Tenders for Dhs25 billion boost September business
Announcements on Burj Dubai, Dubai Mall, Dubai Metro, Dubai Airport and others are expected
September is likely to be the most active month in the recent history of the flourishing construction sector of Dubai. Some Dhs25 billion worth of tender packages are expected to be announced this month.
At the time of going to press, these included the expected announcement of the main contractor for the the multibillion dirham world’s tallest tower, Burj Dubai, and also the world’s biggest mall, Dubai Mall. The latter is estimated to cost around Dhs2.6 billion.
Developer Emaar Properties has been shy about putting a height and cost to Burj Dubai. The height it wants to keep secret for obvious reasons; the cost, Emaar has left to the main contractors bidding for the project. The two properties are being built in a complex off Sheikh Zayed Road, which Emaar chairman Mohamed Ali Alabbar describes as, “the most expensive square kilometre in the world.”
Apart from these two premium Emaar developments, other major tenders are due to be announced this month.
Indications are that Qassim Sultan, director general of Dubai Municipality, will name the prequalifiers for the Dhs14.23 billion Dubai Light Rail Project (see Issue 37, page 1) during the next week or so. Dubai Municipality is the promoter for the project.
The invitation to prequalify was forthe contract for the civil works of the Dubai Light Rail Project that envisages two lines, of which 30% is going to be underground, mostly in the central business districts of Deira and Bur Dubai. The line will stretch from Deira to Jebel Ali in the initial phase of its development.
Another major announcement is expected by the construction sector from the Dubai International Airport. The Dubai Department of Civil Aviation, which is overseeing the airport’s final expansion and upgrade, is scheduled to announce invitations for the largest remaining tender package for its Dhs15 billion project.
The contracting industry the world over is waiting eagerly to bid for the estimated Dhs3.5 billion tender invitation for the fit-out works at Terminal 2 expansion project. The announcement is expected to be made on the 11th September.
Another major formal announcement this month could be from Estithmar Realty. The company is the developer of the Dhs5.2 billion Jumeirah Beach Residence project. It is said to have finalised the contractor for its Package 5. The contract is estimated by the construction industry to be in the region of Dhs600 million and relates to the building of five residential towers with heights ranging from 25 to 44 storeys.
The other five contractors that are developing other parts of the 1.7 km long project, include locals Al Habtoor Engineering, Arabtec, Saleh Construction, Al Shafar General Contracting and Dubai Civil Engineering. These five Dubai projects alone are estimated to be worth some Dhs25 billion in value, and all are coming to a crucial stage this month.
“All the big people have tendered for the big projects. We are all waiting to hear,” said the commercial manager with a leading contracting firm. Apart from the above projects, there are several other major on-going developments from the likes of Nakheel, Emaar, Damac, Omnix, Dubai Festival City, the Dubai Internet City and the Dubai Media City, which could add a few more millions, if not billions to September.