Big Project ME

078

SEPTEMBER 2012 www.bigprojectme.com

Cover project

Sowwah Square

Iconic structure

Al Hamra Tower

Onsite

Unipods

HEART OF THE NATION

PUBLICATION LICENSED BY IMPZ

Re-building Abu Dhabi’s CBD and the image of the financial industry

ALSO INSIDE: NEC3 AND QATAR 2022 THE REAL ESTATE DEBATE STEVEN M. NILLES IN PROFILE FACADE REGULATION

M MIDDLE EAST

CONTENTS

SEPTEMBER 2012 9

REGIONAL NEWS TOP TENDERS Rounding up the region’s top big budget project announcements

16

NEWS ANALYSIS RULES OF THE GAME Legal and contracting professionals discuss the advantages of applying the NEC contract to Qatar’s World Cup projects

20

SPECIAL FEATURE BENEATH THE SURFACE Regulating sustainability and safety standards in facade design

22

IN PROFILE FULL CIRCLE Goettsch Partners managing partner and head of Middle East operations, Steven M. Nilles, on the 360˚ approach to architecture

26

ON SITE PLUG AND PLAY On site at the Unipods factory in Ras Al Khaimah, UAE, to find out how pre-plumbed modular systems are manufactured

30

ICONIC STRUCTURES TWISTED THINKING The story behind Kuwait’s 412m Al Hamra Firdous Tower

36

COVER STORY HEART OF THE NATION The concept, development and launch of Abu Dhabi’s new central business district, Sowwah Square

45

SUPPLIER NEWS

48

ROUNDTABLE CONDITIONS APPLY Real estate industry commentators analyse the impact of legislation and infrastructure development

57

CONSTRUCTION IT TO BIM OR NOT TO BIM? Commentary from Louis Khoury

PAGE 36 Sowwah Square, Abu Dhabi’s new central business district.

63

TENDERS

69

DIARY

70

WORD FROM THE WEB

SEPTEMBER 2012

MIDDLE EAST

TECHNOLOGY STRATEGIES FOR CONTROLLING PROJECT COSTS AND MANAGING RISK Commentary from Peter Hedlund

3

EDITOR’S COMMENT

M MIDDLE EAST

BIGPROJECTME.COM

Keeping up appearances

PUBLISHER DOMINIC DE SOUSA GROUP COO NADEEM HOOD MANAGING DIRECTOR RICHARD JUDD EDITORIAL EDITOR MELANIE MINGAS melanie@cpidubai.com +971 4 440 9117

THERE’S SOMETHING TO be said about a good make over, regardless of the old adage about not judging books by their covers.

The reoccurring theme in this month’s edition is reinvention; not just in terms of the new look magazine, but also the projects featured in it.

From the story behind Kuwait’s tallest tower, to the UAE’s new financial industry hub and perceptions of the –still fragile– real estate industry, September’s issue of the new look Big Project Middle East tells them all.

Reinvention is no mean feat; it requires insight, flare and understanding of the higher goal, in addition to creating that coveted glossy exterior.

The most impressive example is that of Sowwah Square, Abu Dhabi’s new central business district, that will continue to develop over the coming years to become the economic heart of the UAE. With the Abu Dhabi Securities Exchange at its centre, the 180,000sqm of premium office space already hosts some of the world’s largest financial brands and the entire development is built above a 33,000sqm mall and surrounded by Cleveland Clinic and three premium brand hotels.

According to developer Mubadala, it’s not just about creating more Grade A office space in an already saturated market – it’s about using architecture and cutting edge engineering methods to redefine a shattered global financial industry, through the creation of transparency and strength, and all while providing a timeless development for Abu Dhabi that screams “we mean business”.

Tying in with our own latest project, it’s the perfect development to mark the re-launch of Big Project Middle East and as we embark on the homerun towards 2013, there’s plenty more to look forward to.

Over the next few months we will launch next year’s GCC50 and host conferences, golf days and the next Construction and Sustainability Awards of Excellence.

This month also marks the re-launch of www. thebigprojectme.com, with even more breaking industry news, project galleries and tender announcements.

Following a huge response from our reader survey last month, we look forward to hearing your feedback and suggestions on the new Big Project Middle East and which the projects you want to know more about in future.

Keep in touch!

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MIDDLE EAST

Melanie Mingas Editor, BPME

SEPTEMBER 2012

ONLINE EDITOR GAVIN DAVIDS gavin@cpidubai.com +971 4 440 9118 DESIGN DESIGN DIRECTOR RUTH SHEEHY ruth@cpidubai.com GRAPHIC DESIGNER REBECCA TEECE rebecca@cpidubai.com +971 4 440 9168 MARKETING & ADVERTISING PUBLISHING DIRECTOR RAZ ISLAM raz@cpidubai.com +971 4 440 9129 COMMERCIAL DIRECTOR MICHAEL STANSFIELD michael@cpidubai.com +971 4 440 9128 SALES MANAGER DHANUSHKA ARJUNA dhanushka@cpidubai.com +971 4 440 9163 MARKETING MANAGER CAROLE MCCARTHY carolem@cpidubai.com +971 4 440 9157 CIRCULATION & PRODUCTION CIRCULATION AND DISTRIBUTION MANAGER rochelle@cpidubai.com ROCHELLE ALMEIDA +971 4 368 1670 DATABASE AND CIRCULATION MANAGER RAJEESH M rajeesh@cpidubai.com +971 4 440 9147 PRODUCTION MANAGER JAMES P THARIAN james@cpidubai.com +971 4 440 9146 EVENTS & CONFERENCES EVENTS DIRECTOR NAYAB RAFFIQUE nayab@cpidubai.com +971 4 440 9157 BUSINESS DEVELOPMENT MANAGER PREIJESH PILLAI prijesh@cpidubai.com +971 4 440 9162 DIGITAL WWW.BIGPROJECTME.COM DIGITAL SERVICES MANAGER TRISTAN TROY MAAGMA WEB DEVELOPERS JERUS KING BATION ERIK BRIONES JEFFERSON DE JOYA online@cpidubai.com +971 4 440 9100 PUBLISHED BY

1013 Centre Road, New Castle County, Wilmington, Delaware, USA Branch Office PO Box 13700 Dubai, UAE Tel: +971 4 440 9100 Fax: +971 4 447 2409 PRINTED BY Printwell Printing Press LLC © Copyright 2012 CPI All rights reserved While the publishers have made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.

NOW ONLINE You can now get the online edition every month at: www.bigprojectme.com

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REGIONAL NEWS

KHALIFA PORT: SHIP SHAPE

BIG PROJECT, BIG NUMBERS 420 square kilometres Kizad Zone A and Khalifa Port 4 times bigger than Abu Dhabi island 2 thirds the size of Singapore 1 quarter the size of Greater London 340 football pitches could cover the offshore Port island 367 square kms comprise Kizad Zone B, which is still under development

BUDGET: $7.1BN

ABU DHABI MEGA PROJECT INAUGURATED TO SCHEDULE AT 7AM ON SEPTEMBER 1 IN THE WORLD of maritime operations, precision is everything but at Abu Dhabi’s latest mega project, Khalifa Port, it’s a philosophy that began a long time before the project was officially inaugurated.

Adhering to a schedule that planned the project launch to the minute, ADPC officials marked the official opening of Khalifa Port at 0700 hours on September 1 2012.

Adhering to a deadline set almost three years ago, the US$7.2bn port with a capacity of 2.5million containers and the first phase of its accompanying industrial zone are now ready for tenants.

“We have an organisation that has been waiting for this moment for a long time,” Abu Dhabi Port Company CEO, Tony Douglas, told Big Project Middle East.

“We have had a process over the last six months in particular where every week has marked a number of important mile stones and all have been carefully scheduled to correspond to delivering us bang on time,” Douglas continued.

In addition to the arterial road network of Kizad; the 12km Sheikh Khalifa Highway; E11 interchange; and a 33kv

power infrastructure; the project included the entire five-phase port area – with operations from Abu Dhabi’s former gateway, Mina Zayed, now in the process of relocating.

It is the only semi-automated container terminal in the region and utilises six of the world’s largest ship to shore cranes.

The opening comes only a week after Mina Zayed, which will undergo immediate redevelopment to become a cruise terminal, marked its 40th anniversary. Tenders on its regeneration are due imminently in order to make the October 2013 cruise season deadline.

Predominantly, Khalifa Port will be used by Kizad tenants for the import, export and transhipment of goods manufactured at the facility. The client list is anchored by Emal, which is already running the world’s largest greenfield onesite aluminum smelter.

“As many will acknowledge, big projects don’t always end at the precise time you say and they seldom finish on time and on budget so we are very fortunate to have executed this plan,” Douglas added.

SEPTEMBER 2012

MIDDLE EAST

THE FULL STORY ON THE DEVELOPMENT OF KHALIFA PORT WILL FEATURE IN OCTOBER ISSUE OF BIG PROJECT MIDDLE EAST

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REGIONAL NEWS

BIGPROJECTME.COM

SECOND MAJOR ABU DHABI MTC CONTRACT AWARDED AECOM and Hill International appointed to construction management on $85m contract

ABU DHABI AIRPORTS Company has awarded Hill International, in association with AECOM Technology Corporation, the $85m construction management contract for the new Midfield Terminal Complex at Abu Dhabi International Airport.

Hill’s five-year subcontract to AECOM has an estimated value of around $42m.

AECOM will take responsibility for many aspects of the construction of the 696,772 m2 terminal building, as

well as the required associated airside and landside infrastructure, a multistory car park, cargo building, catering building, maintenance complex and other supporting facilities.

Due to open in 2017, the Midfield Terminal Complex is planned to handle more than 30 million passengers and will have sufficient piers to accommodate 65 aircraft, including the Airbus A380, under plans that will see it become the UAE’s aviation hub.

The central space of the building could hold three full-sized football fields and features a ceiling 52 metres tall at its highest point.

In May it was announced that a three party consortium of Arabtec, Consolidated Contractors Company (CCC) and TAV had been chosen as the preferred bidder for the construction of the terminal.

ADAC chairman Khalifa Al Mazrouei, described the project as “remarkable”.

ALDAR’S Q2 NET PROFIT SOARS TO $113.8M Residential luxury beach project behind success

$113.8m Q2 NET PROFIT for Aldar

ABU DHABI’S LARGEST real estate developer by market capitalisation, Aldar Properties, has posted a sharp increase in its Q2 net profit, buoyed by delivery of more than 1000 high end residential beach units.

Aldar saw its net income in the quarter jump 228% to $113.8m, compared with $34.6m a year earlier, after handing over 1058 completed luxury flats to customers.

First-half net profit also rose to $244m from $86.1m in the corresponding period a year ago, while revenue for

the same period rose 427% YoY, reaching $2.24bn, the company said.

Looking ahead, the developer “will continue to deliver strong revenues and predictable cash flows,” said Ali Eid Al Mheiri, chairman of Aldar Properties.

“Aldar benefits from highly predictable and stable ongoing cash flows with Dh12 billion cash still to be received from the three main asset sale agreements signed with the government of Abu Dhabi between 2009 and 2011,” Al Mheiri added.

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MIDDLE EAST

“THERE WILL BE A SUSTAINED PIPELINE OF WORK WHICH IS LIKELY TO SEE CONSTRUCTION COSTS RISE“ SEPTEMBER 2012

REGIONAL NEWS

10% RISE IN SAUDI CONSTRUCTION COSTS

CATERPILLAR SENDING CHINESE EQUIPMENT TO MIDDLE EAST AND AFRICA Covering drops in demand

QATAR CONSTRUCTION COSTS HIGHER THAN UK Infra project costs rising in Asia Pacific and North America EC HARRIS’ ANNUAL International construction costs report has revealed that construction costs in Qatar have risen to higher than those of the UK. Benchmarking construction economics across 53 countries, infrastructure project costs are rising in the Middle East, Asia Pacific and North America and overall construction costs are also closing in on prices in Western and Northern Europe, historically the most expensive regions globally.

“In markets like Qatar and Canada where capital investment has been focused on long-term infrastructure projects, there will be a sustained pipeline of work which is likely to see

construction costs rise even further on both a short and medium term basis,” said Mathew Riley, the group head of Cost, Commercial and Risk Management at EC Harris.

In contrast, construction costs in Saudi Arabia are substantially lower than in the UAE and Qatar despite the Kingdom recording more than a 10% rise over the last year.

“Most countries across the region depend heavily on cheap labour from Asian markets, which is continuing to keep construction prices in check. But growing demand, particularly in Saudi Arabia and Qatar, could create a skills shortage that may see prices escalate in the UAE,” the report said.

A SENIOR EXECUTIVE at Caterpillar has confirmed that the world’s largest manufacturer is sending Chinese-made machinery to the Middle East and Africa to maintain productivity at its China factories.

Richard Lavin told Reuters that the slump in the Chinese economy means that it is sending equipment to the Middle East and Africa to cover the drop in demand.

Reuters reported that: “Lavin has declined to name specific countries in the Middle East and Africa where the Chinesemade goods are headed, or list the amount of product, but noted front-end loaders and excavators comprise the bulk of exports”.

Lavin said: “The global economic situation, especially the situation in China, has presented us a short-term opportunity to serve very specific markets with some supplies over the last half of 2012,” he said. “But that is not part of overall strategy for China.”

SAUDI BINLADIN COMPLETES $267M SUKUK ISSUANCE Third bond funded by banking Syndicate Saudi Arabia’s largest construction company, Saudi Binladin Group (SBG) has completed the issuance of a $267m short-term Islamic bond, its third since 2010.

Last year, SBG secured $2.3bn of funding from a syndicate of local and international banks for the expansion and development of King Abdulaziz International Airport in Jeddah. The company did not provide details on the purpose of the issuance.

In August 2011, the company signed a $1bn agreement with Kingdom Holding Company (KHC), chaired by Prince Alwaleed bin Talal, for building the 1km tall Kingdom Tower, the centrepiece and first phase of the $20bn Kingdom City development in Jeddah.

The tower was initially planned to stand 1.6km high, however, the building was scaled down after soil testing in the area raised doubts about the possibility of supporting a taller structure.

SEPTEMBER 2012

MIDDLE EAST

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REGIONAL NEWS

BIGPROJECTME.COM

IRAQ TO REVIEW $6.1BN MEGA PORT BIDS

OMRAN TO FLOAT TENDER FOR CONVENTION HALL SOON Infrastructure works to be awarded after Eid OMRAN, THE INVESTMENT arm of Oman Government for developing tourism infrastructure, is set to float the tender for the second package for building the exhibition halls of Oman Convention and Exhibition Centre.

The state-owned firm also said the infrastructure package for building roads and underground cabling works linked to the convention centre project will be awarded after Eid al-Fitr.

The winning bidder will build column-free exhibition halls with a total floor space

SIX MONTH HIGH FOR BELHASA PROJECTS Value of Qatar projects revealed

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MIDDLE EAST

BELHASA PROJECTS HAS announced the value of projects it has won in Qatar

SEPTEMBER 2012

of 22,000 m2, which can be divided into five halls.

The convention centre near Seeb aims to help Omran in securing a share of the global exhibitions and conventions market, said CEO Wael bin Ahmed Al Lawati.

“Also, a tender for building the second hotel, which will be a business hotel as part of the convention centre will also be floated towards the end of the year,” he said.

“Thereafter, there will be continuous packages linked to the development of the convention centre,” he added.

over the last six months currently stands at more than QAR 17m.

Specialising in construction and wet infrastructure services the firm, part of the UAE based giant Belhasa Group, has been appointed to Al Baraha STP power station for Ashghal; it has carried out landscape works at Burj Marina, Lusail, including work on car parks and two swimming pools.

“We have major ongoing projects in Qatar and all our divisions are very active in the market,” commented CEO Greg Garner.

“We have recently moved into a larger office and strengthened our team in Qatar which underlines our commitment to the market. I expect more growth to come from our swimming pools, wet infrastructure and sports and coatings divisions in Qatar,” Garner added.

The Iraqi Transport Ministry has announced the launch of the first step to establish Faw Port in the southern city of Basra on the Arabian Gulf.

The ministry said it will start reviewing a number of bids submitted by several companies to implement the project.

The port is estimated to cost $6.1bn and will have the capacity to move some 36 million tonnes of containerised freight and about 22 million tonnes of dry bulk by 2028.

These will be increased respectively to 7.5 million of twenty-foot equivalent unit (TEU) and 33 million tonnes, respectively, by 2038. It will also feature a dredged channel 400m wide and 24km long that

will connect the new port to the deep water.

The government had laid the foundation stone for the project in April 2010, a year before Kuwait announced its plans to build Mubarak Al Kabeer Port.

Faw Port’s implementation was put on hold until last May, when the ministry floated a tender for the first stage of the development.

The project is one of a string of destination ports currently being developed in the region and will help Iraq reach its economic targets during regeneration programmes scheduled to commence around the country.

Officials have previously announced that Iraq will double oil production over the next two years to finance its projects.

TAV CONSORTIUM CLOSE TO SECURING $1.1BN SHARIA FINANCING DEAL 80% Sharia compliant funds from four-bank syndicate

6.1bn THE TOTAL VALUE OF IRAQ’S MEGA PORT BIDS

THE CONSORTIUM BUILDING Abu Dhabi’s new airport has secured a $1.1bn financing deal, which shall be mainly Sharia compliant, it was announced early last month.

In June of this year, a consortium consisting of Turkey’s TAV Insaat, Dubai’s Arabtec Holding and the Athens based Consolidated Contractors were awarded a $2.9bn contract to build the Midfield Terminal Complex (MTC) at the Abu Dhabi International Airport.

The financing deal marked the second major regional project finance venture agreed last month, that will rely on Islamic financing facilities.

Mashreq Bank is leading the financing deal in conjunction with First Gulf Bank and Union National Bank. Abu Dhabi’s Al Hilal Bank and Jordan’s Arab Bank are also involved in the deal, a Reuters news report said.

The financing will be 80% Shariacompliant, with the remainder secured using conventional loans. The contractor financing facility will run for four years, with all the banks providing roughly equal amounts.

Burcu Geris, project and structured finance coordinator at TAV Airports told Reuters that a consortium including TAV had secured a $1.2bn Sharia-compliant facility for Saudi Arabia’s Medina International Airport project.

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REGIONAL NEWS

BIGPROJECTME.COM

BIG BUDGET TENDERS The top five highest value tenders for residential projects in the region storey villas, each comprising five bedrooms for nationals at Ghayathi

PROJECT NAME GRANADA BUSINESS PARK CONSTRUCTION PROJECT

STATUS Current Project

BUDGET $502,000,000

CONSULTANT Atkins & Partners Overseas (Abu Dhabi)

CLIENT General Organisation for Social Insurance - GOSI (Saudi Arabia)

CONTRACTOR Alfa Laval Middle East Ltd. (Dubai)

REGION Saudi Arabia DESCRIPTION Construction of Granada Business Park mixed use complex comprising (6 Nos.) high rise buildings and (4 Nos.) low rise buildings, including amenities such as swimming pools, restaurants, high speed elevators, children play area and 24-hours security.

STATUS Current Project CONSULTANT Omrania & Associates Architecture & Engg. Consultants (Saudi Arabia) CONTRACTOR Sondel (Italy)

PROJECT NAME 2CDE RESIDENTIAL TOWER PROJECT - DUBAI MARINA

BUDGET $200,000,000 CLIENT Ahmed Ramadhan Juma Establishment (Dubai) REGION Dubai DESCRIPTION Construction of 116-metre-high 2CDE residential tower comprising (26) storeys offering a mix of one, two and three-bedroom serviced apartments, two penthouses and 8 duplex townhouses.

PROJECT NAME BURJ AL SALAM TOWER PROJECT

BUDGET $256,000,000 CLIENT Starwood Hotels & Resorts Worldwide, Inc. (USA) REGION Dubai DESCRIPTION Construction of 3 towers Burj Al Salam comprising a hotel, residential and an office tower.

CLIENT Sheraton Four Points Hotel (USA) REGION Sharjah DESCRIPTION Construction of (2) residential towers, (1) office tower and a hotel tower, each comprising (2) basement levels, a ground floor and (36) additional floors.

STATUS Current Project CONSULTANT QHC - Architects & Engineers L.L.C (Sharjah)

CONSULTANT Chawla Architectural & Consulting ENGINEERS (Dubai)

CONTRACTOR Al-Meraikhi General Contracting Establishment (Abu Dhabi)

CONTRACTOR Whessoe Oil & Gas Limited (UK)

PROJECT NAME VILLAS CONSTRUCTION PROJECT GHAYATHI HOUSING PROJECT

BUDGET $300,000,000

CONSULTANT Access Engineering Consultancy (Dubai)

CLIENT Abu Dhabi General Services Company PJSC (Musanada)

CONTRACTOR Aref Investment Group (Kuwait)

REGION Abu Dhabi

SEPTEMBER 2012

BUDGET $210,000,000

STATUS Current Project

STATUS PNP

MIDDLE EAST

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PROJECT NAME MIXED-USE DEVELOPMENT PROJECT - NAD AL QASIMIA

DESCRIPTION Construction of (786 Nos.) two-

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NEWS ANALYSIS

BIGPROJECTME.COM

Rules of the game The construction programme behind the London Olympics involved 120 projects.... and only one dispute that didn’t even make it to court. Melanie Mingas catches up with the author of the contract behind the games, Martin Barnes, and asks the industry if NEC3 could help Qatar

T

he London Olympics wowed the world last month. But while millions focussed on counting medals, the construction industry may be interested to count the number of disputes that went to court over the course of the game’s 120-project construction programme. Zero.

It’s a far cry from the problems that marred London’s Wembley Stadium project between 2000 and 2006.

Some of the controversies included the steel contractor leaving and the wrong type of concrete being poured to support the arch – leading to the majority of key players raising disputes.

The losses were extensive. The total cost of the project was £975m compared to an original budget of £757m. But the problems could have been avoided.

In 1993, Martin Barnes published his

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MIDDLE EAST

“COMPANIES HAVE TO MANAGE THE CLIENT RELATIONSHIP AS MUCH AS THE CONTRACT. IT CAN MEAN THE DIFFERENCE BETWEEN SUCCEEDING AND LOSING THE BID”

SEPTEMBER 2012

‘New Engineering Contract’, known to UK construction companies as NEC. Now in its third edition, the contract is mandated for nearly all publicly funded building and civil engineering projects in the country, including those for London 2012 and the majority of projects for BAA Airports Limited.

Since its introduction more than 20 years ago, NEC has been applied to projects in most English speaking countries, and has even been used in the Middle East. But only now are industry lawyers and commentators proposing its use during Qatar’s World Cup construction programme.

“We proved with the London Olympics that NEC works when you are doing a large sports programme, which has a large number of contractors and must be done without delays and cost over runs,” advises contract author, Martin Barnes.

“There have to be relationships whereby, when unexpected problems turn up, you can work out the best solution and how it will be achieved,” Barnes adds.

Written by the industry, rather than lawyers, the contract preserves the relationship between the buyer and seller of construction services, with the aim of keeping disputes out of court, largely

NEWS ANALYSIS

LEFT: In total, Qatar has planned for 12 stadia projects; nine new builds and three renovations.

via the ‘early warning system’, with other provisions to preserve contractor profits.

The idea came following Barnes’ work for a project management business in the UK, when he came to realise that as soon as the planning and design phases were completed and contracts were signed with the main contractor, the control over the project was transferred and could no longer be guaranteed.

“I designed and wrote the NEC to be a contract between a buyer and seller which enabled both to manage their contribution properly,” he says, explaining that only two minor amendments have been made since. The first following the UK Government’s Latham Report in 1994 on the management of construction projects, and the subsequent following lessons learnt from application of the contract.

“It’s all about management and getting a good result for both the buyer and seller. NEC places a lot of emphasis on planning ahead and reacting effectively to the unexpected. There is a very simple device called ‘early warning’, which helps everybody to minimise the impact of unexpected problems,” Barnes continues.

AIMS

n Design a system

for managing the interfaces in a construction project

n Get all stakeholders to sign up to the contract

n Collaboration

between designers, project managers, contractors, suppliers and the client creates a better product

HIGHLIGHTS

n Each Party indemnifies the other against claims, proceedings,

“I DESIGNED AND WROTE THE NEC TO BE A CONTRACT BETWEEN A BUYER AND SELLER WHICH ENABLED BOTH TO MANAGE THEIR CONTRIBUTION PROPERLY”

compensation and costs due to an event which is at their risk

n From the starting

date until the Defects Certificate has been issued, the risks which are not carried by the Employer are carried by the contractor.

CHAPTERS

incurred by the developer in the longrun,” Mather continues.

“If the NEC forms of contract were adopted in the UAE and elsewhere in the Middle East, the developers who have previously demonstrated such attitudes will have to adhere to a new, collaborative approach, in order for the contract to work as it should,” she adds.

Despite this, and the regional prevalence of FIDIC, Mather says there is evidence of changing attitudes with NEC gaining international publicity through conferences and forums, such as the Construction Law conference to be held in Hong Kong next month.

QATAR These conversations have come at a time when Qatar is noticeably increasing the momentum of its World Cup schedules and setting frameworks and procedures to aid its development. The most notable of these over recent weeks has

n Procurement and

contract strategies

n Professional services n Supply contract n Engineering and construction

n Adjudicator’s contract EARLY WARNING PROCEDURE

n Notice examines:

risk to time, cost and performance. The contractor can notify risk to own cost

n Risk reduction

meeting: consider options, seek solutions, decide actions.

n Decisions recorded on risk register

SEPTEMBER 2012

MIDDLE EAST

GLOBAL APPLICATIONS NEC3, as it is known since the latest revisions published in 2005, was written specifically for easy interpretation and translation, avoiding the usual legalese and phrasing terms in a manner that would allow for easy translation in future and easy interpretation for non-native English speakers; there are also no cross references in the documents.

Despite the welcoming reaction from the construction industry, lawyers were understandably apprehensive when the contract was first introduced.

“Stereotypically, lawyers do not like the way in which the NEC is drafted, because it is drafted in a non-legal manner, however it does provide clarity and simplicity, which is very different from other forms of contract,” explains Taylor Wessing associate Sarah Mather, who recalls the contract wasn’t immediately accepted in the UK. Having experienced some of the Wembley Stadium disputes first hand, Mather says the early warning mechanism and promotion of collaborative working form NEC’s primary benefits, along with the prioritisation of practical management.

“It is widely acknowledged that some developers in the UAE have adopted a very rigid attitude to disputes. For instance, some decisions have been taken to fight a dispute and to refuse settlement, even if more legal costs are

NEW ENGINEERING CONTRACT

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NEWS ANALYSIS

WHAT WENT WRONG?

The most disastrous stadium construction projects of recent time ATHENS OLYMPICS

Building delays, IOC threats to withdraw the games and security and construction budget overruns, almost stopped the 2004 Olympic games from taking place and left the games’ birthplace with a bill twice the size it had initially forecast, eventually hitting $15bn.

WEMBLEY STADIUM

Despite the first deal being signed in September 2000, the new Wembley Stadium wasn’t ready to host an FA Cup final until the end of the 2007 season; six months after the last dispute was resolved.

Problems included a two year delay on the start of construction, a scaffolding collapse that killed one worker, the wrong strength on concrete being used for the foundations, and a string of disputes inbetween.

MILLENNIUM DOME

This ‘billion dollar tent’ was designed as London’s tribute to the millennium, despite not having a sustainable usage strategy.

Costing £700m to build, the dome racked up a total of £870m in costs after a string of cash injections to keep the project solvent in its first year. Fraud allegations were rife and the government sold off the “black hole of Greenwich” for a fraction of its final cost.

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been the inclusion of company names and bids from all firms who apply for pre-qualification and those who are shortlisted, on the Doha Port online tender portal.

Qatar authorities say the aim is to increase transparency, efficiency, quality and competition.

While contractors have complained about the public availability of commercial data, Qatar says the solution is for them to adopt a more strategic approach to business practices in the region.

During an industry conference held in London in July this year, James Brennan from London-based Herbert Smith

concentrated on the succeeding 50 pages, which describe the ‘rules’ for when the project goes wrong. Game Theory is about shifting that focus.

It’s a similar approach to the NEC contracts, with the focus on preserving working relationships.

“The construction industry around the world is not yet used to a contract which stimulates everybody to manage their contribution to the project well,” Barnes observes, continuing: “This contract motivates people to play their part in the management of a project and you need that in Qatar just like it’s needed in any other fast moving,

“THE NEC WAS DESIGNED TO BE USED INTERNATIONALLY SO THAT IT COULD REPLACE THE TRADITIONAL CONTRACTS WHICH PERFORM RELATIVELY INEFFICIENTLY. THIS CONTRACT MOTIVATES PEOPLE TO PLAY THEIR PART IN THE MANAGEMENT OF A PROJECT AND YOU NEED THAT IN QATAR JUST LIKE IT’S NEEDED IN ANY OTHER FAST MOVING, COMPLEX PROGRAMME OF PROJECTS”

RUSSIA WORLD CUP

Delays in the construction of St. Petersburg stadium – one of five currently under construction – are expected to send costs soaring. Similar problems are being experienced at the existing Zenit Stadium, with its modernisation costs now expected to double making it one of the most expensive sports venues in the world, according to reports in the Moscow News.

An official FIFA inspection was conducted in July ahead of the announcement of the host cities, which found that poster designs to promote the cities are on track.

said clients on such projects have little choice when aiming to attract “world class contractors”.

“What we have now is a cultural disconnection between companies and their clients.

“Contractors need to change the way they approach a deal, adding more value beyond contractual communications by bringing new ideas and being innovative,” Brennan is quoted as saying during the conference.

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MIDDLE EAST

ALTERNATIVE THINKING When a hybrid version of NEC was employed during the Heathrow Terminal 5 project, the incentive to achieve these objectives was cultivated by project managers through the application of ‘Game Theory’.

Every ‘game’ assumes a winner and a loser and is conducted according to rules; in a way not dissimilar to commercial contracting.

However, while the client is looking for the contractor to aspire to the first pages of a contract, outlining a good outcome, the contractor’s actual efforts are

SEPTEMBER 2012

complex programme of projects,” he adds.

Group head of contract solutions for EC Harris, Mike Allen, comments: “The NEC allows the employer flexibility to influence the programme, design and methods of working, whilst the short, simple phraseology and clear obligations stated within the Works Information help to reduce complexity and misunderstandings.

“The contract is also scalable which means it can be used effectively at the project or programme level, with a variety of different forms, all with the same intent,” he adds.

There are drawbacks, listed to include the lack of caselaw in the UK and the high level of day to day administration NEC demands. “To get an industry to change the way it operates can be quite difficult,” asserts Barnes.

“People are often suspicious of new things and that is probably true in any part of the world. However, the experience in the UK is that use of NEC has grown very quickly indeed,” he says in conclusion. n

SPECIAL FEATURE

BIGPROJECTME.COM

the Beneath surface

Assessing the implementation of international standards and sustainability principles, facade developers tell Big Project Middle East about the impact of education on the region’s culturally diverse design pool

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MIDDLE EAST

MASDAR promotes sustainable building materials and technologies, including facades, via its Future Build accreditation.

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I

n a region that is striving to make its ‘statement structures’ safer and more sustainable, standards in facade design are becoming an increasingly important element of both architecture and construction.

Whether it’s fire safety, thermal insulation or air filtration, the lack of unified local regulations is causing a headache for manufacturers when it comes to educating clients about the benefits of their products, in a quantifiable way.

In other geographic markets the main benchmark for quality is pegged to the application of design, fire and safety standards. However with comprehensive codes yet to be introduced in the Middle East a melting pot of design influences blends to create an equally diverse collection of standards.

While this is still a more beneficial approach than ignoring all legislation, the end result is a client who is unaware of lifecycle cost savings and the efficiency benefits that could be created for the end user.

“What you have here is a region that, especially in regards to product standards, tends to be very much focused on or influenced by the US or occasionally UK standards, because there is no set remit for local standards,” observes Paul Kinsey, director for Trimo Middle East, who adds the trend causes misunderstanding for clients when they are left to interpret the impact of differing international codes on lifecycle costs and efficiency of the built asset.

Currently, Trimo is undergoing the soft launch of QBiss Air, ahead of the official launch in Germany in February 2013.

SPECIAL FEATURE

TRIMO projects include providing the facade for the Porsche Centre.

WHAT YOU SEE IS WHAT YOU GET? Professionals hired to test facade should be accredited by: The Society of Facade Engineering, a joint initiative of CIBSE, IStructE and the RIBA, and should be qualified to member or fellow level.

perform acoustically as well as providing fire protection and above all thermal protection,” Vincenz adds.

Perhaps the most astonishing statistic is that a facade can comprise up to 25% of the initial capital expenditure for project developers, but with a disproportionate focus on the construction costs over lifecycle costs, there is little incentive to buy a higher grade – and therefore higher performing – product.

“Better performance translates into improved energy efficiency, which in turn minimises the project’s running costs and improves the building environment,” outlines the managing director of Alumil, Christopher Chatzigeorgiou.

“Green is definitely the way to go and an increased thermal insulation performance and an overall improved energy efficiency at a competitive product cost is what guides our product development activity,” he adds, referring to the new generation of thermal break systems being developed by the firm, which reduce aluminium use and unitise the curtain wall system.

In agreement, Kinsey adds: “The disadvantage in this region is that everything comes down to the cost of the initial project and if it’s a case of replacing an expensive element only five years down the line nobody thinks twice.

“The aim now is to bring products to the market that suit architects and clients.

And it’s down to companies like us to re-educate the market and tell them there is no need to build how you have done for the last 20 years,” he concludes. n

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Described by the company as a “smart skin”, it can be personalised to mimic glass, stone or ceramic and has an energy efficiency of U=0,17 W/m2K and sound insulation up to 60dB. Both specifications are achieved with only a fraction of the material that would normally be demanded by such results.

The product does away with traditional mineral wool insulation in favour of CO2 filled chambers of gas, captured during the manufacturing process. The entire façade is also 96% recyclable.

“The working philosophy of Trimo is sustainability and the environmental impact of our products. All of our focus is behind products that will help future buildings confirm to the very best international standards.

“Because we are a European company selling products would wide we are looking at the whole environment not just a micro environment, such as that of the UAE,” Kinsey continues.

But despite the benefits of QBiss, Kinsey says that in the absence of unified standards and codes, getting the product specified depends on higher levels of education among architects and clients.

For some manufacturers that face the same dilemma, the next best thing is getting an endorsement.

The highest such endorsement for efficient building products and solutions in the Middle East currently is Masdar’s Future Build programme, which generally includes a contract win to provide the approved product to the headquarters, institute or city building projects.

Such products gaining approved Future Build status to date include: Alubond Green, Texlon cladding system, Elastophor, Corro-coat Durasol, EmiCool Classic and Foamglass.

Manufactured by Pitsburgh Corning, Foamglass established a Dubai office in 2006 and has been specified on projects such as the Armed Forces Officer’s Club, Abu Dhabi; the Intercontinental and Crown Plaza Hotel, Dubai Festival City; and Doha’s Texan A&M University, Museum of Islamic Art and New Doha International Airport.

Foamglass is such an effective insulant that the manufacturers claim it can even eliminate the need to upgrade HVAC systems.

“The facade represents the ‘face’ of a building structure,” explains Middle East sales director, Marco Vincenz.

“However, beyond aesthetics it has extremely important functions to fulfil. First it must protect the building substrate against the climatic effects of cold, heat and precipitation. It also must

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IN PROFILE STEVEN M. NILLES

BIGPROJECTME.COM

Full

circle

Managing partner and head of Middle East operations for Goettsch Partners, Steven M. Nilles, tells Melanie Mingas about the division of responsibilities within the architecture profession and the benefits of a 360˚ approach

STEVEN M. NILLES

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At the Goettsch Partners recently opened third office, based at Abu Dhabi’s new CBD, Sowwah Square.

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A

s the saying goes, a jack of all trades is a master on none. But one architect begs to differ.

Flying in the face of a zeitgeist that has fragmented the architecture community into a plethora of ‘specialist’ firms, Goettsch Partners managing partner and head of Middle East operations, Steven M. Nilles, says the key to successful project execution is to be there from start to finish.

“It seems like our profession right now is split into a lot of specialist design firms. Some do design and then there will be another firm that does construction documents, and another in construction administration, but whenever possible we like to do the whole thing,” he explains, describing the company dynamic as one

that operates like a small business but works on big projects; with 85 architects across offices in Chicago, Shanghai and, most recently, Abu Dhabi.

“We go from A to Z in terms of architectural services,” he adds.

In his role, that also incorporates technical design principle responsibilities, Nilles and partner Jim Goettsch complement each other’s skills to provide clients with a single point of contact on projects, for a range of elements and disciplines.

“In terms of concept he is the lead but we work together on a design to technical and technical to design level and I think that’s what makes Goettsch Partners different. We go back to

IN PROFILE STEVEN M. NILLES

ESSENTIAL BASIS It was after a heady 16 years with Murphy/Jahn, working on projects such as Messe Tower, Frankfurt; The Kempinski Hotel and MAC, Munich; and the Sony Centre at Potsdammer Platz, Berlin, that Nilles stopped long enough to take stock.

Realising he had only worked on a single project in his home town of Chicago – United Terminal 1 at O’Hare International – he joined forces with Jim Goettsch, with whom he has now worked with for more than 20 years, to establish Goettsch Partners as it is today.

After an initial project in Prague, the new firm went on to design and deliver three high-rise office towers that “redefined the Class A+ market for Chicago”.

“The synergy between design, leasing, construction, delivery and sales was as good as it gets,” Nilles says as he reflects on the period.

The projects would form an essential basis for the next chapter in both men’s careers when, in 2005, Goettsch Partners won the design competition for the new home of the Abu Dhabi Exchange (ADX), Sowwah Square, and as a result opened the firm’s third office dedicated to serving the Middle East.

The initial Sowwah Square contract was for a one year design process and documentation for the ADX building and four surrounding office towers, with Oger Abu Dhabi already negotiated to build the project.

the old way of doing things in a very contemporary way, in terms of utilising technology,” Nilles continues.

It’s an approach that has seen the firm appointed to regional projects that include Riyadh’s Hilton Hotel and Residence and Windham Grand at King Abdulla Financial District (KAFD), in addition to Sowwah Square and Sowwah Island’s Al Hilal; all since arriving only seven years ago.

It’s also an approach that is mirrored in the scope of work each of the firm’s architects can execute. With Nilles describing himself as the person who goes from massing models and concept drawings to the critique and quality assurance of value engineering and finished project sign off, he adds that

“A LOT OF ARCHITECTS ARE FOCUSED ON THE IMAGE OF TOWERS AND CERTAIN SELECTED SPACES. BUT IN ADDITION TO ALL OF THAT IS THE FINANCIAL ASPECT OF SUSTAINABLE DEVELOPMENT”

EDUCATION Professional Bachelor of Science degree in architecture from the University of Notre Dame

CAREER Murphy/Jahn Goettsch Partners

PROFESSIONAL MEMBERSHIPS Chicago Committee on High Rise Buildings Council on Tall Buildings and Urban Habitat NFPA High-Rise Building Safety Advisory Council FAIA member and elected to College of Fellows Registered LEED Accredited Professional

RECENT WORK Sowwah Square, Abu Dhabi Al Hilal Sowwah Island Abu Dhabi Hilton Riyadh Hotel & Residence, Riyadh Wyndham Grand Riyadh - KAFD, Riyadh 200 West Monroe, Phoenix AZ 150 N Riverside, Chicago Illinois 155 North Wacker, Chicago Riverwoods Corporate Centre, Illinois 111 South Wacker, Chicago UBS Tower, Chicago Charles Square Centre, Prague

“Working hand in hand on site with other design professionals, subcontractors, and material suppliers from all over the world, and trying to communicate in numerous languages to get things built right was an experience beyond imagine, most rewarding and a foundation to build from here in the Gulf States,” Nilles recalls.

As the collaborative process strengthened working relationships, the scope of works under the contract also grew and came to involve the full project lifecycle.

“Jim Goettsch is very astute in really maximising the potential of every project and this one had big potential,” says Nilles.

“For a long time we studied what would happen at the base of these buildings. Not just what goes in them, but what surrounds them. We transferred all the buildings onto columns, really to create spaces within spaces,” he adds.

It’s a formula the firm had wanted to apply to the 65 storey, 111 South Wacker, in Chicago. The original design stood the tower on a 20 metre by 20 metre core, springing to the first office floor 12 levels above the plaza on a tight quarter block corner site. But market demand post 9/11 prevented this early design ever living beyond the drawing board.

“The market place perception of risk caused us to modify the design.

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everybody in the firm – and those receiving mentoring from them – approach work in the same way.

“You see the big picture, you understand the efficiency, you see the planning and expertise. The details are what fall down a lot,” he says of the benefits.

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IN PROFILE STEVEN M. NILLES

BIGPROJECTME.COM

“AS A FATHER OF FIVE CHILDREN EACH CHILD IS MY FAVOURITE IN MANY WAYS. THE SAME HOLDS TRUE FOR AN ARCHITECT AND HIS PROJECTS, AS EACH ONE HAS ITS OWN POTENTIAL. AS A LEAD CONSULTANT IT IS YOUR RESPONSIBILITY TO MAXIMIZE THAT SPECIFIC OPPORTUNITY” In retrospect, a core-only supported tower performs better to mitigate a plausible destructive threat compared to a conventionally structured building.

But market perception, even though technically unfounded, is a very powerful force,” he says.

In the case of Sowwah Square, all office tower columns are transferred into the core below level eight, so equal and opposite tension and compression reactions cancel each other out, thus providing an efficient structural transfer.

While Nilles admits there’s a significant cost premium attached to such design, the vision of the client, Mubadala Real Estate and Infrastructure, allowed project budgets that were “truly deserving of what we were trying to accomplish,” and created a “product that will endure”.

155 NORTH WACKER:

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A Goettsch Partners project in Chicago, US.

SEPTEMBER 2012

IMAGE CREATION For Nilles the ability to create such products again stems from the multidisciplinary approach that also sees the firm assessing the economic feasibility of projects in the same way it will analyse the environmental impact and architectural statement at hand.

“A lot of architects are focused on the image of towers and certain selected spaces. But in addition to all of that is the financial aspect of sustainable development,” he explains, later reiterating the importance of the use of surrounding space and underlining the consequences of building what a market already has.

It was market influences that teased Nilles’ attention away from the speculative US market to Europe, where he witnessed a heightened demand for quality and durability, elaborating: “The European market was focused on a higher level of sophistication and appreciation in design and a longer outlook on value and income producing properties.”

They are lessons he then applied to his work with Goettsch Partners, particularly Sowwah Square; the remit for which was to create an image for the Emirate’s – and indeed country’s – financial industry, a

task Nilles describes as “creating our own urban context”.

“Every market has its advantages but we took everything we learned in US and European markets and applied that, and then a lot more, to our work here in the Gulf market,” he asserts.

“Here there is a level of stability of planning and fiscal responsibility, and while I wouldn’t call it conservative, there is an entrepreneurial spirit here that is measured.

“When they have to make changes, they will make changes and re-direct focus if needed, but it all goes back to the 2030 plan; the vision of Sheikh Zayed and the transformation of a country that is only 40 years old,” he says, praising the 2030 economic plans as being so comprehensive they formed a large reason for Goettsch Partners establishing its regional base in the Emirate.

“We feel very fortunate to be a part of that. We see and understand and now we have lived here as expatriates, there is a level of meaning that you absorb from that experience in terms of opportunities and as architects you have to understand all of that.”

END RESULT Little has been written about Nilles in the past, but as the man leading Goettsch Partners’ growing Gulf operations, that could be about to change.

Specialising in high-rise buildings that integrate advanced engineering with new materials and sustainable strategies, beyond the US and Gulf, he has worked in Prague, China and Poland.

Nilles has also been elected to the American Institute of Architects (AIA) College of Fellows and has four times received the AIA Chicago Divine Details Award, in addition to the first Chicago Innovation Award ever presented to an architect. Despite his vast portfolio of experience, Nilles still doesn’t have a rehearsed answer to the question of which of his projects qualifies as a favourite.

“As a father of five children each child is my favourite in many ways.

The same holds true for an architect and his projects, as each one has its own potential. As a lead consultant it is your responsibility to maximize that specific opportunity.

“For those design professionals who have had the fortune of working with great clients and the resultant quality projects, after about the first dozen you start to value more and cherish the journey and not just evaluate the end result,” he concludes. n

ON SITE UNIPODS

BIGPROJECTME.COM

Plug and

Play

Unipods makes a bold claim; to increase quality, slash timescales and deliver thousands of pre-constructed bathrooms and kitchens to site quicker than they could be constructed individually on site. Big Project Middle East visits the Ras Al Khaimah production line where 10,000 bathroom pods are manufactured every year, to find out how it’s achieved

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MIDDLE EAST

PROJECT AND PRODUCTION managers, Abdul Monem Zaher and Jorgen Bahne Hansen in a completed show pod.

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T

he concept appears to be simple: Build and fit out a project’s most time consuming rooms offsite and deliver them – complete with their own walls, floors, fixtures, fittings and MEP requirements – as quickly as four weeks after their design is signed off.

The company behind the idea in the Middle East, Unipods LLC, is based in Ras Al Khaimah, UAE. Now in its fifth year of operation, the firm has built and supplied bathroom and kitchen pods for projects in the UAE, Qatar and Saudi Arabia and India.

In short, the primary benefit is control – over everything from quality to waste.

Even the cost of projects can be set before design and manufacturing commence.

The concept is far from alien, with chains such as Premier Inn, Travel Lodge and even McDonald’s using the method to fit out their hotels and restaurants for decades, yet it’s an idea that is only just beginning to catch on in the Middle East.

The product is based on the preplumbed modular system (PPMs) currently used in Europe, PPMs are preassembled in the factory, fitted with access panels, sanitary ware, flushing systems and brassware and delivered to site ready for simple installation.

“Clients here don’t fully understand the concept of the pods, so one of the first things we do is invite them to the factory to see how they are made,” says technical director Gary Barrass, who

ON SITE UNIPODS

was headhunted from the UK to launch the business under Al Rajhi Holding.

“There are a few things that we do when clients are in the factory to demonstrate that what you get is as good as, if not far superior, to what you can usually expect on site.

“For example, we lift the completed pods, which have shower screens and sanitary ware fitted, with a forklift truck and nothing will fall apart,” Barras continues to explain, saying the next challenge is to answer clients’ logistical questions about drainage, delivery and lead times.

“It’s quite simple, there can be a drainage system built in the pods and we can deliver them between four to eight weeks after design sign off. Clients pay what they are quoted and the units are delivered on time, because we’re not part of their project chain. But to really make a project efficient the pods

“THIS CONCEPT REDUCES THE ISSUE OF SUPERVISING TRADESMEN, BECAUSE EVERYTHING IS MANUFACTURED AS A SINGLE PRODUCT HERE AND THAT MANUFACTURING PROCESS IS SUPERVISED. IT’S A REAL PLUG AND PLAY CONCEPT”

PLANNING AHEAD On a standard project that has a number of identical rooms, such as hotels, student accommodation and residential developments, the interior fit out of a project is undertaken by a whole team of plumbers, electricians, tilers and quality control supervisors, all brought in once the project shell has been built. Barrass says it is changing this mentality that is the greatest challenge in the Middle East.

“This concept reduces the issue of supervising tradesmen, because everything is manufactured as a single product here and that manufacturing process is supervised. It’s a real plug and play concept.

“But we didn’t realise how difficult the regional market would be. We thought construction means opportunity then

when we began speaking to consultants, suppliers, main contractors, and we are trying to sell something that isn’t too complicated, we just need clients to be onboard with the concept from early in the design stage of the entire building,” Barrass reiterates.

In the UK and Europe the idea of pods and modular design isn’t just familiar to the industry, but even the general population.

In 1998, McDonald’s decided to branch out from fast burgers to fast building and Barrass, while working for his former employer, was on a team of 173 people that built an entire functioning restaurant (and cooked and served a burger) in 23 hours and 19 minutes. A record that included travel time from the factory in Hull to the vacant tarmac lot in Runcorn, Manchester.

The project was a world record, achieved using light-weight steel prefabricated modules, but despite time

MANUFACTURING UNIPODS

Floors and walls are prefabricated using cement and steel or the lightweight Gypsum option Plumbing ports are cast into floors and walls Parts are cured Floor and walls are water proofed, reinforced and tiled, then assembled together to form the box Interior decoration, including installation of baths, sinks and, in the case of kitchens, cabinets.

Pods arrive onsite, with installation supervised by a specialist team

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MIDDLE EAST

need to be specified in the design stage, which is before the fit out project is traditionally considered,” he adds.

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ON SITE UNIPODS

BIGPROJECTME.COM

TOP JOBS

n 3596 pods Jeezan Housing Project, Saudi Arabia

n 2162 pods across

three villa and townhouse and apartment projects at The Pearl Qatar

n 2088 pods Porto Arabia, Qatar

GARY BARRASS Technical director.

n 1623 pods D1 Tower, Dubai

n 1363 pods Princess Noura University, Riyadh

n 500 pods Sorbonne

University, Abu Dhabi

n 436 pods ARAC Hotel, Makkah

demands in the Middle East, similar concepts are only just beginning to catch on.

With similarly impressive speed as the McDonald’s record, currently Unipods is supplying to the second phase of the Dammam University project – one which, in phase one saw pods installed into student accommodation at a rate of 24 per day. In addition, the company is working on ARAC Hotel, Makkah; Jizan Housing project, Jeddah; Porto Arabia, Qatar; villas and townhouses at The Pearl, Qatar; and D1 Tower, Dubai.

“Every project has a different challenge and the language barrier for me is a big one, that’s why we demonstrate what we do, instead. But in terms of the project, the biggest challenge is going from drawing board to factory,” Barrass adds.

CONCEPT TO COMPLETION In taking the project from drawing board to factory, clients work with senior designer Steven Michael Fisher to combine their

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MIDDLE EAST

“THE LENGTH OF THE DESIGN PROCESS HINGES ON THE CLIENT, BUT FROM THE POINT WHEN THEY SIGN OFF THE DESIGN, THINGS MOVE VERY QUICKLY”

SEPTEMBER 2012

vision and requirements with what is technically feasible.

“We receive a specification of what the client expects and then we design that according to their budget. From there we get drawings from the architect and MEP consultants and we fit the pod to those requirements,” says Fisher.

“There’s quite a lot of technical work in that process and we’re often asked questions such as ‘will it fit’, so we advise on where a wall can be removed and penetrations in the slab will be placed,” he adds.

Supported by projects manager Abdul Monem Zaher and production manager Jorgen Bahne Hansen, the team liaise with contractors, developers and designers to ensure everything from the size of the tiles to the wind pressure on the building is tested and checked.

“We begin by talking to the client about their needs and our designers help the client meet a solution that is best for the site and for the project. The products inside the pod may be changed and so on, and each project is bespoke,” Hansen explains.

“The length of the design process hinges on the client, but from the point when they sign off the design, things move very quickly,” he adds.

The pods then undergo waterproofing tests and pressure testing on all the water pipes, drainage and electricity.

“Another big advantage is that the fitting of tiling and plumbing is coordinated so the finishes aren’t damaged by other work,” Hansen says, adding that if construction of the shell faces delays, completed pods can be stored at the Ras Al Khaimah plant.

Unipods isn’t just about bathrooms.

As part of its “off site construction technology” remit, Unipods also manufactures kitchens and washrooms, and with repeat clients now developing a greater understanding of the potential of pods, it’s unlikely to stop there.

“People understand us more now.

For example we had a client view the reference pods and they said that for their next projects they wanted one concrete wall and the others gypsum. Then for the next project they want us to do a whole bedroom, fully furnished,” Barrass shares.

“We’ve been doing rooms like that for years, for example with the Travel Lodge hotel chains in Europe, so hopefully that idea can now come here,” he adds. n

ICONIC STRUCTURES

Twisted thinking

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MIDDLE EAST

Honoured as ‘one of the greatest inventions of 2011’ by Time Magazine, Al Hamra Firdous Tower is the highest addition to Kuwait’s skyline. Gavin Davids looks at the project

SEPTEMBER 2012

BIGPROJECTME.COM

ICONIC STRUCTURES

Building Name

Al Hamra Firdous Tower

Height

412m, 74 storeys

Completion date

December 2011

Total Area

195,000m2

Net Office Leasable Area

77,000m2

E

ver since they opened in 1979, Kuwait City’s skyline has been defined by the needle like silhouettes of the Kuwait Towers, which serve the dual purpose of being functional water towers and iconic symbols of the Gulf Arab state.

However, over the last decade there has been a surge in construction in the tiny, oil rich state, which has ambitious plans for its growth in the coming years. As a result, Kuwait City’s skyline has undergone a massive transformation, with all ten of its tallest buildings being built within the last ten years.

One such building is the Al Hamra Firdous Tower which opened its doors in 2011, following nearly six years of stop-start construction amid numerous delays.

Designed by the US based architecture firm, Skidmore, Owings and Merrill (SOM) the 412m building towers over Kuwait City, providing it with a new defining image, mirroring the country’s progress and growth over the course of the 2000s.

Covering nearly 195,000m2 in total area, the building houses 74 stories and serves as a mixed use development, with both retail and office space being available.

Initially planned as a 50 storey tower, the project started life as the design of a local firm, Al Jazera Consultants. But a sudden about turn by Kuwait’s government, saw a change in zoning regulations which allowed taller structures to be built, prompting a change of plans to constructing a truly iconic building.

As a result, SOM was called in by the developer, Al Hamra Real Estate, and given the remit to design a super-tall structure that would rival the best in the world.

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Having worked on a number of previous projects including One World Trade Centre, Jiangxi Nanchang Greenland Zifeng Tower and the Beijing Greenland Dawangjing Tower, SOM had a wealth of experience in designing buildings like this, and is well

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ICONIC STRUCTURES

BIGPROJECTME.COM

national standards, with fibre-optic cabling, advanced security systems and IP telephony systems.

In addition, the development has an 11 floor car park that holds around 1727 cars.

There are also extensive landscaped areas around the building, with marble, water features and soft landscaping all combining to provide a distinctive feel to the building and its surrounding environments.

However, what really gives the tower its unique selling point is its innovative facade which has a 130 degree sweeping turn, with two ‘fins’ sprouting from the top and bottom of the building, going in opposite directions, thereby creating a completely asymmetrical exterior.

“The building’s appearance resembles a subtle, elegant modern sculpture or an enshrouded figure with its delicate glass veil reflecting the profile of the peninsula. The resultant form will provide transparency on the north, east and west sides towards the Gulf and near-complete opacity against the severe desert sun to the south,” SOM says.

Furthermore, the south side of the building’s wall has been designed and constructed with the aim of minimising the solar heat gain on the office floors, while also maximising views for tenants. As a result, a quarter of each floor plate is chiselled out of the south side, shifting from west to east over the height of the tower.

“The result reveals a rich, monolithic stone at the south wall, framed by a graceful, twisting ribbon of torque walls, defining the iconic form of the tower,” the architecture firm adds.

established in the region, having been responsible for the Burj Khalifa; which at 828m, is the world’s tallest tower.

Located on an intersection of two main streets, the Al Hamra Tower has a six storey shopping centre at its base, providing high end retail, cafes, restaurants, cinemas and various other entertainment areas, according to information sourced from the Council of Tall Buildings and Urban Habitats.

Furthermore, there are 195 offices available for lease in the tower itself, providing a net office leasable area of 77,000m2.

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The offices are ‘Smart and Hi-tech Offices’, designed and built to multi-

SEPTEMBER 2012

In addition, the south wall serves as the structural spine of the building, helping protect it from critical environment conditions, such as heat.

The carefully placed windows and openings also help decrease solar radiation with each positioned in relation to the sun and the relationship of the envelope, thereby helping to minimise the building’s solar heat gain, a vitally important feature in a region where summer temperatures can reach 50˚C. Furthermore, when it came to planning for the flow of traffic through the building, a sky bridge runs between the two wings, on each floor of the tower, allowing for the flow of people in a smooth and easy manner, as well as providing tenants with

ICONIC STRUCTURES

n Client/Developer:

Al Hamra Real Estate and Entertainment Co

n Architect: Skidmore, Owings & Merrill

n Associate Architect: Al Jazera Consultants

n Structural Engineer: SOM

n MEP Engineer: SOM

n Project Manager:

Turner Construction Company

n General Contractor:

Ahmadiah Contracting and Trading

n Telecom, Acoustics and Security: Shen, Milsom & Wilke

n Vertical Transportation:

dramatic views of the city, peninsula and desert thanks to its panoramic windows.

Van Deusen & Associates

n Façade Maintenance:

Named as one of the best inventions of 2011

by Time Magazine, Al Hamra Tower is a marriage of mathematics and architecture, with the point at the apex of the tower not only resolving the complex geometry of the curved, flared walls, but also implies the continuation of the sculptural form.

While a steel framework has traditionally been associated with skyscrapers of this height, the designers and constructors of Al Hamra Tower took a different approach to its completion.

Entek Engineering

n Fire Protection: Arup

n Geotechnical:

Consultancy Group Company

n Landscape:

Francis Landscapes

n Lighting: OVI (Office for Visual Interaction)

n Traffic:

Parsons Brinkerhoff

The raft, which required approximately 22,900m3 of concrete, was poured into 15 different sections, over a period of four months, contractors say. They add that this approach was not only necessary because of local production capacity levels, but also because it allowed them to come to grips with the heat generated during concrete hydration.

Given the particular environmental conditions, this was a very real concern for the architects and contractors, who decided to counteract this by building at night.

Furthermore, the building’s design and construction help its lateral and gravityload resisting systems to function efficiently, thanks to the thick south facing wall and the lighter, more delicate ‘flared walls’.

During the construction process, SOM devised a ‘construction compensate program’, which allowed the contractor to adjust the ‘self-climbing’ framework with each pour, so as to compensate for the displacement caused by the building’s ‘counter-clockwise-torqued geometry’.

This allowed for the elastic movement of the concrete under its own weight and its long term movement from natural shrinkage and expansion.

As such, the building is an iconic structure in more ways than one, with its architects and contractors taking a revolutionary approach to its construction and indirectly changing the face of construction in Kuwait forever. n

Nearly 500,000tns of concrete went into its construction, with all of that concrete required to be pumped vertically. Not only was this a challenging task in itself, but because of the unique design of the building, the outermost corner of the main structural wall was a mammoth 45.72 metres away from the building itself.

Furthermore, as construction continued, engineers realised that the spiralling form would concentrate gravity loads on the west side of the building, while very little load would be applied to the north and southeast edges.

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In response to this load differential, the engineers came up with a plant to install a 4 metre thick reinforced concrete raft that was supported on 289 piles, each between 20 and 27 metres long, with deeper piles located densely around the areas of greatest stress.

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COVER STORY SOWWAH SQUARE

Heart of the Nation

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As mandated by the Abu Dhabi 2030 economic plan, Sowwah Square is the UAE’s new central business district. Home to Abu Dhabi Exchange, four Grade A office towers and world class healthcare, retail and hospitality developments, Big Project Middle East receives the guided tour from developer Mubadala Real Estate and Infrastructure and architect Goettsch Partners

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BIGPROJECTME.COM

COVER STORY SOWWAH SQUARE

Sowwah Square

Location

Al Maryah Island, Abu Dhabi

Construction Period

From 2008 onwards

Client

Mubadala Real Estate and Infrastructure

Size / Area

114 hectars of development space

I

t is described as blending the finest elements of London’s Canary Wharf, Singapore’s Clarke Quay and Mid-town Manhattan.

Comprising four pre-certified LEED gold, Grade A office towers centered on the new Abu Dhabi Securities Exchange (ADX) and all built above a 33,000sqm underground mall, Sowwah Square is the new commercial centrepiece of the UAE. Located on Al Maryah Island, two of the central business district’s (CBD) four towers are already open and home to the likes of Abu Dhabi Commercial Bank, Deloitte, JP Morgan, Santander and project architects Goettsch Partners. The remaining two are due to open this quarter and expected to follow in the footsteps of the neighbouring tower one, Al Sila, which boasts a current occupancy rate of 82%; and tower two, Al Maqam, which is now 58% occupied.

“Part of the Abu Dhabi 2030 plan was to find a new central business district for the city and Al Maryah Island was selected to be that capital,” explains Mubadala vice president of real estate and infrastructure, Abdulla Abdul Aziz Al Shamsi.

“When we first came to the island it was quite humbling to see what we are able to achieve but also to take that onto the next step. The important part of a project isn’t just the start of construction but the start of operations. That’s when a project becomes alive,” Al Shamsi adds.

The entire Al Maryah Island project has been conceived and executed by Mubadala

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MIDDLE EAST

Name of Project

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COVER STORY SOWWAH SQUARE

BIGPROJECTME.COM

“THERE WAS A SPECIFIC MANDATE TO MOVE FORWARD IN TERMS OF A CONTEMPORARY WAY TO SOLVE PROBLEMS. THE WONDERFUL OPPORTUNITY FOR THIS PROJECT WAS THAT THERE IS FRESHNESS, CLARITY AND SIMPLICITY IN WHAT WAS DONE HERE” Real Estate and Infrastructure (REI), a division of the Mubadala Development Company, with in house specialists in MEP, architecture, landscaping, public realm design and master planning, all working on the development.

STEP BY STEP PHASE 1

Major infrastructure works are complete and prime commercial plots in the centre of the island have been established.

Work on the first phase, including the commercial centre, Sowwah Square, is essentially complete, along with a multitiered road network.

PHASE 2

The southern section of the island and central plaza have been developed with mixeduse residential and commercial buildings and a strong focus on community, public spaces and parkland.

PHASE 3

The northern section of the island will be the last phase of the masterplan to be developed.

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LEFT TO RIGHT: The office towers and ADX from the courtyard.

SEPTEMBER 2012

“We are looking at the island as an extension of what Abu Dhabi requires for its future plans and growth, as well as being able to set a new standard in what Abu Dhabi hopes to be like in defining itself as an international city.

“This is a catalyst we hope for in the development, as well as a rise of standards in the city overall,” Al Shamsi continues, saying there is increasing interest from private sector companies who don’t just want to be a part of the new island, but part of a “new wave” of CBD development.

Divided into three phases, the first is now “essentially” complete according to the developer (see box below) with Cleveland Clinic and the Four Seasons and Rosewood hotels due by Q4 2013.

CONCEPT & PERCEPTION Located on what was formerly known as Sowwah Island, Sowwah Square may appear to be just another mega development, but architecture on the island’s 450,000sqm centrepiece is also about re-building the reputation of the world’s most shattered industry; banking.

In the international media it has been hailed as the project that will close the “glitz gap” between Abu Dhabi and neighbouring Dubai, but for those involved in the project that was far from the brief.

While ADX was established in 2000, and even has the ISO 27001 Certificate for Information Security, in the wake of a chain of scandals the repute of world financial markets remains tarnished to say the least.

“In the work we do it’s important to focus on Mubadala’s mandate, which is to diversify the economy of Abu Dhabi and we have been able to realise the investments we are making,” begins Al Shamsi.

“When we look at the economic cycles of the last few years, Mubadala and the government of Abu Dhabi have really made so much of bringing to the forefront everything they possibly can in terms of

COVER STORY SOWWAH SQUARE

information and transparency,” explains managing partner and technical design principal for Goettsch Partners, Steven M. Nilles, who adds the project is about “setting a course” for the CBD and future of ADX. “I don’t like to use the word iconic, because it loses its meaning, but Mubadala was obviously looking for a statement in terms of the exchange and the home of ADX. They were also looking to create the nucleus of the central business district in a project that was environmentally sustainable,” he recalls.

“As we got into the project the word transparency, which means something very different to architects than it does to the financial business community, became a concept.

“The building we designed for the exchange is a symbol of strength and it’s a symbol of the future. There is a level of strength whether it be financial or structural, and layers of transparency, that are somewhat unique to that building,” Nilles continues, adding that such a symbol is needed to

redefine the image of financial trading for the local, Islamic market, particularly: “An image that defines where they are going and how they are doing things.”

ABOVE: Abdulla Abdul Aziz Al Shamsi, Mubadala vice president of real estate and infrastructure.

One element of symbolism that hasn’t been embraced to the same extent, is the traditional Islamic architecture and imagery so prevalent in other parts of the capital.

Instead, tradition is retained through the use of natural materials both inside and outside the four towers and ADX, such as the stone that was specified to create a “timeless but current” effect.

180,000 sqm OF PREMIUM COMMERCIAL SPACE OVER THE FOUR GRADE ‘A’ OFFICE TOWERS

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When asked about the ‘glitz’ factor, Nilles reiterates that what is being planned here will take things to the “next level” in terms of what is in Abu Dhabi currently, but that glitz per se, is not part of that plan.

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COVER STORY SOWWAH SQUARE

BIGPROJECTME.COM

“There was a specific mandate to move forward in terms of a contemporary way to solve problems. The wonderful opportunity for this project was that there is freshness, clarity and simplicity in what was done here. When you look at the stone walls in the lobby it ties in with traditional materials and architects are always striving for something that is timeless but current,” says Nilles.

“We tried to tie that into materials that people feel comfortable with and the result is a combination of that and very high-tech construction,” he adds.

MOVING FORWARD Despite a clear move away from local history within the design of the island’s buildings, the link to traditional Abu Dhabi and the Emirate’s past is symbolised with the close proximity to the main island and the name ‘sowwah’, which nods to the island’s former state as a swathe of desert inhabited by the sowwah bird.

But that was five years ago and things have developed rapidly since the first contract, for infrastructure and the Sowwah Square towers, was awarded in 2008.

Today, the development is portioned into three phases, with the CBD prioritised in phase one and its commercial authority is infused with healthcare, hospitality and retail destinations, namely: Cleveland Clinic, the Rosewood and Four Seasons hotels and The Galleria Mall, designed by FW Design.

It was during the feasibility and research phases that pedestrian navigation and transportation infrastructure were identified as the key elements of other CBDs to be incorporated at Sowwah Square; not just in anticipation of 8000 office workers,

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“AS THE ROADS WERE BUILT THE PODIUM LEVELS FOR THESE BUILDINGS WERE BEING BUILT TOO. WE HAD TO MAKE SURE THEY MET, AND ALL AT THE SAME LEVEL, SO THAT THERE WAS A SMOOTH CONNECTION BETWEEN EACH DEVELOPMENT AND NO GAP BETWEEN ONE AND THE OTHER”

SEPTEMBER 2012

ABOVE: The view below tower one, with ADX to the left and Galleria Mall in the centre.

COVER STORY SOWWAH SQUARE

But potential criticism of what could be described as a conservative approach to the development of the island isn’t one that concerns Mubadala.

“It has always been within Abu Dhabi’s plans to approach the investments here in a step by step manner and to ensure, as far as you can, that the decisions you are making are the right ones. There are many externalities that you cannot control, but decision making is key,” Al Shamsi emphasises.

but also the residents who will inhabit the island’s non-commercial towers – the first of which is due to break ground this year.

The observation resulted in a mandate of for all developer works to link to the next plot via air conditioned corridor, ensuring all projects on the island can be connected without the need for cars. Also underground is a priority residents’ road network and hospitality loading bays, on a road network that mirrors that above ground and has been built to ease the burden of commuter traffic.

ABOVE: The double tiered road network as it currently stands and surrounding plots -sold for development Cleveland Clinic is visible to the right.

BELOW Recreational areas inside Tower 1.

“What we are doing will provide for the next generation without crippling them within the development, whether that be through high costs or the level of space,” he asserts, with Nilles adding: “What is unique to this project is that it doesn’t have a massive scale to it. There are big names signed up, but it’ll benefit from the integrated and planned approach.”

MEASURED GROWTH Flying in the face of global trends when the project was first commissioned, Goettsch made a point to strive for economic sustainability.

“That wasn’t the flavour of the day back then, but if you analyse what you see here and if you walk the floors you will see these buildings are brutally efficient. They are flexible, they respond to technology, they

A decree issued earlier this year by the Department of Transport outlined further plans for Al Maryah’s own bus rapid transport (BRT) system, which now has dedicated lanes on the upper route of the multi-tiered road network. The final element is the connection of the island to the main land, via links with Abu Dhabi’s planned light rail and metro systems, and a planned total of 13 bridges – four of which have already been built. The sea wall is also completed.

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MIDDLE EAST

Most of the plots in the island have already been sold to international developers, although not all work has yet commenced.

Al Shamsi says the future development of plots beyond Sowwah Square will require skilled design, architecture and contracting firms, for both mid and high rise towers and bridges, in addition to real estate and commercial finance expertise.

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COVER STORY SOWWAH SQUARE

BIGPROJECTME.COM

SOWWAH SQUARE TENANTS

n Abu Dhabi

Commercial Bank

n Al Mamoura Real

Estate Management

n Al Tamimi & Company

n Baker Botts n Booz & Company n Clifford Chance n Deloitte n Goettsch Partners n JP Morgan n King & Spalding n Latham & Watkins n Mubadala GE Capital

n Mubadala Oil & Gas n Norton Rose work for open plan tenants, and those tenants who have upgraded from Grade B to Grade A space can experience between 20 and 40% higher efficiency,” Nilles recalls.

ABOVE: Al Shamsi and Goettsch Partners’ Steven M. Nilles.

Addressing Mubadala’s remit, and the firm’s own best practice principles, for five star environmental targets Sowwah Square was designed and built to meet LEED standards; the highest existing target in 2008, two years prior to the introduction of Abu Dhabi’s own green building code, the Estidama Pearl Rating System.

Today the project has LEED Gold precertification, with actual certification soon to follow for the facades and efficiency of built assets in addition to the master planning of the wider development, which provides enough public transport and shaded walk ways to reduce demand on cars.

If converted into Estidama Pearls Sowwah Square would earn three, making it the highest green rated building or project in Abu Dhabi at this time.

On the approach to Al Maryah, the sustainability factors are inconspicuous to say the least. In fact, it’s hard to believe that with so much glass on the facades these buildings can be efficiently cooled at all.

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The science behind the design integrates both active and passive sustainability strategies, including a high-tech,

SEPTEMBER 2012

AL MARYAH ISLAND ADX

n Grade ‘A’ office towers

n Underground mall, The Galleria

n Rosewood Hotel n Cleveland Clinic n Four Seasons Hotel

motorised, thermal pillowed, double wall facade. In clearer terms, the cavity between skins is ventilated with cool air expelled from inside the building. The result is a cooler facade, cooler interior and reduced glare, and at night the thousands of individual screens making up the system tilt back on their hinges to reveal views of Abu Dhabi city.

n Regulation &

Supervision Bureau

n Santander Bank

Energy loads are further reduced through the specification of materials, such as waterwhite reflective glass and the channelling of natural light through open spaces such as the tower lobbies, which are positioned on the back of the buildings and have been constructed with cable nets rather than columns and pillars, to eliminate the sense of enclosure.

Onsite photovoltaic systems generate a portion of the CBD’s energy requirements.

They are all features Nilles says the majority of building users “look at but don’t really understand”.

“THE BUILDING WE DESIGNED FOR THE EXCHANGE IS A SYMBOL OF STRENGTH AND IT’S A SYMBOL OF THE FUTURE. THERE IS A LEVEL OF STRENGTH WHETHER IT BE FINANCIAL OR STRUCTURAL, AND LAYERS OF TRANSPARENCY, THAT ARE SOMEWHAT UNIQUE TO THAT BUILDING”

COVER STORY SOWWAH SQUARE

“There were things and opportunities in terms of sustainable design, that we couldn’t necessarily afford to do in a speculative development in US markets,” he reveals.

Contradicting the usual benefits of sustainability, these measures aren’t about saving building tenants and owners money, they are about adding prestige to the project, Nilles goes on to explain.

“These things don’t affect the rent, but they do affect the big global picture in terms of what it is to be responsible. It will take a long time for these measures to pay back but in the mean while you have Grade A office space in Abu Dhabi that rents at a premium, and it should rent at a premium because there’s nothing else like it in town.”

CHALLENGE Things may be coming together now, but as with any project of this scale, it wasn’t always quite so easy.

On any project, the development of infrastructure requires tight schedules and respect for deadlines. But on a project that coordinates multiple infrastructure works with the completion of five built assets, landscaping and a tenant buy-in schedule, the bar is understandably higher.

The four office towers feature one of the largest cable net glass enclosures in the world, erected without condensation, and while Nilles says that the finished result could never be ‘perfect’, he does acknowledge that the combination of technology and technique, creates a je ne sais quoi of its own.

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HECTARES DEVELOPMENT SPACE ON AL MARYAH ISLAND

“Nothing here is being done for the first time ever but there are a lot of things you see, for example concepts that are in the design books, that you just don’t ever see executed like this,” he clarifies.

Once the residential, retail and leisure elements of the project are also online, the finished development will be far from a nine to five venue; rather creating a 24 hour destination built on contemporary architectural principles and ambitious, albeit necessary, economic growth plans.

“There are things that are going to occur and be completed here that I think are going to be a surprise to a lot of people. It has to do with going back to the basics of design, the image of the exchange. People will be able to feel the anticipation of what’s going to happen here every morning when they walk in. This is a piece of culture,” Nilles concludes. n

BELOW: A model of the two-tiered road infrastructure that will allow residents, workers and visitors to easily navigate the island.

“As the roads were built the podium levels for these buildings were being built too.

We had to make sure they met, and all at the same level, so that there was a smooth connection between each development and no gap between one and the other,” Al Shamsi recalls.

“The plug and play nature of what we are trying to deliver has come to a level of success concurrently with the developments. It worked out beautifully in the end and that’s something we are proud of,” he adds, saying that Mubadala’s work is about what it can give back to Abu Dhabi, both personally, financially and socially from the project point of view.

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MIDDLE EAST

“To be able to see the assets being handed over and the quality of assets we have is quite humbling. The best part of my job right now is to hear back from the tenants who actually live and breathe in the towers,” he says.

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SUPPLIER NEWS

SUPPLIER NEWS ASCO NUMATICS MOST ADVANCED SOLENOID VALVE MANUAL OPERATOR LAUNCHED

DUPONT Dupont has received what it describes to be a “favourable albeit still provisional decision” against EU and India-based textile manufacturers producing and distributing counterfeited Nomex® fiber garments.

The distributors of the counterfeit goods were handed penalties ranging from €10,000 to €100,000,000 by The Hague District Court for selling the garments to buyers in the UAE and wider GCC. The garments included gloves, high-visability vests, and heat resistant clothing.

“Manufacturers and employers have a responsibility to keep workforces safe at work and in order to stay vigilant, certified goods are of paramount importance,” said regional manager for DuPont Protection Technologies Middle East and North Africa, Amr El Moniem.

“The DuPont™ Nomex® label represents how we affirm our status as a provider of quality protective products whilst empowering reputable suppliers do the same and provide genuine, legal goods to the workforce.

“Such initiatives raise the profile of safety in the workplace, which will in turn assist with the demise of counterfeit products,” Moniem continued.

A second action, also announced last month, was launched against counterfeit refrigerant traders selling illegally branded R-22 refrigerant gas containers sourced from China for the UAE, Egypt, Saudi Arabia and Jordan.

The trader was identified following a market research exercise in 2007 with the discovery leading to a raid.

Laboratory tests confirmed that the seized cylinders were counterfeit and the case was transferred to Criminal Court. In late 2009, a warrant was issued for the arrest of the owner.

In Dubai alone, a total of AED 40 million worth of fake goods were seized in 2011, involving more than 500 cases.

The most advanced solenoid valve manual operator has been introduced by ASCO Numatics, a business unit of Emerson Industrial Automation.

The new removable under pressure manual operator can be removed and re-installed while pipe-work is still pressurised, with no loss of line fluid or pressure.

“We believe this is the first solenoid pilot valve manual operator in the market that is removable under pressure.” Said Wim Van de Haar, ASCO Numatics’ marketing manager for its oil, gas and chemicals division.

“We work closely with our customers to understand the issues that affect them in their day

GROHE AG STUDENT DESIGN COMPETITION WINNERS ANNOUNCED Grohe’s design competition, held in collaboration with ALBA university (Académie Libanaise des Beaux Arts), Lebanon has recognised three students with an all expenses paid summer internship at the company.

The competition gave students the opportunity to develop a home spa using the GROHE Allure Brilliant® range, part of GROHE SPA™ collection.

The competition programme, led by senior VP of design, Paul Flowers, was based on a combination of workshops and seminars, designed to “encourage, promote, and reward the work of young design professionals.”

ALBA students were the first ever to get the chance to design and develop projects, with the help of experts at GROHE, to generate progressive contemporary design ideas for bathrooms and kitchens.

“Investing in design leads to the creation of added value and strongly contributes to building sustainable competitive advantage,” said Flowers.

“Our focus is to generate consumer centric designs which are implemented through our superior design and technology to create new experience with water. This competition has been a great

chance to work with future designers to understand their way of thinking and support the future think-tanks of the region,” he added.

In addition to presenting design awards, Grohe has also won a number itself, including iF, Good Design and the Red Dot Design Award ‘Best of Best’ in 2007, 2009, 2010 and 2011.

“We want to take this opportunity to thank GROHE for bringing the first Design Series to ALBA,” said the dean of ALBA University.

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MIDDLE EAST

TWO COUNTERFEIT TRADERS PROSECUTED

to day work. The need for a removable under pressure manual operator was the outcome of one of these customer meetings,” he added.

The removable under pressure manual operator is currently available for the 327 range of solenoid valves. The 327 is a 3/2 pilot valve used extensively for control valve and emergency shutdown valve piloting. The 327 is available in a range of body materials and with a selection of solenoid operators and certification. This makes it suitable for use in all of the major markets across the globe and in all hazardous areas.

American-based Emerson Industrial Automation, delivers manufacturing solutions including mechanical, electrical and ultrasonic.

The company’s wide range of products and systems used in manufacturing processes and other equipment includes motion control systems, plastics joining, precision cleaning, materialstesting equipment, fluid control valves, alternators, motors, and mechanical power transmission drives and bearings.

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SUPPLIER NEWS

BIGPROJECTME.COM

DORMA GERMAN STANDARD ENERGY EFFICIENT DOOR A new sliding door system, introduced by DORMA, has met the latest German energy saving regulation EnEV 2009.

Providing thermal insulation, ST Flex Green is approved by the German testing, surveillance and certification body ift Rosenheim.

The ST Flex Green is part of a new range of sliding doors featuring slender profile system, suitable to create elegant full-glass systems that can secure an environment from intrusion as well as being green. Complemented by the DORMA Secure, the products can either be integrated with DORMA automatic sliding door operator or specified as complete door systems.

ST Flex Secure is a sliding

door with maximum intruder and vandalism protection according to VDS resistance class WK2 and ST Flex Green comes with thermal break profile underlining DORMA’s contribution to increase energy efficiency in improving the sustainability of buildings.

“ST Flex guarantees a safe and secure business environment as well as being sustainable and reducing carbon footprint,” said entrance systems product manager, Bernd Czaja.

“We are very proud to offer elegance and style with being green and offering maximum intruder and vandalism

protection. The beauty of the product is that it can be used on an existing DORMA automatic sliding door, thereby enhancing the buildings energy efficiency and making it more secure,” Czaja added.

DORMA has been active in the Middle East since the establishment of DORMA Gulf Door Controls FZE in Jebel Ali, Dubai, in 1997. In 2007 DORMA Gulf built its regional headquarters, also at Jebel Ali Freezone, and today employs 253 staff across four companies, which operate from branches in eight cities.

HANSGROHE SE REGIONAL FIRST FOR SPACE SAVING SHOWER

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MIDDLE EAST

Hansgrohe SE has launched a new minimalist adjustable shower system that increases available space in the bathroom, while reducing the use of energy and water.

The Raindance Lift Shower Panel, features a single push function adjustable panel, allowing the shower to be raised by 20cm to suit user’s body height. The integrated Ecostat Select thermostat allows users to conveniently manage temperatures, also.

The features are engineered to provide water and energy savings, of up to 60%, via the application of Hansgrohe’s EcoSmart technology.

“We are a world leader in fulfilling consumers showering dreams and desires through innovative and design led products,” said Hansgrohe SE regional marketing manager, Dirk Schilmoeller.

“The RainDance Lift Shower Panel is our latest trendsetting concept that will help to fulfill the needs of the entire

SEPTEMBER 2012

family by offering individuality combined with practicality.”

Another feature of the RainDance Lift Shower Panel is the RainDance Select Hand Shower. It allows users to switch back and forth between the three jet types quickly and easily, with settings ranging from soft to massaging and the “best of both.”

Hansgrohe has supplied its bathroom products to Burj Khalifa, Dubai; Reichstag,Berlin; W Hotel Taipei; Heathrow Airport Terminal 5, London; Mosaic House in Prague, a “green hospitality” boutique hotel; and cruise liners the ‘Queen Mary II’ and Norwegian Epic, one of the largest cruise liners in operation.

The manufacturer also promotes responsible water use and water conservation initiatives, even awarding its own journalism prize for coverage of sustainable water use.

The company celebrated its 111th birthday on July 7 this year.

UNIBETON 80,000 M³ OF CONCRETE TO BE PRODUCED FOR MEGA PROJECT UNIBETON has been awarded LINK TUNNELS contract to provide 80,000 m³ concrete to Abu Dhabi’s AED 20 million dual tunnel project, STEP. The 40-kilometer long wastewater tunnel in Abu Dhabi, UAE, will be engineered in direct response to the Emirates growth forecasts, formalised in 2007, with the launch of Abu Dhabi 2030. Specifically the Plan states “The current infrastructure capacity will not meet the forecasted demand and the resulting development envisioned in the Urban Structure Framework Plan”.

STEP addresses these needs for the collection and transport of used water from all the expansion in currently developed areas and development of new areas identified in the Plan.

It is also sized to accommodate the range of flows that could result from the development and will also for an integral element of a wastewater system capable of generating over 15 m³/sec of grey water for irrigation.

Further to its operations in the UAE, UNIBETON is present in Saudi Arabia and Qatar, supplying megaprojects like New Doha Port and King Abdullah Financial District, with ISO certifications for both markets.

UNIBETON is the first ready mix supplier company in the Middle East to have been awarded ISO-9001-2008, ISO 14001-2004 & OHSAS in all three countries it operates in.

“Our reputation as leaders in innovative concrete technology and contribution to the environment in addition to our vision of ‘first choice in sustainable ready-mix concrete solutions’ is only the tip of iceberg,” said director for strategic business development, Robin Perron.

The company has also been presented with the Dubai Quality Appreciation Award, Mohammed Bin Rashed Maktoum Business Award and Stevie Award, among others.

iHiB İSTANBUL HALI İHRACATÇILARI BİRLİĞİ

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Big Project Middle East meets with real estate industry commentators to discuss foreign capital flows and the impact of bad infrastructure on regional developments

WHAT IS YOUR EVALUATION OF THE CURRENT SHAPE OF THE REAL ESTATE MARKET? AMMAD NASER: Overall Dubai has been

stable over the past 12 to 18 months. For the right product in a good location, then rates have been solid for a while, but you always have the flipside to that where secondary locations aren’t doing too well. There are still deflationary pressures around and a lot of competition to secure tenancies on both sides of the market, but I think the quality supply that has come through, certainly in residential, has seen growth this year.

Abu Dhabi is potentially a couple of years behind in its development but we are really hitting the peak in terms of what’s coming to the market and I think that’s reflected in that rates are still going down. There is not so much investment activity.

to get the rents moving up. In some locations and in some properties we are now back to what office prices were 32 years ago at 40dirhams/ square foot. Where as with residential we are double plus 150% of what we were paying 32 years ago and that in itself is eerie.

MATHEW GREEN: It is concerning and our

figures show that around 2.45mn sqm of commercial office stock is still to come through to the Dubai market by 2015. For residential we are probably somewhere between 10 to 15,000 units per year which is actually comparatively low when we look at how much stock we have seen over the last five years, really it’s a massive difference.

I think that’s why for Abu Dhabi it’s going to be a little more pain before recovery as they are now only really reaching the peak of their development cycle.

ELAINE JONES: In Abu Dhabi it is still a

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challenge because we don’t know who is investing in what and who is selling what from a corporate perspective.

I agree specifically the residential market is very strong but the commercial side is still a challenge. Industrial is picking up, interestingly, but commercial is struggling

SEPTEMBER 2012

JONATHAN FOTHERGILL: Despite the excess

commercial sector supply, there is still quite strong demand for good quality, big products and this is evident by the likes of Standard Chartered having to build their own corporate HQ building.

There is still a shortage of big, corporate

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HELEN HANGARI: We also see the hotel sector still growing in Dubai and the major operators are keen to continue to expand further so that more of the different brands they have are operating in Dubai. More generally in the market, there continues to be an increasingly thorough approach to real estate deals with investors, banks, developers, hotel operators and so on, all undertaking detailed due diligence and spending time negotiating detailed documents. From our perspective this is a significant indication of a maturing market.

There is also rising interest for the development of theme parks and the re-development of recreational facilities which suggests a greater diversity in real estate developments in Dubai.

AN: I have seen a massive interest from

foreign investors, within hotels and hotel apartments. I am working on a number of matters at the moment where we are re-structuring projects through Dubai Land Department that reflect this.

The traction is also there in the residential side of things and we have seen a number of foreign investors more interested in Dubai’s established areas. Secondary areas are an absolute nightmare at the moment but it’s interesting to see what will happen to make these places more attractive.

People I speak to at Dubai Land Department say those places are attractive to local buyers who are looking to pick up cheap deals and lease them as a long term investment, hoping in five and ten years, when the infrastructure is in place, they will make their money back.

JF: In some of these peripheral areas

there some very large scale additional

“DEVELOPERS WHO HAVE STALLED PROJECTS WILL ALSO BE ASKING THE QUESTION AS WHETHER THIS IS THE BEST TIME TO COMPLETE AND DELIVER IN TERMS OF ACHIEVING THE VALUE”

infrastructure projects going on. You can look at projects that two or three years ago didn’t stand much hope, and now prices have started shifting at 20% over the last year.

MEET THE PANEL

AN: I think Dubai has now moved away

from that short returns logic and it is now a mature market. I have commented previously that I see Dubai developing to be like London and New York where you have long term maturity.

HOW IS NEW LEGISLATION IN DUBAI AFFECTING THE MARKET OUTLOOK? EJ: We see more institutional investors

now but only providing the legal issues are resolved. We still don’t have all of the ongoing legal structure to operate some properties, but there are some opportunities being protected from various issues Dubai used to suffer from.

AMMAD NASER Senior associate, The Legal Group

AN: The new laws provide a lot more

protection for investors coming into the market and they are structuring it in a very similar way to the UK and it is recommended that you take legal advice before entering into SPAs. I think a lot of people forget Dubai as a jurisdiction has come on leaps and bounds compared to other countries that are much older and I feel the government is making the right moves to bring back confidence.

It will take time, but so long as the right moves are made, especially with the Investor Protection Law that is coming in.

HELEN TAPADAR HANGARI Senior legal consultant, DLA Piper

EJ: There is still a lot of clearing up to be

done in terms of the people who invested huge amounts of money and have not had anything back and don’t have that mechanism to force the issue to be answered.

AN: The Land Department is struggling as

well because of the lack of human resources to deal with the amount of enquiries coming from law firms, professionals and investors.

MATTHEW GREEN Associate director head of research consultancy division, CBRE

EJ: So the maturity of the market is actually a catch 22, because why would somebody come and put down a large amount of money if there is all this baggage still hanging around?

AN: That’s where Dubai Courts come into play and the Court of Arbitration, both of which have made leaps and bounds in terms of the disputes that are going on.

TLG specialises in arbitration matters and up to 80% of contracts we have seen have the arbitration clause in there. The only problem thereafter is enforcing that.

You can also then look to the bankruptcy laws due towards the end of this year.

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style quality accommodation and I can imagine a few corporations are ready to press green buttons on that kind of accommodation and would have done so before now if there were something available.

We see retail and hospitality as quite dynamic sectors at the moment, particularly with a trend towards neighbourhood convenience style retail and a couple of expansion projects at Dubai’s mega malls.

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HH:

Getting the Bankruptcy laws right is absolutely important. There are laws relating to liquidation that currently exist but they are generally not used by development companies due to the risk of criminal liability arising. It is necessary to have laws which allow a company to realise what value it has and for debtors to recover as much as possible. The current system also relies on assets being auctioned which can cause long delays rather than the assets simply being sold on the open market.

MG: One of the main issues in the Saudi

market has been how to encourage bank lending when there was no recourse to retrieve funds in the case of default. The rate of Real Estate Development Fund loans that have gone bad is understood to be very high and that underlines a big issue. So banks, even with a law in place, may be reluctant to lend initially, at least until regulations are properly in place and potentially even until some test cases have been dealt with adequately by the relevant courts AN: The flip side to this is that being the guinea pig on that test case is something nobody wants any part on.

“GETTING THE BANKRUPTCY LAWS RIGHT IS ABSOLUTELY IMPORTANT. THERE ARE LAWS RELATING TO LIQUIDATION THAT CURRENTLY EXIST BUT THEY ARE GENERALLY NOT USED BY DEVELOPMENT COMPANIES DUE TO THE RISK OF CRIMINAL LIABILITY ARISING” What I found in Dubai s that banks don’t want to go down the route of foreclosure because it’s not in their interest.

may be compensated, if anything and until outstanding cases are resolved effectively, a level of uncertainty could impact negatively.

AN: They are slowing realising that the balance cannot be weighted. The legal system here is quite strenuous and it does take a long time, but there have been cases against well established developers, where recourse is there and there have been occasions where we have managed to get full refunds from large developers.

The authorities will have to take at least five years to clear up everything that happened pre-crash and pre-Escrow and until that backlog is cleared, the scope for moving forward is very difficult.

Implementing laws while there is still the back log to deal with is just going to create more turmoil.

EJ: A lot of the unresolved issues are from people who are not local to the region and came here anticipating that, because they made purchases through organisations, they perceived the investment to be safe.

Because of the regional unrest there are people with a lot of money who need to park it somewhere and they are not going to be quite as concerned about these issues. They have their own interpretations and beliefs that they will be able to cope with difficulties in a different way.

WHAT IS THE IMPACT OF INVESTORS ON THIS DYNAMIC? JF: We have had conversations with a number of investors from around the region, affected by the Arab Spring, who are looking to invest money in Dubai because of that ‘safe haven’ status.

But I have recently picked up on the trend of vendor pricing and that is quickly becoming very unrealistic, particularly within the past three months, because everyone assumes things are going to take off again.

MG: The main issue in Dubai from an

investor perspective is that it still appears to be weighted in the developer’s favour and if you’re an investor it’s still a little unclear as to what your recourse is.

In all likelihood investors may be entering into a long running legal dispute without any real understanding of what

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SEPTEMBER 2012

EJ: With RERA, a seller can only register the property for sale with three agents as of the end of August 2012. Previously they could register with multiple agents, and therefore received ‘multiple’ enquiries, albeit from the same buyer. So I think we will soon see a real shift in market perception.

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AN: I have spoken to companies in the Far East who are looking for projects to buy at a lower rate, because they understand that Dubai is now a long term project.

We have to remember that pre 2007 this market was a free for all and everybody was making money. Now they have realised there has to be structure and organisation and these are the steps that we need to take.

In terms of project delays, there are many components to consider with no single reason to blame. If investors cannot pay the developer, then the developer may not have sufficient finance to push ahead towards completion and this comes back to the role of Escrow and other issues where payments end up being used for different projects.

EJ: And the banks

HH: The issues with Escrow are not just where money has been used on different projects. We see developers who used the Escrow account according to the law but, as purchasers have failed to pay further instalments, they are unable to complete the construction.

There’s also a misunderstanding of the meaning of Escrow accounts where purchasers often assume their money is safely sitting in an account until the property is handed over, and therefore can be returned in full to a purchaser if the property does not get completed.

However, it simply means that the flow of that money to the developer is regulated according to construction milestones.

MG: Access to development finance is

MG: In many off plan schemes the investor

proving to be difficult here as it is in many other global markets. This obviously makes launching new schemes and completing existing projects a major challenge.

will make their largest payment upon completion and handover of the unit so in a lot of cases, accessing the required finance to finish projects could be an issue.

Developers who have stalled projects will also be asking the question as whether this is the best time to complete and deliver in terms of achieving its value. If you are looking at a development that is half built and in a secondary location then maybe it is better to wait until things recover further before pushing ahead to completion as opposed to flooding the market now with additional stock.

JF: I think those steps will be taken but I

don’t think greed will ever go away and I see that as a potential barrier over the next six months.

AN: But the buyers are a little savvier now.

REGARDING PROJECT DELAYS AND OFF PLAN SELLING, IS THERE SOMETHING THE CONSTRUCTION INDUSTRY SHOULD BE DOING TO HELP BUOY CONFIDENCE OR IS THE NEED LEGISLATIVE? MG: The issue lies more with the developers and not the construction industry per se.

JONATHAN FOTHERGILL Director of UAE valuations, Cluttons

ELAINE JONES CEO, Asteco Property Management L.L.C.

DO RECENT ANNOUNCEMENTS OF MEGA LEISURE DEVELOPMENTS AND SIMILARLY AMBITIOUS PROJECTS AID MARKET RECOVERY? HH: Announcements of mega projects don’t

particularly aid market recovery but actually carrying out a well planned, well structured, high quality development like the Standard Chartered tower or Sowwah Square, both of which we’ve advised on, are tangible proof of the market recovering.

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MG: Dubai seems to work on a per square foot basis, particularly when the unit is off plan.

AN: There is no standard market value here so people do look at the square foot price.

In London, you look at a certain market area and know you are looking at a certain market value and that has been historic and has grown in a certain way. But because the market is relatively new here, people are automatically looking to another indicator to base decisions on.

ARE DEVELOPERS BUILDING TO ACTUAL MARKET DEMAND OR PERCEIVED DEMAND?

THERE IS A PERCEPTION THAT BUILDING QUALITY HERE IS COMPROMISED FOR REASONS OF SPEED AND COST. HOW DOES THIS AFFECT WHAT YOU ARE SEEING? AN: The major thing we are seeing is a discrepancy in size, rather than quality. As far as I have seen the quality of build is quite stringently monitored.

EJ: Although we encourage our developers to work to IRCS, that’s not actually what has been adopted. There are discrepancies between major players and until that is addressed creating uniformity is a hugely difficult task.

HH: There’s a reluctance to adopt international standards in measurement as they would result in areas being lower than they currently are, therefore I don’t expect this to change anytime soon.

MG: In Saudi Arabia the main issue is that income levels are simply too low for the majority of the population to realistically afford their own home, even with a mortgage.

It’s really a very small percentage of the overall demographic who can afford to buy.

Even Emaar, who is developing the huge Jeddah Gate project, has so far only built and sold three towers out of the original master plan.

JF: There is pressure on developers to be more market focused because feasibility is a big part of the exercise now in order to get finance from banks and with banks being as cautious as they are now, when somebody comes a long with an idea that hasn’t been market tested, it’s not going to get very far.

I hear about certain developers focussing more on the low income sector and showing they are closer to the market generally.

WITHOUT THE AFFORDABILITY MECHANISMS BEING IN PLACE, SUCH AS MORTGAGE LAWS, WILL IT BE POSSIBLE TO SELL THESE PROPERTIES? MG: I think the majority are sold to lease.

EJ: In the secondary markets, as least

people are buying what they can see, where they are buying off plan they have been promised something that isn’t delivered. To historically address what has happened would be a completely different story.

HH: You can look at a property and work out

if you like it, but it’s whether that is actually worth its market value.

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SEPTEMBER 2012

Firstly, a lot of Saudis don’t want to buy apartments, they want to be in a villa, which in many cases simply isn’t realistic given the relative high cost of units. That’s why you have huge default levels within real estate development fund.

EJ: It depends what one means by affordable.

I suggest the most affordable housing would actually be built by the government. Sheikh Rashid always had reasonably priced

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options for a number of residents within a key income band.

The different territories within the Middle East and the demographic make-up, will determine what needs to be built and by whom. We are so heavily expatriate in the UAE that you don’t expect the government to be providing subsidies.

“THESE MARKETS ARE TAKING A TREND THAT HAPPENED IN DUBAI AND THE MIDDLE EAST AND ARE FOLLOWING THAT STRUCTURE BUT WITHOUT THE MISTAKES.”

MG: Unless the land is granted in the

first place, then it is very difficult to make affordable housing projects feasible. It’s not as straight forward to say ‘we need social housing’ in many cases there needs to be subsidies provided by the government to encourage private sector involvement.

the emerging markets are thinking about how to structure the development in their countries and they are looking at the infrastructure first.

is Libya because of the natural resources and I see potential because there are already international law firms setting up offices there.

HH: Libya has a huge amount of potential given its wealth and the significant underinvestment over the decades. The major projects there are likely to focus on meeting basic needs like electricity infrastructure, better roads, hospitals, schools and, of course, further investment into the oil sector’s infrastructure.

AN: A lot of what our departments in

AN: We have also found that in Ethiopia,

Libya are dealing with now is more on the infrastructure side, before any real estate developments are even thought about. So

where there is a lack of affordable housing and no mortgage law per se, the majority of transactions are case and we are actually working on a high rise project just outside of Addis Ababa. These markets are taking a trend that happened in Dubai and the Middle East and are following that structure but without the mistakes.

They are thinking about how to structure the development of their country.

What we have also foundis that for Chinese companies moving into East African mining projects, Dubai is being used as a place for staff to live before moving on to East Africa.

The logic is then to utilise Addis Ababa as an in road to the rest of Africa. There’s a lot going on there at the moment, including big investments in telecoms networks, with even Etisalat present in the market.

Algeria is also seeing a lot of inwards investment and I think Africa will be the next development hub, triggered by the Arab Spring.

WHICH ARE THE KEY EMERGING MARKETS CURRENTLY AROUND THE REGION? JF: I would say an immediate opportunity

JF: Another interesting market closer to home is Turkey. There are a lot of cultural and social connections between the UAE

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and Turkey; the land law has recently been opened up and it’s on the verge of EU ascension. We see a lot of particularly Emirati interest with local developers and it’s a huge tourist destination, too.

MG: I think Egypt will start to come back, particularly the hospitality sector. The question is how long will this take? Occupancy rates are already steadily rising and things will continue to improve as long as stability is maintained. Overall development activity is expected to increase moving forward, with such a very strong corporate focus evident prior to the Arab Spring.

WHAT ARE THE MAIN CONSIDERATIONS FOR THESE EMERGING MARKETS TO ADDRESS IN ORDER TO SAFEGUARD THEIR GROWTH? ALL: The legal system.

AN: There are major opportunities in the distressed assets market here at the moment. What we are finding is contractors from the Far East who are looking to make a name in the Middle East market, especially the secondary developments, and they are coming in to take over those projects or establish JVs. EJ: Also with retail sales you see people buying property for themselves – in old Dubai and new areas – but not many of these are overseas buyers on the retail side.

MG: For me that’s about the most positive

indicator you can find. If there are increasing retail sales for end users then it shows that there is inherent confidence in the local economy and faith in the positive direction of the real estate market. It also reflects that residents are planning to be here long-term.

JF: The actual infrastructure you see in

Dubai is so important. Post Arab Spring in Saudi Arabia and Kuwait there is a lot of investment in social infrastructure that was missed out on over the last five years.

HH: That’s very important in countries like

Libya as well.

AN: The promising thing residents of

Tripoli observe at the moment is the assessment of social infrastructure. There are things that can be done in a very good way so long as that focus is retained.

HH: Agreed, and regardless of which

political party happens to be in control in all the countries affected by the Arab Spring, it’s the same needs that must be met by the newly formed governments.

The roundtable discussion was held at Movenpick, Jumeirah Beach Residence, Dubai, UAE. For more information on the hotel’s business suites and packages, call +971 (0)4 449 8889

MIDDLE EAST

SEPTEMBER 2012

EJ: It’s all down to quality of life – the level of personal safety and income – and people will continue to come here for those reasons because they create a far better return on investment. There are still laws required but in the mean time this is a great place to be.

HOW DO YOU SEE THE MARKET DEVELOPING IN THE NEAR FUTURE? AN: I don’t think you’re going to see that pre- 2007 boom again.

JF: But I do think we are seeing that a little

in certain areas, like Old Town and Down Town Dubai.

AN: There is also now a cross party consensus of the core values that are needed to move forwards and we are seeing that in Ethiopia as well.

MG: Previously anything was sellable, but

WHICH TRENDS HAVE YOUR RECENT RESEARCH FINDINGS DEMONSTRATED?

HH: With a good location and good legal

now people are more focused on what the product actually is and they are looking in detail as to what they are buying.

structuring, the right property can do well.

EJ: We are seeing an increase in investor

confidence for either income generating completed stock from the Far East or advising contractors who are cash rich and want to take advantage of opportunities.

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54

JF: The sales on the retail side are peculiar to Dubai. People are confident again.

EJ: But we do

have to be cautious with sweeping statements, because there are still statement developments with high vacancy rates. n

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LOUIS KHOURY

To BIM or not to BIM?

THE UK GOVERNMENT is to begin phasing in mandatory application of building information modelling (BIM) from this summer, following in the footsteps of Finland, Singapore and Jordan, but how will this affect the construction industry in the UK? Research carried out at the end of last year by the National Building Survey (NBS) revealed that the number of UK firms using BIM had more than doubled from the previous year, rising from 13% to 31%. Of those not yet using BIM, 48% said that they needed to “get through the downturn” before considering BIM. Yet, others felt that, on the contrary, this was just the right time to adopt this way of working.

There are so many carrots to encourage the adoption of BIM, that it may be superfluous to mention the stick.

However, the UK government has mandated the use of BIM on all of its projects over £50 million by 2016 and this is bound to have an impact.

Already many larger contractors insist that sub-contractors are BIM-enabled. Whether or not there will be a knock-on effect on smaller businesses and projects remains to be seen.

Using BIM can generate a number of benefits, both business and practical, all with different levels of value.

One of the most prominent benefits to using BIM is the ability to integrate workflows which can help optimise internal processes and the collaboration with other stakeholders in the project.

This enables decisions to be made much earlier in the project, reducing costly errors and allowing more options to be included in the work.

COULD THIS HAVE WIDER RAMIFICATIONS FOR OTHER GEOGRAPHICAL CONSTRUCTION MARKETS?

Architects, contractors and building owners are growing more informed about BIM and the advantage of utilising data that will help them to understand the project better and enable faster business decisions to be made throughout all stages of the build. While it is impossible to accurately predict how fast AEC in the UK will embrace BIM, the current market trend for efficient, cost–effective design and environmental sustainability is increasingly forcing the hand of remaining sceptics.

AS A REGION THAT IS OFTEN CITED

BY BIM PROFESSIONALS AS ONE THAT DOESN’T FULLY IMPLEMENT CONSTRUCTION IT, COULD THESE CHANGES MEAN THE MIDDLE EAST FALLS BEHIND IN TERMS OF CONSTRUCTION TECHNOLOGY AND WORK PLACE SKILLS?

The good news is that many BIM tools are becoming more intuitive and easy to use (and accessible through the cloud), so the learning curve for BIM tools isn’t very steep. As we continue to see adoption of BIM in the region, and as projects become more global with teams spread across multiple countries, it will become even more important for architects, designers, contractors and engineers to become proficient in BIM tools.

Professionals in design, architecture and engineering should consider starting with the free services offered through Autodesk 360.

Autodesk 360 Documents, Autodesk 360 Mobile and AutoCAD WS are free tools that will enable

easy collaboration, sharing, viewing and editing of files in real-time.

WHAT NEEDS TO BE DONE FOR THE INDUSTRY TO ENHANCE ITS UNDERSTANDING AND USE OF BIM IN THE MIDDLE EAST?

One of the most important things to be done is reaching out to the consultant community and to build a successful relationship for the benefit of consultants, their customers and their businesses by discussing the benefits of BIM. This can be done through providing BIM training services to the Middle East CAD industry professionals following an increase in demand for the software in the world. New BIMbased training courses will give architects, consultants and design based companies the insight for creating and managing building and infrastructure projects faster, more economically, and with less environmental impact.

Autodesk BIM software includes a comprehensive portfolio of solutions for design, visualization, simulation, and collaboration that uses the rich information in the intelligent model to inform better decision-making and break down the barriers to better business. n

“ALREADY MANY LARGER CONTRACTORS INSIST THAT SUBCONTRACTORS ARE BIM-ENABLED. WHETHER OR NOT THERE WILL BE A KNOCK-ON EFFECT ON SMALLER BUSINESSES AND PROJECTS REMAINS TO BE SEEN.”

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LOUIS KHOURY AEC major accounts sales manager.

This year, The UK government mandated the use of BIM on all public sector projects over £50 million by 2016. Louis Khoury, AEC major accounts sales manager, Autodesk, explains the repercussions for the global industry

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PETER HEDLUND

Technology Strategies for Controlling Project Costs and Managing Risk PETER HEDLUND: Regional director, Trimble Middle East.

Peter Hedlund, regional director, Trimble Middle East looks at the benefits of establishing a project and portfolio information system for big project owners SOME OF THE world’s most impressive, complex and largest infrastructure projects have been undertaken in the Middle East including building and road projects such as the new National Railway Network in the United Arab Emirates, Knowledge Economic City in Saudi Arabia, and the Barakah Nuclear Power Plant in Abu Dhabi.

These projects, like any traditional long-term construction project requiring extensive investment, are a complex collaboration process involving multiple stakeholders; each requiring specific information at each stage in the building lifecycle. Yet these undertakings - some of the most massive seen in modern history – are further complicated as they must rely on a global network of resources: business owners and managers, contractors, subcontractors, specialists and even materials, supplies and processes from around the world; all working together in an intricate and inter-related supply chain that must be strategically managed.

Ultimately, the responsibility and risk of this complex supply chain to perform and deliver on time and on target falls on the shoulders of the project owners.

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TECHNOLOGY AS MISSION CRITICAL The intricacies of these colossal and evolving construction efforts make technology-based collaboration and coordination critical. In an effort to gain a complete picture of the multitude of moving parts, many organizations assemble a set of best-of-breed point solutions for various functions; from project and task management to document retention and routing to design, bidding, estimating and invoicing. While each may be effective in its purpose, this approach inevitably creates isolated data sources and silos of workflow which in turn can cause risk and inefficiencies that can compound as projects advance.

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Optimal cost and program management can be achieved through a tightly integrated suite of functionality based on a common source of information.

PROJECT AND PORTFOLIO INFORMATION SYSTEM A project and portfolio management information systems comprise four primary areas: portfolio management, document controls, cost controls and contracts management, and scheduling.

And, when tightly integrated on a common information platform, allows for owners to not only allocate and manage investment efficiently with a solid understanding of the returns each investment is providing, but provides business intelligence that helps mitigate risks, control costs and increase operating margins. Here, we look at the core functionality and benefits.

PORTFOLIO MANAGEMENT Portfolio management consists of planning spend, program management and project execution tracking. Planning views that summarise existing projects and include accurate forecast and cash flow spend, help to align proposed projects that can be prioritized and viewed in combination across a multiyear period. Planning tactics allow organisations to direct and invest in new projects or existing projects that are requesting additional funding.

Saudi Arabia’s Knowledge Economic City project is an effective example of using budget and programme management to group projects into programmes or strategic drivers allowing the organisation to analyse the high level objectives of a set of projects. With multiple build phases over approximately 15 years covering an area of 4.8 m sqm , a project information system is helping to increase the value of their investment through realtime visibility into project budgets,

CONSTRUCTION IT

DOCUMENT CONTROLS Document Controls assure effective communication, provide access to timely information and ensure that best practices are promoted with system-driven workflow and standard data forms. Consistent execution of standard workflow processes helps improve efficiencies and collaboration and manage expectations among project stakeholders. The world’s largest “greenfield” portdevelopment, New Doha Port Project, used document control tactics to move beyond document storage into leveraging standardized documents as communication processes, including reviews and revision control that led to increased efficiency and collaboration between parties.

COST CONTROLS For Fluor, the second largest contractor in the US with global contracts and share-holder accountability; cost controls surrounding budgets, contracts, invoices and change control are key to effective management and stock valuation. Controlling a project’s finances usually includes managing budget, project contracts, invoice processes and change orders.

Establishing a budget with the right level of detail allows a project manager to setup an accurate forecast of future costs. Once the cost forecast has been established project managers can start anticipating the needs of the project beyond just tracking spend and cash flow to effectively manage risks.

A project’s budget is not a static entity and needs to incorporate change from any number of sources. A project information system allows these changes to be tracked so that the root cause of a change can be understood, and risk management techniques can be applied to avoid further departures. For Fluor, this means the ability to manage risk and achieve an acceptable level of financial control for operational managers responsible for project and profit loss.

SCHEDULING Large capital projects have many contractors, each potentially tracking their schedules in a variety of different systems. The owner needs a solution that can consolidate them and provide a higher level milestone view. Many project management information systems provide detailed CPM schedules natively, or allow

the import of this data through the use of existing scheduling tools. By capturing this information within a web-based project management information system, all of the key project stakeholders can have visibility into the schedule and allow each to update and maintain their portion of the schedule. A project information system should allow for schedules to be shared – as this is critical to getting other project participants the information on milestones that they are managing to.

It will allow project managers to find potential delays and other risks before they occur.

EXTENDING THE VALUE FOR YOUR BUSINESS When these core functions are combined to the same data source and common IT platform – “a single source of truth,” advanced value can be achieved in the areas of change management, risk management and business intelligence.

Take change management for example.

Often considered the life-blood of a project, effective change management is not just tracking the fact that change has happened. More strategic value comes when business and project managers can predict change on the basis of supporting information and forecast the impact on cost, scope and schedule. For this to happen requires a close association and defined relationship between disparate portions of the project data.

Another example of the benefits of a comprehensive project information system can be seen in the processing of Requests for information (RFIs). With project intelligence and workflow that is tightly integrated to a common platform, a manager has immediate access to all of the key elements – cost, schedule, and scope – and can promote or trigger from an RFI to create a potential change, giving immediate visibility of the potential impact to the cost forecast.

“RECENT ECONOMIC CONDITIONS HAVE CREATED SIGNIFICANT FINANCIAL RISK FOR BIG PROJECTS TRYING TO SECURE FUNDING. FINANCIAL INSTITUTIONS IMPOSE STRICT REQUIREMENTS FOR REPORTING AND VISIBILITY, WITH STRICT PENALTIES, SUCH AS LOSS OF FUNDING, WHEN THE REQUIREMENTS ARE NOT MET”

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costs, forecasts and most importantly, associated risk.

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VENDOR PERFORMANCE ASSESSMENT n How is the vendor

performing on assigned action items from meetings, issues, RFIs, submittals, quality notices and safety incident reports?

n What vendor related

document and issues are leading to change and growth in the vendor’s contract?

n Is the vendor efficiently

participating in the reviews RFIs, submittals and drawings?

n How is the vendor

performing on their contract, progressing through work deliverables as expected with the schedule?

BIGPROJECTME.COM

MANAGE RISK AND EXPOSURE Many project risks are unknowns with immediate impact to project cost. Other risks have great impact on investment performance over a longer period. For example, the risk of a contractor’s poor workmanship being overlooked on inspection can result in costly repair, compromised facility performance or human safety concerns. Likewise, weather is unpredictable and can delay projects as well as affect material performance such as concrete strength or wallboard mold.

While we cannot control the weather, we can track trends from daily logs in comparison to the project schedule to take appropriate action. When daily logs and schedules are on the same common platform, this comparison becomes possible even for management not in the same geographic location as the project.

Projects are ultimately executed by people and in the case of a big project, the number of people and organisations creates complex relationships and communications. The risk of poor or adversarial working relationships can create a significant strain on an organisation’s management resources and ultimately force cost overruns and failures.

Information on a common platform allows managers to observe interactions and communications over many subject areas and between all the participants in the project. This visibility allows management to coach and nurture relationships, as well as remove items of contention before escalation.

Recent economic conditions have created significant financial risk for big projects trying to secure funding.

Financial institutions impose strict requirements for reporting and visibility, with strict penalties, such as loss of funding, when the requirements are not met. A common platform allows organisations to establish standard reports and security that automate reporting and alerts to keep them confidently compliant.

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PROACTIVE CONTROL COSTS Visibility and proactive analysis is extremely valuable to controlling project costs. For example, setting up a budget with the right level of detail will allow a project manager to set an accurate forecast of future costs. Once the cost forecast has been established, project managers can proactively anticipate the needs of the project instead of just tracking what has been spent in the past.

Looking ahead is a much more effective method to managing risks and controlling cost. Similarly, meeting minute

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discussions, issues, and correspondence are all potential sources that could reveal a potential issue and change on a project.

When this information is stored on a common platform, changes can be linked directly to the supporting information Managers can explore the root cause or analyse common causes to particular project segments and take action to mitigate those risks, accelerate timelines or even control and reduce costs.

Another example, connecting schedules within a common platform allows project teams to highlight the impacts to the schedule as well as compare schedule performance and cost performance throughout the project using earned value techniques. This visibility allows management to take action to address issues and eliminate risk conditions.

TRANSFORM INFORMATION INTO INTELLIGENCE Tying core functions of project and portfolio management into a common information system enables deep analytical capabilities across all essential project data. Business analytics combine related, interconnected information across a platform to reveal numerous advanced values. For example, Earned Value Analysis combines cost and scheduling forecasting to better assess cost, scope and scheduling (see box for vendor performance considerations).

The common platform allows all of these questions to be answered on a single dashboard. Workflows, forms, documents and data are interconnected through regular daily usage by the project team. The project team, through normal use, weaves a web of information that business analytics can leverage to reveal risks, trends, and opportunities in organizational performance. Managers realize the benefit of business analytics as they take action to anticipate events, eliminate risks, reverse negative trends, promote positive trends and capitalize on opportunity.

Standardising project and portfolio management on a common information system improves project transparency, collaboration and control, resulting in reduced risk, higher quality, faster delivery and lower costs. Project owners will allocate investment efficiently with a solid understanding of the returns each investment is providing. And when managing a large portfolio of projects on a common information system, project owners can shift to proactive and therefore more successful management of their investment programmes. n

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TENDERS

MIDDLE EAST TENDERS Tenders provided by

ALUMINA REFINERY PROJECT BUDGET $1,500,000,000 PROJECT NUMBER ZPR645-SA TERRITORY Saudi Arabia CLIENT Saudi Arabian Mining Company (MAADEN) CITY Riyadh 11537 POSTAL/ZIP 68861 COUNTRY Saudi Arabia PHONE (+966-1) 874 8000 FAX (+966-1) 874 8300 WEB http://www.maaden.com. sa EMAIL info@maaden.com.sa DESCRIPTION Engineering, Procurement and Construction (EPC) contract to build an alumina refinery with capacity of 1.8 million metric tonnes of smelter-grade alumina.

PERIOD 2014 STATUS Current project REMARKS This project will be located in the Eastern Province of Saudi Arabia. It is being implemented in joint venture with US-based Alcoa. The joint venture company will be known as Maaden Bauxite & Alumina Company and comprise a bauxite mine and an alumina refinery. It is the second phase of the $10.8 billion, fullyintegrated aluminium complex that Maaden is developing with Alcoa, which will include an integrated alumina refinery, aluminium smelter and rolling mill at Ras Al Khair on Saudi’s eastern coast on the Persian Gulf. Client has officially awarded the $1.5 billion EPC contract to South Korea’s Hyundai Engineering & Construction Company. The contract includes completing detailed engineering,

procurement, construction, precommissioning, commissioning assistance, start-up assistance and training services. The project is scheduled to be completed by end of 2014. Duration of the contract is (29) months. Switzerland’s ABB has been awarded a $24 million contract to supply electricity for this smelter from the Ras Al Khair power plant. Scope of work involves the design, engineering and supply of a new 380kV outdoor, gas-insulated switchgear (GIS) substation at the power plant to feed the new smelter, due for completion in 2013. The contract also includes supply of communication, auxiliary systems and IEC 61850-compliant substation automation, control and protection. The containerized system will be factory assembled and pre-commissioned to speed up site installation.

PROJECT MANAGER Fluor Arabia Limited (Saudi Arabia), Worley Arabia Company Ltd. (Saudi Arabia) MAIN CONTRACTOR Hyundai Engineering & Construction Company Limited (Saudi Arabia) TENDER products Aluminium Smelters/Plants TENDER CATEGORIES Industrial & Special Projects

HEADQUARTERS BUILDING PROJECT PROJECT NUMBER MPP2659-SA TERRITORY Saudi Arabia CLIENT Al-Abdulkarim Holding (Saudi Arabia)GACA (Saudi Arabia) ADDRESS King Faisal Street CITY Dammam 31411 POSTAL/ZIP 4 COUNTRY Saudi Arabia

PHONE (+966-3) 889 2085 FAX (+966-3) 898 5077 WEB http//:www.akh.com.sa EMAIL info@akh.com.sa DESCRIPTION Construction of headquarters building comprising 105-metre-high, 35-storey office tower.

PERIOD 2014 STATUS New Tender REMARKS This project will be located at Dammam in Saudi Arabia. The commercial office tower will have a built-up area of 54,846 square metres. Part of the (27) office floors will be designed for the client’s headquarters and remaining floors will be rented to external companies. Size of the office floors will range from 1,130 square metres to 1,344 square metres. The facility will have parking spaces in the basement and (7) podium levels.

One of the podiums will be used for retail facilities. Tower is scheduled to open in 2014. Dubai-based Dewan Architects & Engineers has been awarded a contract to design the tower.

DESIGN CONSULTANT Dewan Architects & Engineers (Saudi Arabia) TENDER PRODUCTS High-rise Towers TENDER CATEGORIES Prestige Buildings

ASSILA TOWERS PROJECT PROJECT NUMBER NPR002-SA TERRITORY Saudi Arabia CLIENT AMIAS Real Estate Company Ltd. (Saudi Arabia) CITY Jeddah DESCRIPTION Construction of 60-storey Assila Towers comprising a five-star hotel with (242) rooms and (104) serviced apartments.

STATUS Current project REMARKS This project is in Jeddah and will cover a built-up area of 46,949 square metres. The tower will consist of two basement levels below ground. It is understood that the hotel will be managed and operated by Rocco Forte Hotels.

Local construction company Al Saad General Contracting has been awarded the main construction contract on this scheme. Dubaibased construction firm Drake & Scull International (DSI) has been awarded an estimated $37 million turnkey contract to carry out the mechanical, electrical and plumbing (MEP) works.

MAIN ARCHITECT Mohammed Harasani Architects (Saudi Arabia) DESIGN CONSULTANT Perkins & Will (USA) MAIN CONTRACTOR Al Saad General Contracting (Saudi Arabia) MEP CONTRACTOR Drake & Scull International (Saudi Arabia) TENDER PRODUCTS High-rise Towers Hotel Construction TENDER CATEGORIES Prestige Buildings, Hotels

FIVE-STAR HOTEL & HOTEL APARTMENTS PROJECT PROJECT NUMBER ZPR789-SA TERRITORY Saudi Arabia CLIENT Arab Resort Areas Company (ARAC) - Saudi Arabia CITY Madinah 41442 POSTAL/ZIP 6388 COUNTRY Saudi Arabia PHONE (+966-4) 836 4444 FAX (+966-4) 837 1111 WEB http://www.arac.com.sa EMAIL info@arac.com.sa

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SAUDI ARABIA

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TENDERS

DESCRIPTION Design and construction of a five-star hotel comprising (200) rooms and (120 Nos.) hotel apartments, including associated facilities.

STATUS New Tender REMARKS This project is in Dammam. The hotel and apartments will be strategically located along Prince Turki Highway, only ten minutes away from Dammam 1st Industrial City and 45 minutes from Dammam International Airport.

The development will feature four dining venues and leisure facilities such as a gymnasium and spa, kids club, indoor swimming pool, retail shops, hairdressing and a number of coffee shops. It will also have a fully equipped banquet hall with capacity to accommodate (600) persons, supported by a business centre and meeting rooms to host conferences, banquets and exhibitions. UAE-based Dewan Architects & Engineers has been awarded a consultancy contract to design and supervision the construction of this scheme. The design concept will focus on contemporary and functional design parameters with an emphasis on light and visually engaging spaces and areas that invoke the spirit of Arab hospitality and create a sense of belonging that invites guests, residents and visitors alike to relax and enjoy the hotel’s warm welcome.DESIGN CONSULTANT Dewan Architects & Engineers (Saudi Arabia) TENDER PRODUCTS Hotel Construction TENDER CATEGORIES Construction & Contracting, Hotels

KEMPINSKI HOTEL PROJECT - JEDDAH

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PROJECT NUMBER SPR2550-SA TERRITORY Saudi Arabia CLIENT Al-Eissa Real Estate (Saudi Arabia) CITY Riyadh POSTAL/ZIP 46359 COUNTRY Saudi Arabia PHONE (+966-1)208 6650

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BIGPROJECTME.COM

FAX (+966-1) 208 6651 DESCRIPTION Construction of 65-storey, five-star Kempinski Hotel comprising (242) hotel rooms and (104) serviced apartments.

PERIOD 2013 STATUS New Tender REMARKS This hotel will be located in Jeddah. It will be a 240-metre high tower, with a total built up area of 79,624 square metres and site area of about 9,710 square metres. It is understood that a tender has been submitted for construction of the hotel. Once a contractor is appointed, building work is expected to commence immediately. Design phase of the project is close to conclusion. The hotel is scheduled to open in third quarter of 2013.

MAIN CONSULTANT Mohammed Harasani Architects (Saudi Arabia), Perkins & Will (USA) MAIN ARCHITECT Peter Silling & Associates (Germany) FOUNDATIONS, ENABLING AND PILING CONTRACTOR Arabian Soil Contractors Ltd. (Saudi Arabia) TENDER PRODUCTS High-rise Towers Hotel Construction TENDER CATEGORIES Prestige Buildings Hotels

PRINCE MOHAMMED BIN ABDULAZIZ MEDICAL CITY PROJECT PROJECT NUMBER MPP2613-SA TERRITORY Saudi Arabia CLIENT Name : Ministry of Health (Saudi Arabia) CITY Riyadh 11176 POSTAL/ZIP 21217 COUNTRY Saudi Arabia PHONE (+966-1) 401 5292/ 401 2220/ 401 5555 Ext. 1277 FAX (+966-1) 402 6944/ 402 9876 WEB http://www.moh.gov.sa EMAIL info@moh.gov.sa DESCRIPTION Construction of Prince Mohammed Bin Abdulaziz Medical City, with capacity of 1,000 beds, including housing and

other facilities for medical staff.

STATUS New Tender REMARKS This project is in Northern Region of Saudi Arabia.

The complex will have academic and clinical centres, as well as research centre, office buildings, service station and car parking.

US’ Hill International has been awarded the project management consultancy (PMC) contract on this scheme. PROJECT MANAGER Hill International Middle East Ltd. (Saudi Arabia) TENDER PRODUCTS Hospital Construction TENDER CATEGORIES Construction & Contracting Medical & Healthcare

EGYPT NILE TOWERS PROJECT BUDGET $153,000,000 PROJECT NUMBER WPR020-E TERRITORY Egypt CLIENT Saudi Egyptian Construction Company (SECON) - Egypt CITY Alexandria COUNTRY Egypt PHONE (+22-03) 5820699 / 5827011 DESCRIPTION Construction of 22-storey Nile Towers comprising a five-star hotel tower and a residential tower.

PERIOD 2015 STATUS Current project REMARKS This project is in Egypt.

The scheme will have a total built up area of 105,000 square metres.

First tower will be a fiver star hotel managed by Hilton International, with a total of (256) rooms and the second will be for residential

use and will consist (114) hotel apartments. A joint venture of Dubai-based Arabtech Construction and local SIAC Industrial Construction & Engineering Company has been awarded the main construction contract on this scheme.

MAIN CONTRACTOR Arabtec Construction L.L.C (Dubai), SIAC Industrial Construction & Engineering Company (Egypt) TENDER PRODUCTS High-rise Towers Hotel Construction TENDER CATEGORIES Hotels, Leisure & Entertainment, Prestige Buildings

NILE RITZ CARLTON HOTEL REFURBISHMENT PROJECT PROJECT NUMBER MPP2571-E TERRITORY Egypt CLIENT Misr Hotels Company (Egypt) ADDRESS ADDRESS 28 Hussein Wassef St., Dokki CITY Giza COUNTRY Egypt PHONE (+20-3) 761 0586 / 761 0587 FAX (+20-3) 761 0246 WEB http://www.misrhotels.com. eg DESCRIPTION Carrying out refurbishment/modernising of the existing 13-storey Nile Ritz Carlton Hotel.

STATUS Current project REMARKS This project is in Cairo. The hotel covers a total area of 64,000 square metres.

A joint venture of local Orascom Construction Industries and local Arab Contractors has been awarded the main contract to carry out structure rehabilitation works. Lebanon’s Arabian

“THE COMPLEX WILL HAVE ACADEMIC AND CLINICAL CENTRES, AS WELL AS A RESEARCH CENTRE, OFFICE BUILDINGS, SERVICE STATION AND CAR PARKING.”

TENDERS

MALL OF EGYPT PROJECT

- Athens-based Consolidated Contractors Company (CCC) / Local Hassan Allam Sons; - Local Orascom Construction Industries / Belgium’s Six Construct.

Negotiations are currently underway.

MAIN ARCHITECT RTKL Associates Inc. (Dubai) TENDER CATEGORIES Construction & Contracting, Hotels, Leisure & Entertainment TENDER PRODUCTS Commercial Buildings, Mixed-use Developments, Retail Developments, Theme Parks Development

OMAN SOHAR ALUMINIUM ROLLING MILL PROJECT BUDGET $ 400,000,000

BUDGET $770,000,000 PROJECT NUMBER OPR424-E TERRITORY Egypt CLIENT Majid Al Futtaim Group (Egypt) CITY Cairo COUNTRY Egypt PHONE (+20-2) 2520 4000 FAX (+20-2) 2520 4409 WEB http://www. majidalfuttaimproperties.com DESCRIPTION Construction of Mall of Egypt comprising (350) stores, a 17-screen cinema complex, Magic Planet, an outdoor plaza, dining, and skiing facility.

STATUS Current project REMARKS This project is in Cairo and will cover an area of 160,000 square metres. Ski Egypt, an indoor skiing facility similar to the one in Mall of the Emirates in Dubai, is planned in the mall. It is understood that the client has shortlisted at least three groups for the main construction package. They include: - UAE’s Arabtec Construction / Local Industrial Construction & Engineering Company (Siac);

PROJECT NUMBER ZPR502-O TERRITORY Oman CLIENT Takamul Investment Company (Oman) ADDRESS Bayt Muscat Bldg., Mezzanine Floor, Al Ghubra CITY Muscat 130 COUNTRY Oman ZIP 951 PHONE (+968) 2452 9000 FAX (+968) 2449 4986 EMAIL info@takamul.com WEB http://www.takamul.com DESCRIPTION Engineering, Procurement and Construction (EPC) contract to build an aluminium rolling mill in Sohar with initial production capacity of 140,000 tonnes per annum.

PERIOD 2014 STATUS Current project REMARKS This project is in Oman.

The scheme is being implemented by client’s subsidiary Oman Aluminium Rolling Company.

Production capacity is expected to be increased to 160,000 tonnes per annum after twelve months of completion, in 2014.

Italy’s Fata Engineering &

Construction has been appointed as the EPC contractor. Local Teejan Construction is acting as Fata’s local partner for the civil work contract on this scheme.

Continuous casting, which is the latest technology in aluminium rolling, will enable the project to use molten aluminium supplied by the client for manufacturing rolled coils. This will enable the client to produce aluminium sheets of very thin gauges and high surface quality with shorter product delivery time and lower energy cost. Civil and building works are currently underway. The equipment has been purchased. Partial hand over of the project is scheduled for August 2013.

MAIN CONTRACTOR Fata Group (Italy) CIVIL ENGINEERING CONTRACTOR Teejan Trading & Contracting Company L.L.C (Oman) TENDER CATEGORIES Industrial & Special Projects TENDER PRODUCTS Steel Mills

JABAL AL AKHDAR RESORT HOTEL CONSTRUCTION PROJECT BUDGET $ 35,000,000 PROJECT NUMBER 187/2011-O TERRITORY Oman CLIENT Oman Tourism Development Company S.A.O.C (Omran) CITY Muttrah PC 114 ZIP 479 COUNTRY Oman PHONE (+968) 2477 3700 FAX (+968) 2479 3929 EMAIL enquiries@omran.om WEB http://www.omran.om DESCRIPTION Construction of Jabal Al Akhdar Resort Hotel comprising two main buildings and a cluster of two-storey buildings consisting of a total of (86) luxury rooms.

PERIOD15/12/2013 STATUS Current project REMARKS TTender No. 187/2011 This project is in Oman. The front of the main buildings will contain

restaurants, bar and kitchen facilities. The rear section will contain housekeeping, laundry and security facilities. It is understood that local Dawood Contracting has been appointed as the main contractor on this project.

Construction work has commenced on this development and is on track for completion by December 2013.

The project is progressing steadily with over (300) employees working on building the substructure and superstructure of the hotel.

Operated by the Singaporeanbased hotel chain, Alila, the hotel resort is envisioned to become a luxury hotel and spa development along with a cliff side restaurant and pool on top of a large mountain, 2,000 metres above sea level. The hotel is constructed to meet the world recognized LEED certification requirements, which demonstrates the project’s environmental and energy-efficient features, and being one of the first buildings that are environmentally friendly.

MAIN CONTRACTOR Dawood Contracting L.L.C (Oman) DESIGN CONSULTANT Atkins International (Oman) TENDER CATEGORIES Construction & Contracting,Hotels, Leisure & Entertainment TENDER PRODUCTS Hotel Construction

U.A.E. ABU DHABI MARINA CITY PROJECT PROJECT NUMBER MPP2678-U TERRITORY Abu Dhabi CLIENT National Investment Corporation (Abu Dhabi) CITY Abu Dhabi ZIP 46872 COUNTRY United Arab Emirates PHONE (+971-2) 681 8900 FAX (+ 971-2) 681 8700 DESCRIPTION Construction of Abu Dhabi Marina City consisting

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Construction Company (ACC) has been awarded a contract to carry out the interior finishing as well as the mechanical, electrical and plumbing (MEP) package on this development. The $90 million contract will involve work on interior cladding and finishing for all rooms, outlets, public places and the casino. The contract is scheduled to be completed in (18) months.

PROJECT MANAGER Hill International Ltd. (Egypt) MAIN CONTRACTOR Orascom Construction Industries (Egypt) Arab Contractors (Osman Ahmed Osman & Company) - Egypt MEP CONTRACTOR Arabian Construction Company - ACC (Egypt) TENDER CATEGORIES Construction & Contracting, Hotels

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(4 Nos.) eight-storey apartment buildings with a total of (210) high-end units, (67) villas and all associated infrastructure such as roads and landscaping.

STATUS New Tender REMARKS This development will be located close to Marina Mall in Abu Dhabi, with a plot area covering 174,000-sqaure metres.

Client has invited contractors to express their interest to build the scheme. UK’s Atkins is acting as the main consultant on this scheme.

MAIN CONSTULANT WSAtkins & Partners Overseas (Abu Dhabi) TENDER CATEGORIES Roads, Bridges &, Infrastructure, Agriculture & Irrigation, Construction & Contracting TENDER PRODUCTS Infrastructure Works Landscaping & Beautification Works, Residential Buildings, Roads Construction Villas Construction

GHAYATHI COMMUNITY HOSPITAL CONSTRUCTION PROJECT BUDGET $105,000,000

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PROJECT NUMBER WPR021-U TERRITORY Abu Dhabi CLIENT Abu Dhabi Health Services Company PJSC (SEHA) CITY Abu Dhabi ZIP 109090 COUNTRY United Arab Emirates PHONE (+971-2)410 2000 FAX (+ 971-2) 650 5151 EMAIL info@seha.ae WEB http://www.seha.ae DESCRIPTION Construction of 50bed capacity Ghayathi Community Hospital.STATUS New Tender REMARKS This project is in Abu Dhabi and will have a total built-up area of 40,000 square metres. It is part of client’s effort to improve and expand healthcare facilities in the region. US-based Hill International has been awarded an estimated $2-million project management contract on this scheme.

PROJECT MANAGER Hill International Ltd. (Abu Dhabi) TENDER CATEGORIES Construction

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BIGPROJECTME.COM

& Contracting, Medical & Healthcare TENDER PRODUCTS Hospital Construction

SOUTHERN SUN HOTEL PROJECT PROJECT NUMBER OPR546-U TERRITORY Abu Dhabi CLIENT East & West Properties (Abu Dhabi)ADDRESS Muroor Road, Opp. Al Jazira Club CITY Abu Dhabi COUNTRY United Arab Emirates PHONE (+971-2) 813 0000 FAX (+971-2) 445 5661 EMAIL ewp.info@ewp.ae WEB http://www.eastandwest. ae DESCRIPTION Construction of Southern Sun Hotel comprising four basement floors, a ground floor, four podiums, 17 upper floors plus two service floors and roof.

STATUS Current Project PERIOD 2013 REMARKS This hotel will be located at Plot 1-E12 on Mina Road in Abu Dhabi. China’s China State Construction Engineering Corporation has been appointed as the main contractor. Construction work is progressing on this development. Currently, 11 floors have been completed. Hong Kong’s Aedas is acting as the principal consultant. South Africa’s Southern Sun Hotels will operate and manage the property.

MAIN CONSTULANT Aedas (Abu Dhabi) PROJECT MANAGER Cumming International (Abu Dhabi) COST CONSULTANT Cumming International (Abu Dhabi) MAIN CONTRACTOR China State Construction Engineering Corporation (Abu Dhabi) TENDER CATEGORIES Hotels Prestige Buildings

LE MERIDIEN HOTEL MINA SEYAHI REFURBISHMENT PROJECT PROJECT NUMBER PR566-U TERRITORY Abu Dhabi CLIENT Wasl Asset Management Group (Dubai)

ADDRESS Muroor Road, Opp. Al Jazira Club ZIP 23073 CITY Abu Dhabi COUNTRY United Arab Emirates PHONE (+971-4) 398 6666 FAX (+971-2) 398 8111 EMAIL info@wasl.ae WEB http://www.wasl.ae DESCRIPTION Carrying out refurbishment of Le Meridien Hotel Mina Seyahi.

STATUS Current Project PERIOD 2013 REMARKS This hotel is located on Plot No. 3925304 in Dubai Marina. Local Golden Wing Contracting has been appointed as the main contractor.

MAIN CONSTULANT Brewer Smith Brewer Gulf (Dubai) MEP CONSULTANT Mario Associates Engineering Consultants (Dubai) STRUCTURAL CONSULTANT Brewer Smith Brewer Gulf (Dubai) INTERIOR DESIGN CONSULTANT Brewer Smith Brewer Gulf (Dubai) QUANTITY SURVEYOR Sweett Group (Dubai) MAIN CONTRACTOR Golden Wing Contracting L.L.C (Dubai), Bin Shafar Electromechanical Engineering L.L.C (Dubai) CIVIL ENGINEERING CONTRACTOR Honest Construction L.L.C (Dubai) TENDER CATEGORIES Construction & Contracting, Hotels TENDER PRODUCTS Civil Works, Construction & Addition Works, Hotel Construction, Modification, Repair & Refurbishing, Services

BUDGET $ 145,000,000

STATUS Current Project REMARKS This project will be built on the Corniche Road in Abu Dhabi. Local Square General Contracting Company has been appointed as the main contractor on this scheme. Local Syrconsult Consulting Engineers is acting as the main, design and MEP consultant. It is understood that 17th floor structural work is in progress on this scheme.

MAIN CONSULTANT Syrconsult Consulting Engineers (Abu Dhabi) MEP CONSULTANT Syrconsult Consulting Engineers (Abu Dhabi) DESIGN CONSULTANT Syrconsult Consulting Engineers (Abu Dhabi) INTERIOR DESIGN CONSULTANT I Concept International (Abu Dhabi) MAIN CONTRACTOR Square General Contracting Company L.L.C (Abu Dhabi) MEP CONTRACTOR Square General Contracting Company L.L.C (Abu Dhabi) ALUMINIUM PRODUCTS SUPPLIER Arabian Industries LLC (Abu Dhabi) ELECTRICAL PRODUCTS SUPPLIER Tornado Technology Services (Abu Dhabi) CEMENT AND CONCRETE PRODUCTS SUPPLIER Quick Mix Beton WLL (Abu Dhabi) FOUNDATIONS, ENABLING AND PILING CONTRACTOR National Services & Contracting Company NSCC (Abu Dhabi) SAFETY PRODUCTS SUPPLIER Combisafe Gulf FZE (Sharjah) TENDER CATEGORIES Hotels, Leisure & Entertainment, Prestige Buildings TENDER PRODUCTS Hotel Construction

PROJECT NUMBER BPR603-U

BINARY TOWER PROJECT, BUSINESS BAY

GRAND CONTINENTAL FLAMINGO HOTEL PROJECT

TERRITORY Abu Dhabi CLIENT Abu Dhabi Health Services Company PJSC (SEHA) CITY Abu Dhabi ZIP 28080 COUNTRY United Arab Emirates PHONE (+971-2) 626 2200 FAX (+ 971-2) 626 4888 PERIOD 30/06/2013

BUDGET $149,000,000 PROJECT NUMBER MPP1675-U TERRITORY Abu Dhabi CLIENT Omniyat Properties (Dubai) CITY Dubai

TENDERS

FIVE STAR HOTEL CONSTRUCTION PROJECT SARAYA DEVELOPMENT PROJECT NUMBER MPP2674-U TERRITORY Abu Dhabi CLIENT Aabar Properties L.L.C (Abu Dhabi) ADDRESS Abu Dhabi Trade Centre (Abu Dhabi Mall), East Tower, 4th Floor ZIP 37624 CITY Abu Dhabi COUNTRY United Arab Emirates PHONE (+971-2) 222 2233 FAX (+971-2) 222 2333 EMAIL info@aabarproperties. com WEB http://www.aabarproperties. com DESCRIPTION Construction of a five-star hotel comprising (5) basement levels, (4) podium levels, (32) floors and (4) levels of services.

STATUS New Tender REMARKS This project will be located at Saraya Development in Abu Dhabi Corniche. Client

“ THIS PROJECT WILL BE DEVELOPED AT BUSINESS BAY IN DUBAI AND OFFER COMMERCIAL SPACE WITH

CONSTRUCTION PROJECT BAHRAIN BAY WATERFRONT DEVELOPMENT

WATERFRONT VIEWS OF THE BUSINESS BAY AREA.” has invited companies to express interest to bid for the main contract on this scheme. Australia’s Confluence is acting as the project manager PROJECT MANAGER Confluence Project Management (Abu Dhabi) TENDER CATEGORIES Hotels, Leisure & Entertainment, Prestige Buildings TENDER PRODUCTS High-rise Towers, Hotel Construction

QATAR ABRAJ TOWERS PROJECT - ABRAJ QUARTIER DEVELOPMENT BUDGET $153,000,000 PROJECT NUMBER MPP2671-Q TERRITORY Qatar CLIENT United Development Company q.s.c. (UDC) - Qatar ADDRESS 6th Floor, Office No. 62, Al Fardan Centre, Grand Hamad Street CITY Doha ZIP 7256 COUNTRY Qatar PHONE (+974) 436 1542 FAX (+974) 435 5219 EMAIL info@udcqatar.com WEB http://www.udcqatar.com DESCRIPTION Construction of (2 Nos.) 40-story Abraj Towers.

STATUS New Tender REMARKS This project will be located at Abraj Quartier Development on Pearl Qatar real estate in Qatar. Client has invited contractors to submit bids for the main contract on this scheme. It has set a submission deadline for the first tower on August 05, 2012 and for the other tower is on August 13, 2012. Canada’s Webb Zerafa Menkes Housden (WZMH) is acting as the design consultant.

DESIGN CONSULTANT Webb

Zerafa Menkes Housden (Canada) TENDER CATEGORIES Prestige Buildings

MONDRIAN DOHA HOTEL PROJECT PROJECT NUMBER OPR557-Q TERRITORY Egypt CLIENT Al Hamla Holding (Qatar) CITY Doha COUNTRY Qatar DESCRIPTION Construction of Mondrian Doha Hotel comprising two basements, a ground floor, a podium and (25) upper floors STATUS Current project REMARKS This hotel will be located in Lusail area of Qatar. Local SEG Qatar has been appointed as the main contractor. Construction is already underway. Almost six floors have been completed.

Local South West Architecture is acting as the design and supervision consultant. The hotel will be operated by Morgans Hotel Group.

MAIN CONSULTANT South West Architecture (Qatar) DESIGN CONSULTANT South West Architecture (Qatar) MAIN CONTRACTOR Societe d Enterprise & de Gestion - SEG W.L.L (Qatar) ALUMINIUM PRODUCTS SUPPLIER Alumco Qatar WLL (Qatar) STEEL PRODUCTS SUPPLIER Blue Steel Factory W.L.L (Qatar) FOUNDATIONS, ENABLING AND PILING CONTRACTOR Navayuga Engineering Company W.L.L (Qatar) TENDER CATEGORIES Hotels Prestige Buildings TENDER PRODUCTS High-rise Towers, Hotel Construction

BAHRAIN JW MARRIOTT HOTEL

PROJECT NUMBER MPP2597-B TERRITORY Bahrain w CLIENT Remza Investment Company (Bahrain) ADDRESS B63 Al-Qadisiya Avenue CITY Manama COUNTRY Bahrain PHONE (+973) 1782 2122 DESCRIPTION Construction of 50-storey JW Marriott Hotel on a waterfront development.

PERIOD 2016 STATUS New tender REMARKS This project will be located in Bahrain Bay Waterfront Development. It is being implemented by local Khaleej Capital a joint venture of Qatarbased Business Trading Company and the local Remza Investment Company. The scheme will consist of a 50-storey tower on top of a 5-storey podium, with three floors of underground parking. The development will cover a total area of 97,000 square metres. East side of the tower will contain 276 hotel rooms and related facilities and the west side will contain 96 serviced apartments. Five-storey podium will contain the banquet hall and meeting facilities, lobbies and common areas, in addition to 200 car parking spaces.

The underground car park will contain 220 car parking spaces.

Contractors have been invited to pre-qualify for the main contract on this scheme. Dubai branch of Los Angeles-based design studio Creative Resource Associates (CRA) has signed an agreement with Khaleej Capital to design the interiors of the hotel.

DESIGN CONSULTANT Yousif Dawood Al Sayegh Consultants (Bahrain) INTERIOR DESIGN CONSULTANT Creative Resource Associates (CRA) - Dubai TENDER CATEGORIES Hotels Construction & Contracting Leisure & Entertainment Prestige Buildings TENDER PRODUCTS High-rise Towers, Hotel Construction

SEPTEMBER 2012

MIDDLE EAST

ZIP 30166 COUNTRY United Arab Emirates PHONE (+971-4) 306 3300 FAX (+ 971-4) 306 3333 EMAIL info@omniyat.com WEB http://www.omniyat.com DESCRIPTION Construction of 25-storey Binary Tower offering commercial spaces.

PERIOD 2014 STATUS Current Project REMARKS This project will be developed at Business Bay in Dubai and offer commercial space with waterfront views of the Business Bay area. Office space will range from 600 square-feet to 1,935 square-feet. The civil contracting unit of Dubai-based Drake & Scull International (DSI) has been appointed as main contractor to build the tower. The contract is worth $54.5 million.

PROJECT MANAGER Hamilton Project Management (Dubai) MAIN CONTRACTOR Drake & Scull International PJSC (Dubai) TENDER PRODUCTS Prestige Buildings TENDER PRODUCTS High-rise Towers

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Exhibition Highlights Building Construction Requirements

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Please Contact: Ms. Jenitha Martin, Project Manager Mobile: + 968 94041616 Email: info@alnimrexpo.com

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SEPTEMBER DIARY

INTERBUILD JORDAN ZARA EXHIBITION CENTRE, AMMAN SEPTEMBER 10 – 13 Inter Build Jordan is the only event in Jordan for construction, Building materials, interior design and decoration industry.

Inter Build Jordan is a comprehensive engineering and trading event covering all engineering sectors, including: construction, consultancy, architecture, electrical, mechanical and chemical divisions.

IRAN CONFAIR TEHRAN PERMANENT FAIR GROUND SEPTEMBER 15 -18 Now in its 12th year, this international show based in Iran provides an introduction to domestic and foreign industrial achievements and productions.

PROJECT IRAQ ERBIL INTERNATIONAL FAIR GROUND SEPTEMBER 17 – 20 Globally acclaimed, Project Iraq is organised by Riyadh Exhibition Co Ltd and will showcase building materials, airport equipment, architectural finishes, asphalt machinery, sanitary ware for bathrooms, construction tools and equipment, earth moving equipment, false ceilings and ceiling materials, floor coverings and others.

INTEGRATED HOUSE EXHIBITION RIYADH INTERCONTINENTAL HOTEL, KSA SEPTEMBER 24 – 27 IHE invites local and international manufacturers, producers and

suppliers of different products with their advanced technologies in furniture, lighting, interior decor, curtains, kitchens, doors, tiles, roofing systems, HVAC and sanitary equipment.

CITYSCAPE DUBAI WORLD TRADE CENTRE OCTOBER 2 – 4 The real estate exhibition will run alongside the World Architecture Congress, Retail City Conference and Global Real Estate Summit. Speakers will include Sherif Anis, Thierry Parret and Steven Miller.

HAPPENING THIS MONTH...

15,000

VISITORS have pre-registered for Constromat India, beginning September 13, Hyderabad.

BIG 5, FM EXPO, PMW LIVE & MEC DUBAI WORLD TRADE CENTRE NOVEMBER 5 – 8 Returning to Dubai World Trade Centre three weeks earlier than usual, this yer The Big 5 will run alongside PMV Live, Middle East Concrete and FM Expo.

CITYSCAPE: 2011 marked the 11th edition of CityScape Global, hosted at Dubai World Trade Centre.

INTERNATIONAL BUDPRAGRES MINSK EXPO, BELARUS SEPTEMBER 4 – 7 Budpragres has previously been named exhibition of the year in the Republic of Belarus and still attracts construction industry professionals from the rest of the Republic, Baltic States and CIS Countries. Main opportunities cover building and construction, interior decoration, building materials, and municipal services.

KAZBUILD SPRING ATAKENT INTERNATIONAL EXHIBITION CENTRE, KAZAKHSTAN SEPTEMBER 4 – 7 Exhibitors specialising in construction and interiors from around the world, will gather for four days at this exhibition organised by ITE Group Plc. Now in its seventh year, the exhibition will cover construction, interiors, heating, ventilation, ceramics and stone.

HOSPITAL BUILD & INFRASTRUCTURE ASIA KARTIKA EXPO, JAKARTA SEPTEMBER 5 – 7 This is the fourth congress discussing opportunities in the fast growing healthcare sector. Attended by senior level executive and leading professionals involved in the healthcare business, the agenda will cover infrastructural innovations for hospital building and operation.

The show is a great networking opportunity for new investors and business professionals.

MEGABUILD ISTANBUL CNR EXPO CENTRE, ISTABLUL SEPTEMBER 6 – 9 Providing access to a lucrative construction market , MegaBuild Istanbul covers all things construction, material supply and fittings. Organised by CNR Ekspo Tradefairs, attendees are professionals in project management, purchasing management, civil engineering,

architecture, interior design, mechanical engineering, and contracting.

CONSTRUCT PHOENIX CONVENTION CENTRE, USA SEPTEMBER 12 – 14 This US-based event is organised for architects, specifiers, engineers, facility manager, building owners, CSI members, general contractors and designers. The show offers accredited education, unparalleled networking and a full exhibit hall floor for the commercial building industry.

CONSTROMAT INDIA HYDERABAD INTERNATIONAL TRADE & EXPO CENTRE SEPTEMBER 13 – 16 Running alongside Buildmat India, Facimat India, Inframat India and HITEX Build for India, Constromat will focus on construction, mining machinery, and technologies for infrastructure. Around 300 exhibitors are expected at the show, and more than 15,000 visitors have pre-registered.

CTBUH WORLD CONGRESS SHANGHAI GRAND HYATT, SHANGHAI SEPTEMBER 19 – 21 Specialising in the expertise behind tall buildings, the congress will feature keynote speeches from a number of high profile architects and designers, industrialists and advocates of sustainability and urban development. In addition, exhibitors will gain maximum exposure for their brands.

Intelligent Building Systems CNIT Paris La Defence, France: September 26 – 27 Intelligent Building Systems is the unique events for building and construction industry in France. A conference is also held during the exhibition.

SEPTEMBER 2012

MIDDLE EAST

MENA 2012

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WORD FROM THE WEB

BIGPROJECTME.COM

A New Beginning...

Gavin Davids says it’s been a long time coming, but with the Ministry of Labour revamping its regulations, construction workers may finally be getting a fair go

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MIDDLE EAST

GAVIN DAVIDS

SEPTEMBER 2012

IT’S THE START of a new era here at Big Project ME as we undertake a complete revamp of both the magazine and web presence, and it’s been quite exciting seeing the changes being implemented, even though it’s been quite a frustrating process at times!

That’s understandable though, given the scope of what we’re hoping to achieve, with the website set to be a day to day resource for news, analysis and insight, while the magazine seeks to return to its roots, focusing on providing in depth analysis on the projects and issues that have served to put this region on the map.

Given how challenging this has been, I can only feel sympathy for those in charge of revamping something as complex as the UAE labour laws, the latest version of which came into effect early in August.

This is an issue that a number of people are interested in, a fact evident by the response we’ve been getting from the stories online, and it’s been clear that things have not been well in the industry when it comes to labourer welfare.

We’ve all heard tales of workers being left unpaid for months, working illegally long after their visas expired and being forced to work in conditions that could be considered life-threatening at best.

Therefore, it’s heartening to see the government finally realising that it has to protect its most valuable assets in the construction industry and taking authoritative measures to ensure that labourers aren’t exploited by unscrupulous employers.

The new regulations cover violations such as delaying the renewal of labour cards by 60 days or more after expiry, where the employer will be subject to a fine of $272 per month.

Other violations that have received updates include the falsification of Emiratisation records, providing incorrect information in the wage protection system, violating the midday break rule and the non-participation in the aforementioned wage protection system.

In addition, the Ministry is cracking down on the non-settlement of employee wages for 60 days or more and the noncompliance with labourer’s housing and accommodation regulations, as laid out by the government.

Speaking a Ramadan Majlis recently, members of the Federal National Council, senior police and labour officials and scholars discussed a broad range of issues relating to the legal framework of the labour market, the rights and duties of workers and the common violations committed by both employers and employees.

While this meeting itself was a significant step forwards, it was most encouraging to see the acknowledgement that a transparent strategy needed to be implemented to help address a number of problems. A lot of the talk centred on the education of workers about their rights and duties, a decision I can only applaud.

However, as I alluded to earlier, this is no easy task and it’s going to take a lot of work, energy, time and financial commitment, but I’m confident that we’re on the right path with this approach.

I genuinely hope that the rest of the construction industry embraces the Ministry’s efforts and help us all move towards a more efficient and happier workforce. After all, where would we be without them? n

WEDNESDAY, 4TH DECEMBER ARMANI HOTEL DUBAI, BURJ KHALIFA The Big Project Awards are the industry’s premier recognition of the best and brightest in the regional construction and sustainability industries.

An acknowledgment of the work being done to drive innovation and excellence, the awards not only reward companies in the GCC, but also the individuals that are helping to shape the market in which we operate.

Held at the Burj Khalifa’s Armani Ballroom, a venue that perfectly encapsulates the ideals of imagination, innovation and sustainability on a grand scale, the Big Project Awards will see companies from around the GCC feted by their peers at a black-tie dinner and ceremony on December 4, 2012.

TABLE BOOKING AND FURTHER INFORMATION MARKETING MANAGER | Carole McCarthy +971 4 440 9117 | carolem@cpidubai.com

NOMINATION ENQUIRIES EDITORIAL | Melanie Mingas +971 4 440 9117 | melanie@cpidubai.com

SPONSORSHIP OPPORTUNITIES COMMERCIAL DIRECTOR | Michael Stansfield +971 4 440 9128 | michael@cpidubai.com

Interested companies are invited to submit their nominations for this most prestigious of awards.

Gold Sponsor Endorsed by:

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