sterling website at: www.landsterling.com How will Land Sterling target this shift in the industry’s focus and what is being done to shift the business’ direction towards sustainability? Land Sterling will continue to promote the design and delivery of sustainable and healthy development projects. We are working with numerous industry leading partners to provide sustainable plant and equipment and building materials that will not only provide a healthy working and living environment but will decrease cost of ownership and increase returns on investment over the life span of the building. In the education sector specifically, we have promoted sustainability to an extent where it becomes part of the curriculum, and the student body takes ownership and responsibility for the sustainable operation of their campus. Modern technology allows for close monitoring of power and water usage for example, and students can view the performance of their campuses on digital information dashboards. Renewable energy technologies can also be integrated into the school design. What are some of the sustainable projects in the company’s portfolio and what results did they generate to showcase their viability to clients? Aspect were key partners on the development of Masdar’s Eco Villa project, where we delivered LEED and ESTIDAMA accredited projects in the education, commercial and hospitality sectors. We have partnered with specialist engineering firms who can create ‘digital twins’ of proposed developments in order to simulate and predict the performance of a particular building, allowing any inefficiencies, both in terms of energy usage and occupancy & space utilisation to be designed out. Aspect was appointed by Masdar as technical consultant for
sustainable design, and the team ensured that the villa design met all of its targets in terms of energy and water usage by implementing new energy and water saving technologies as proof of concept. Using smart metering systems and monitoring sensors the villa was discovered to use 72% less energy and 35% less water than a typical comparably sized villa in Abu Dhabi, displacing an estimated 63 tons of carbon dioxide annually. Furthermore, Aspect worked with Masdar on its life cycle costing and Return on Investment calculations in order to establish which of the energy efficient technologies were implemented in its current villa development projects and which required further development. What does the shifting trend towards developers building, owning and operating their assets mean for the future of sustainable design and construction in this region? Why will this lead to our building being built better? Quite simply, developers retaining assets naturally tend to have a longer-term view on life! Life cycle costing, cost of ownership and projected returns on investment play a much more significant role in development decisions. Operational cost and facilities management strategies also come into play and are driving investment decisions more so than previously. For example, we are increasingly finding that highly energy efficient MEP plant, or more durable interior finishes, that may result in an initial uplift in capital investment expenditure, are becoming more attractive as they represent a longer-term reduction in operating expenditure and maintenance costs. The economics are relatively simple and most savvy developers are now very much tuned into this fact.
We are working with numerous industry partners to provide sustainable plant and equipment and building materials that will not only provide a healthy working environment but will decrease cost of ownership and increase returns on investment over the life span of the building” Has the pandemic altered the way the industry thinks about sustainability and efficiency of design, construction and operation? Post pandemic the key words are Mobility and Flexibility. The days of working 8am to 6pm are no longer as prevalent, as are the days of fixed desk workspaces.
We see a rise in the requirement of co-working spaces that allow employees to redress their work life balance and have more flexibility in their workplaces. Most companies now incorporate flexible desks and application-based space booking systems that allow employees to ‘plug in’ from any local or remote location. We also see more attention being paid to creating healthy working, living, or studying environments, whether that be thermal comfort, lighting or acoustics, with the incorporation of increased sensors and live monitoring technologies that allow a building to function almost autonomously to create and continually adjust the optimal environment for its occupants. Land Sterling is working with students to drive awareness about sustainability. Could you elaborate on this? There are a number of ‘green’ schools and campuses in the UAE and there are others that aspire to be “sustainable”. Many schools are indeed developing their own complimentary curricula which almost always includes an element of sustainability, natural resource availability and environmental awareness. To support these initiatives, Land Sterling, wherever practically possible, will directly engage with the student bodies and faculties in order to obtain input into school designs and generate sustainable ideas and feedback, as who better to inform the design process than the end user? This instils a feeling of ownership and consequently the students have an increased sense of responsibility as to how their schools are run. Research increasingly shows that schools using sustainability principles help their pupils to develop positive attitudes to their futures as well as their own learning, which means they can attain better results.
MEConstructionNews.com | October 2021
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COMMENT
Industry insight
DOUNIA FADI
BERKSHIRE HATHAWAY HOMESERVICES GULF PROPERTIES
Increasing demand in Dubai’s property market shines positive light on construction
T
he onset of COVID-19 caused industries across the globe to come to a standstill due to the several disruptions in economic activities. The construction sector was no exception. While several leading countries including the USA and India are still trying to recover from the effects of the pandemic, Dubai has steadfastly set a global benchmark for economic recovery with the recent pick up of the Emirate’s property market. Sales transactions in Dubai continue to rise as demand and prices increase hand in hand. In June 2021, over 6,388 sales transactions worth $4.05 billion were registered in Dubai, the highest recorded transactions in the last 8 years, according to the Dubai Land Department (DLD). Measures to curb excess supply have been showing effect as a result of major participants within the UAE collectively working together to address the issue of oversupply in Dubai's housing market. Dubai's pre-recession investment into developing major projects, combined with the country's healthy economic development has helped the country progress and become more enticing to international investors. There have certainly been parallels between
October 2021 | MEConstructionNews.com
how the UAE handled the global financial crisis of 2008 and how the country recently accelerated reforms to boost the economy as a whole. Proactive government incentives such as the introduction of a remote work visa, special investor and retirement visas, golden longterm visas, as well as the announcement of Operation 300bn are part of the government's long-term goal of diversifying UAE's economy and will help the development of UAE’s industrial base and generate local added value. UAE's economy is predicted to recover relatively quickly, with the IMF recently forecasting a 3.1% GDP growth for 2021 as compared to the 1.2% forecasted in October last year. UAE’s real estate market has already seen a healthy growth in 2021 so far, with a move from a domestically driven over the past few years, to one that is attracting and influencing more foreign and institutional capital. The economy is further supported by a revitalised growth in the UAE and Dubai’s non-oil foreign trade in 2020 which touched $321 billion. Investment prospects associated with Expo 2020 and introduction of regulatory reforms aimed at attracting foreign investors have helped to further stabilise the market and provide an optimistic outlook of the future for developers. With Expo 2020 expecting to attract more than 25 million visitors from all over the world, Dubai property prices after the event are expected to stabilize as potential short-term visitors for the event can turn into residents in the long run. The opening of branded new hotels in Dubai is also set to peak in the fourth quarter of 2021 during Expo 2020 with the expectations of rise in demand from a large influx of foreign visitors. The completion of ongoing infrastructure projects in the UAE along with various regulatory measures launched by the government will have a positive impact on the property market going forward and will only further continue to motivate developers to invest heavily in the market. As sales prices and rents proceed on an upward trajectory, a check on supply will ensure price resilience and developers with strong fundamentals and renewed business resilience need to be cautiously optimistic for a stronger 2022. Dounia Fadi, Chief Operating Officer of Berkshire Hathaway HomeServices Gulf Properties.
PAUL WALLETT TRIMBLE SOLUTIONS
How automation and digitalisation are reshaping construction
M
odern construction projects today continue to take the spotlight as they exceed the industry's greatest achievements from the last decade, equipped with a new set of engineering and architectural tools and software. Industry leaders are starting to grasp the potential of these digital innovations and are integrating them to the latest projects at a pace never seen before. To sustain this momentum, many construction solution providers have taken steps to support and establish enhanced future collaborations and coordination with architects, project managers and engineers. They aim to help connect stakeholders to ensure that everyone is on the same page all throughout the construction process to fast-track success. The arrival of new technologies and construction processes such as 3D Constructible Building Information Modelling (BIM), 4D and 5D Construction Management, Mixed reality, Robotics, Cloud computing, and Internet of Things (IoT) help experts design and create structural marvels. By applying these technologies in construction, we can tangibly experience the seamless convergence of the physical and digital worlds. Through these technological developments across the world, particularly in the Middle East and North Africa, countries are starting to mobilise multibillion dollar projects in line with various country-specific initiatives.
COMMENT
Recent data shows that the value of the newly initiated projects in the GCC, reached $35.6 billion during the first quarter of 2021. At least $19 billion, or 54%, of these projects are in Saudi Arabia, as the country ramps up efforts to achieve the goals set within the Saudi Vision 2030. Meanwhile, the upcoming Dubai Expo 2020 has been leading new tourism and hospitality projects, while public spending on infrastructure continues to contribute to the growth of the UAE’s construction market. With the huge demand of these projects, construction companies are keen to implement ground-breaking innovations, which amongst others include digital document management systems and GPS tracking of manpower and materials to enhance project delivery. In terms of data and design, many are now harnessing the power of augmented reality (AR) to automate measurements, modify visuals, and extract safety information provisions. Others use virtual design and construction (VDC) services offered by many leading construction solution providers in the region. These digital solutions play a fundamental role in reducing risks while optimising schedules and budgets. We can also expect more automation and digitalisation to aid the more mechanical aspects of the construction operation in the following years. Major firms and contractors are already starting to acknowledge the efficiency of these new solutions and the additional safety that these provide to site operations. For instance, on-site crews are being harnessed with sensor-equipped smart boots to warn in case of a possible collision with a construction vehicle. Others also use construction exoskeletons to provide additional power and support during routine movements like bending and lifting. Furthermore, as sustainability gains traction in the construction industry, the need for the rollout of relevant technologies has grown. In the Middle East, green technology is seeing mass adoption. Companies that are using 3D modeling computer programs are well-positioned to design better performing buildings while organisations utilising software programs for accurate analysis and communication can achieve efficient waste management including reduced waste in design and production, better on-site collaboration and new opportunities to improve sustainability. Paul Wallett is Regional Director, Middle East and India, Trimble Solutions.
PRABHU RAMACHANDRAN FACILIO INC
FM needs integrated data-led operations
T
he real estate industry has been extremely proactive, in adopting innovative and disruptive solutions, in recent years. This appetite for breakthrough enhancements is particularly apparent in the Facility Management (FM) function. Now, in the aftermath of the global pandemic, even bigger changes are underway in FM. The crisis exposed issues that were lying dormant in FM operations - without warning, and during an intensely testing period. In the new normal, the challenges have escalated further; with added financial pressures due to the long lockdowns; redefined tenant expectations; limitations on the number of onsite personnel; and an urgent need to optimize processes and results. As if such issues weren’t enough, the industry has also had to adapt to enhanced regulations and protocols, globally. The silver-lining is that, historically, such disruption has led to positive changes, and the unlocking of a new level of performance and profits. To achieve this, the industry is turning to technology; with the FM function being particularly suited to leading the charge. However, making the most of a new generation of tech successfully will depend on backing the right approach, strategies, and solutions. These are decisions that must factor in business bottom-lines, integration, end-user experiences, and scalability, at the same time. No matter the potential of technology, it needs to be deployed in the context of the infrastructure and systems, which the industry
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already has in place; as well as to meet the needs of the diverse stakeholders, in the industry. For real estate Operations and Management to be optimised, portfolio-scale granular transparency is critical – both during implementation, and as a part of ongoing management. And making a building portfolio an IoT-enabled ecosystem – with AI and Machine Learning leveraging real-time data from all assets - is the most effective way to achieve this. In fact, such a system can only create the desired optimisation, if it can seamlessly access data related to aspects as diverse as workforce, resource, and systemrelated processes, concurrently. Creating such a comprehensive and real-time transparency has clear functional benefits, including: • Preventive maintenance • Optimal work order processing • Off-the-rack templates and schedules • A centralized and global asset, space, and inventory repository • API-led integrations with financials and transactions • Third-party contractor tracking and vendor management, and much more Not only does this Integrated and Datadriven model of FM result in enhanced business bottom lines, for building owners and operators, it also transforms the function’s scope from asset management, to experience management, and beyond. A centralised command and control centre, which enables portfolio-wide operational integration, gives FM teams real-time access to data that traditional CaFM solutions could not. It empowers FM workforces to be proactively service-focused and take ownership of the end-user experience, safety, and wellbeing. A real-world example of the advantages to a real estate business would be that such an IoT and AI-enabled O&M approach allows FM teams to create detailed plans to unlock value-centric services and upgrades, with the capability to present very specific CAPEX and ROI figures to the rest of the management team. Every stakeholder in the real estate ecosystem is able to access similar multifaceted value in this model; by enhancing efficiencies for all assets and processes, enabling data-driven decision making and enhanced services. Prabhu Ramachandran is the founder and CEO of Facilio Inc. MEConstructionNews.com | October 2021
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TENDERS
Middle East tenders TERRITORY Margham, UAE CLIENT Dubai Electricity & Water Authority (DEWA) BUDGET $5 million DESCRIPTION The project's scope of work involves the construction of a 33/11KV substation and associated facilities at Margham, Dubai. COMPLETION 3/30/23
DESCRIPTION Abu Dhabi Airports intends to plan, design, and construct a new Airfield Maintenance Facility that would be completed prior to the opening of the Midfield Terminal Building (MTB) in Abu Dhabi. The purpose of the Project is to provide the appropriate maintenance facilities for Airfield Ground Lighting (AGL), Airside Facilities Maintenance (FM) including Tunnels Maintenance Management (TM) and Airside Cleaning (AC), and ADAC Vehicle Maintenance (VM) at Abu Dhabi International Airport (ADIA). This new facility will be centrally located in the East Midfield area in order to better serve the recent significant expansion and modernisation of the aprons, airfield, and associated special systems. COMPLETION 8/30/20
AVIATION
MIXED-USE
East Midfield New Airside Maintenance Facilities
Makers District (Phase 2)
UAE INFRASTRUCTURE
Margham 33/11KV Substation
TERRITORY Abu Dhabi International Airport, UAE CLIENT Abu Dhabi Airports Company (ADAC) BUDGET $30 million
TERRITORY Reem Island, UAE CLIENT IMKAN Properties BUDGET $800 million DESCRIPTION The project's scope of work consists of a mixeduse development located on
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ballroom, conference room, sky lobby and parking facilities. COMPLETION 3/30/24 CORPORATE
Saudi Telecom Company Headquarter Complex
Reem Island, Abu Dhabi. Phase 2 entails 1500 housing units and a hotel and about 50000 square meters of office space. COMPLETION 7/31/24
SAUDI ARABIA
TERRITORY Riyadh, Saudi Arabia CLIENT Saudi Telecommunications Company (STC) BUDGET $50 million DESCRIPTION The project's scope of work involves the construction of a 14-storey headquarter building, innovation centre, mosque and associated facilities in Riyadh. COMPLETION 12/30/23 MIXED-USE
HOSPITALITY
KAAR Development Kempinski Hotel TERRITORY Makkah, Saudi Arabia CLIENT Umm Al Qura for Development & Construction Company BUDGET $100 million DESCRIPTION The project's scope of work consist of a hotel building located at King Abdul Aziz Road, Makkah, Saudi Arabia. The project also includes 380 suites,
Smart Square TERRITORY Riyadh, Saudi Arabia CLIENT Aqalat Limited Company BUDGET $300 million DESCRIPTION Scope of work consists of residential and commercial development, residential units, offices, utility area building, infrastructure works, landscape works on an area of 140,000m2 located at Al Mursalat District, Riyadh, Saudi Arabia. COMPLETION 4/30/24
MEConstructionNews.com | October 2021
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TENDERS
OMAN INFRASTRUCTURE
Duqm Dual Carriageway Road & Bridges (NR 32) (Phase 3) TERRITORY Al Wusta Governorate, Oman CLIENT Duqm Special Economic Zone Authority (SEZAD) BUDGET $110 million DESCRIPTION The project's scope of work involves the construction of 21km dual carriageway road for National Road 32 between Duqm Airport Southwards to Ras Markaz located in Duqm, Al Wusta Governorate, Oman. The project also includes landscaping works, and installation of street lighting. COMPLETION 12/30/24 HOSPITALITY
Ibis Styles Muscat TERRITORY Muscat, Oman CLIENT Oman Tourism Development Company (Mina Sultan Qaboos Waterfront Company (OMRAN)) BUDGET $45 million
DESCRIPTION The project's scope of work consist of a hotel building with 280 keys located adjacent to the Oman Convention Exhibition Centre, Muscat, Oman. The scope also includes construction of banquet halls and meeting hall, conference halls, children’s club, recreational and leisure facilities, the exhibition centre, a meeting hall, an all-day dining restaurant, parking facilities and installation of elevators and security systems. COMPLETION 12/30/23
INFRASTRUCTURE
East Hidd Housing Access Roads & Junctions (Package 1A)
and associated work at Muscat international airport in Oman. COMPLETION 6/30/25
AVIATION
Muscat International Airport Southern Runway & Taxiway Upgradation TERRITORY Muscat international airport, Oman CLIENT Oman Ministry of Transport & Communications BUDGET $50 million DESCRIPTION The project's scope of work involves the refurbishment and upgradation of an existing runway, taxiway, construction of airside roads and fence, landside roads, airfield ground lighting system, utilities (Ducts / LV / IT networks)
BAHRAIN OIL & GAS
Bahrain Well Head Compression For Non Associated Gas Wells TERRITORY Bahrain CLIENT Tatweer Petroleum BUDGET $50 million DESCRIPTION The project's scope of work involves an installation of well head compression facilities, interconnecting pipelines and flowlines, mechanical, instrumentation works and associated facilities in Bahrain. COMPLETION 12/30/23
TERRITORY East Hidd, Bahrain CLIENT Bahrain Ministry of Works, Municipalities Affairs & Urban Planning BUDGET $25 million DESCRIPTION The project's scope of work involves general filling, reclamation and marine works for development roads and junctions connecting East Hidd in (Avenue 46 Extension) Bahrain. The scope covers construction of roads, bridges, infrastructure works and associated facilities. COMPLETION 12/30/23 INFRASTRUCTURE
Wadi Al Buhair Roads & Infrastructure Works TERRITORY Wadi Al Buhair, Bahrain CLIENT Bahrain Ministry of Works, Municipalities Affairs & Urban Planning BUDGET $30 million DESCRIPTION The project's scope of work involves the construction of roads and infrastructure works in Wadi Al Buhair, Bahrain. The scope also includes 6km storm water disposal network, micro tunnel crossing of Esteglal Highway, storm water channel, sewage network, pavements, surface and groundwater drainage network and associated facilities. COMPLETION 12/30/23
QATAR COMMERCIAL
Qatar Cargo & Animal Veterinary Centre TERRITORY Doha, Qatar CLIENT Qatar Airways BUDGET $50 million DESCRIPTION The project's scope of work involves the construction October 2021 | MEConstructionNews.com
TENDERS
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of an animal veterinary centre and cargo bridging facilities at Hamad International Airport in Doha, Qatar. COMPLETION 9/30/24 INFRASTRUCTURE
Greater Doha South Road Improvement Work (Phase 7) TERRITORY Doha, Qatar CLIENT Public Works Authority (ASHGHAL) BUDGET $25 million DESCRIPTION The project's scope of work involves the construction of a road improvement works, pavements and associated infrastructure facilities in Greater Doha, Qatar. COMPLETION 12/30/23 GOVERNMENTAL
Qatar Ministry of Culture & Sports Buildings Renovation (Phase 1) TERRITORY Qatar CLIENT Public Works Authority (ASHGHAL) BUDGET $30 million DESCRIPTION The project's scope of work involves the renovation works for the Ministry of Culture and Sports buildings at various locations in Qatar. The scope also includes construction of a fitness centre, retail units, parking facilities and associated facilities. COMPLETION 12/30/23
KUWAIT COMMERCIAL
Sabah Al Salem University City Data Centre TERRITORY Sabah Al Salem University, Kuwait CLIENT Kuwait University Construction Program (KUCP) BUDGET $40 million DESCRIPTION The project's scope
of work involves the construction of a data centre information technology (IT) infrastructure, disaster recovery hosting under co-location and disaster recovery IT infrastructure, data centre and disaster recovery network infrastructure, external network infrastructure, datacenter and disaster recovery information and cybersecurity infrastructure at Sabah Al Salem University in Kuwait. COMPLETION 12/30/23 RECREATIONAL
New Messilah Beach Development TERRITORY Kuwait CLIENT Touristic Enterprises Company (TEC) BUDGET $30 million DESCRIPTION The project's scope of work involves the construction of restaurant pavilions, recreation areas, a jogging track, retail spaces at the beach club have been designed to enhance direct visibility and maximize storefronts overlooking the main entrance promenade, changing rooms, located at both ends of the club, have multiple entry points that
separate dry areas from wet areas, events hall has been located to be accessed directly from the promenade, landscaping works and car parking spaces in Messilah beach, Kuwait. The scope also covers four pools for leisure/ recreation, kids, aqua play, and wave/surf simulation, with shading structures to protect against direct sunlight. A small water slide park has been integrated within the family pool for children of a younger age group. A large Adventure Trail, measuring approximately 18 meters high and 27 by 27 meters wide, will be the largest of its kind in Kuwait. Those who are interested in sports and physical activities can use the fitness stations, in addition to the tennis, basketball, beach volleyball,
football, and table tennis courts and facilities; while children will enjoy the different playground equipment spread around the property. Other facilities include a rentable private pavilion; complete with a nautical-themed living room, kitchenette, and private restroom, a sports rental equipment store, a retail store, changing rooms and toilets, a first aid room and praying areas. Provisions have also been made to accommodate small food trucks in designated locations. Shaded surface parking has been provided for approximately 500 cars. COMPLETION 12/30/23 INFRASTRUCTURE
Al Sabah Medical District 300kV UG Cables Extension TERRITORY Al Sabah Medical District, Kuwait CLIENT Kuwait Ministry of Electricity & Water BUDGET $25 million DESCRIPTION The project's scope of work involves the construction of a 300kV underground cables at Al Sabah Medical District in Kuwait. COMPLETION 12/30/23
MEConstructionNews.com | October 2021
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PROGRESS REPORT
Final update
Union Properties breaks ground on Motor City Views Developer appoints Airolink to deliver the $598 million, 880 residences development in Motor City, Dubai
U
nion Properties has broken ground on the first phase of its new Motor City development. The project is being developed at a cost of $598 million and will feature 880 residences. Contractor Airolink has been appointed to deliver the project. Motor City Views is being developed as part of the first phase of the new developments and is being developed
October 2021 | MEConstructionNews.com
at a cost of $218 million. It will occupy 3.27 million square metres and will offer a mix of residential, business, sports and leisure opportunities. The project boasts a built-up area of over 90,000 sqm , features 880 residences with a mix of 313 studios, 427 one-, 133 twoand seven three-bedroom apartments. Motor City Views is located in the heart of Motor City and overlooks its racetrack. The project will consist of three seven storey buildings comprising commercial spaces for retail stores, restaurants, shopping centres and apartments. “The Motor City Views project is the true embodiment of the developer’s innovative concept, and Airolink is the right EPC partner to realise this vision. As a consistent leading contractor in the industry, Airolink has a proven track record of handing over high-quality landmark projects, even during the peak of COVID-19 pandemic,” said Union
Qualitative addition Motor City Views will provide a qualitative addition to Dubai’s real estate sector by being a distinct residential development and a new urban landmark for the city.
880 Total
number of residences
Properties chairman Khalifa Hassan Al Hammadi in the presence of the management and representatives from both Union Properties and Airolink. The main objective of the Motor City Views development is to provide a distinct residential destination and a new urban landmark, offering a qualitative addition through the construction of a diversified residential complex equipped with the latest integrated facilities. “We are proud to associate with Union Properties to elevate the Motor City Developments to even greater heights,” said Dr Anil Pillai, chairman and CEO of Airolink. “Quality and affordability are the key. We are pleased to align with Airolink to launch this exciting development, reaffirming our commitment to develop thriving communities throughout the UAE,” Elwood Macalalad, head of Projects, said.