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ASGC chief, Bishoy Azmy, highlights the importance of selecting the right projects for success

CBNME takes a tour of the $4bn Sobha Hartland project, being developed by Sobha Group Deadlines for nominations extended for Construction Innovation Awards 2017 A monthly round-up of the global and regional construction equipment market

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On the web Keep up to date with all the latest news, features and much more on our website.

// contents

September 2017 // Issue #31

8 Ed Note 10 News 24 Comment

Portacool talks about negative effects of heat on productivity

26 Comment

Bentley Systems’ Andy Smith discusses BIM to redefine modern structures

28 Cover Story

The Recipe for success is right selection, says ASGC’s Bishoy Azmy

34 Site Visit

A tour of the $4bn Sobha Hartland project by Sobha Group

construction business news me // September 2017 //


CEO Wissam Younane Managing Director Walid Zok Director Rabih Najm Group Publishing Director Diarmuid O'Malley Group Sales Director Joaquim D'Costa +971 50 440 2706

Business Development Director Rabih Naderi +966 50 328 9818

Editor Paromita Dey Photography Dhananjay Shekar Poojari Art Director Aaron Sutton Marketing Executive Mark Anthony Monzon

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44 Case Study

The UAE’s first 3D printing facility by Immensa Technology

48 Facilities Management

The FM industry experts re-adjust to suit the current economic climate

54 CIA 2017

Deadlines extended for Construction Innovation Awards 2017

82 Supplier News 84 Editor’s Pick

For all commercial enquiries related to Construction Business News ME contact T +971 55 339 5097 All rights reserved © 2015. Opinions expressed are solely those of the contributors. Construction Business News ME and all subsidiary publications in the MENA region are officially licensed exclusively to BNC Publishing in the MENA region by Construction Business News ME. No part of this magazine may be reproduced or transmitted in any form or by any means without written permission of the publisher. Images used in Construction Business News ME are credited when necessary. Attributed use of copyrighted images with permission. All images not credited courtesy Shutterstock. Printed by International Printing Press


// construction business news me // September 2017

Inspiring Innovative Leadership

Leaders in Project Management

// Editor's note

editor’s note

Optimism in the air O ne of the region’s premier real estate events, Cityscape Global, is just around the corner and like the previous years, there is a sense of optimism in the air. Developers have started chalking out their plans for showcasing their latest offerings to the investors and the end-users. Last month, Invest Group Overseas (IGO) launched a new tower in Jumeirah Lakes Towers (JLT) – one of the last plots of land to be developed in that area. According to the latest records from the Dubai Land Department (DLD), the first six months of 2017 indicates that Dubai real estate transactions totalled about $36bn, an increase of 16.8% from the corresponding period of 2016. This was achieved through 35,571 sales, mortgages, and other transactions, an increase of 25.9% from the first half of 2016. The DLD report showed that land sales generated as much as $24.8bn from ap-


proximately 8,000 transactions, while building sales involving 3,887 transactions brought in $2.7bn. Unit sales crossed the $8.4bn mark. Not to forget, the Expo 2020 deadline is inching closer. The UAE is in the process of injecting lumpsum funds in the development of infrastructure, commercial, retail, and developmental projects. The information on the current status of Dubai’s real estate underlines the ambitious steps of the country towards diversification in the face of current subdued economic conditions. In the recent scenario, real estate activity has developed and branched out into varied activities that complemented overall growth in the sector, and broadened the choices and requirements of the end-users. People have pinned their hopes on Cityscape Global to infuse the much-needed enthusiasm in the real estate sector, so do we! It’s a wait and watch game to exactly gauge the situation in the coming months.

// construction business news me // September 2017

Paromita Dey Editor @paromitadey1


An update from around the region

For News, features and more, Visit Follow us on twitter for breaking news: @cbn_ME Follow us on Facebook for up-to-the-minute breaking news


His highness Sheikh Mohammed visits Expo 2020 Dubai site Vice President and Prime Minister of the UAE and Ruler of Dubai, HH Sheikh Mohammed bin Rashid Al Maktoum, paid a visit to the Expo 2020 site office, along with HH Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai. Upon arrival, HH Sheikh Mohammed was received by HH Sheikh Ahmed bin Saeed Al Maktoum, chairman of the Expo 2020 Dubai Higher Committee, president of Dubai Civil Aviation Authority, chairman of Dubai Airports, chairman and chief executive of Emirates Airline and Group; and Reem Al Hashimy, the UAE Minister of State for International Cooperation and Dubai Expo 2020 bureau director general, reported WAM. HH Sheikh Mohammed conducted a helicopter tour of the site to see its progress. He was briefed by department heads and directors on the considerable advancements made by the expo team in the areas of real estate and development, international participants, legacy, business development and integration, and youth connect. He also underlined the importance of youth being integrated into the Expo journey and the key work being carried out involving them in planning both for Expo 2020 itself and the social, economic, physical, and reputational 10

legacy that will follow. HH Sheikh Mohammed added that he was pleased to see the progress made by Roads and Transport Authority (RTA) in the construction of the metro link to a new station on the expo site, Route 2020, which will be one stop from the Al Maktoum International Airport, which is predicted to become the biggest and busiest in the world, following completion of expansion in 2025. He concluded by emphasising the role of thousands of volunteers who will be recruited to ensure that the culture and values of the UAE will be reflected throughout

// construction business news me // September 2017

Expo, which is expected to be visited by 25 million, including 70% from overseas. Sheikh Ahmed bin Saeed Al Maktoum commented: “HH Sheikh Mohammed was a driving force behind our successful campaign to win the right to stage the next edition of the World Expo in 2020. He has continued to be extremely supportive of our mission on our journey since then towards October 2020 and is always interested in our progress. We have had private and public commitments for participation from more than 120 countries and have recently announced our seventh commercial premier partner.

“His Highness’s visit and continuing guidance is a source of great encouragement and inspiration as we work towards a World Expo that will have a long and meaningful impact on both the UAE and the wider region.” Expo opens on October 20, 2020, and closes six months later, on April 10, 2021. More than 200 participants, including nations, multilateral organisations, corporations, and educational institutions are expected to take part. It will be the first World Expo to be held in the Middle East, Africa and South Asia (MEASA) region and the Arab World.


Nakheel awards AED430mn contracts for Deira Islands Master developer, Nakheel, has awarded four contracts, collectively worth more than AED430mn, for Deira Islands, its new 15.3 sqkm waterfront city, currently under construction in Dubai. The contracts, covering islands A and B of the fourisland development, are for a sewage treatment plant, a district cooling plant, a substation, and piling work for an 800-room resort. Nakheel has now invested nearly AED7.5bn in infrastructure and construction contracts for Deira Islands so far. More contracts are due soon. The latest contracts awards are AED228.3mn to VWS Emirates/Butec SAL (Dubai Branch) under a joint venture for the design, construction, and 10 years’ operation and maintenance of a sew-

age treatment plant; nearly AED100mn to Emirates District Cooling (Emicool) to build a district cooling plant for Nakheel’s Deira Islands Night Souk and nearby Nakheel buildings, with 10 years’ operation and maintenance; AED90.5mn for a 132/11kV substation to AG Power, covering the south island (Island A); and AED14.5mn to Delta Foun-

dations (Dubai branch) for piling works for the 800room RIU beach front resort, Nakheel’s joint venture hospitality project with Spain’s RIU Hotels and Resorts. A construction tender for the resort was issued in May, and is due to be awarded by the end of this year. With a diverse range of retail projects, resorts, hotels and residential devel-

opments, Deira Islands will transform Dubai’s Deira district into a hub for tourism, retail and entertainment. The waterfront city will add 40 km, including 21 km of beach, to Dubai’s coastline and pave the way for the development of hundreds of hotels, residences and attractions. Deira Islands is expected to have a population of 250,000 and to create 80,000 jobs. In April, Nakheel awarded a construction contract worth AED4.2bn for Deira Mall, the centrepiece of Deira Islands and Dubai’s biggest shopping mall in terms of retail space. Meanwhile Deira Islands Night Souk, with more than 5,300 waterside shops and restaurants, is under construction and due to open in 2018.


Arabtec reports AED42mn net profit in H1 2017 Dubai-based contractor, Arabtec, reported a net profit of AED42mn in the first six months of 2017, as compared to a net loss of AED243mn in the same period in 2016. Revenue for the period ending June 30, 2017, was reported at AED4.2bn, a 2% increase from AED4.1bn in the same period last year. Net profit attributable to the parent company was AED57mn compared to a net loss of AED233mn in H1 2016. Group chief executive officer, Hamish Tyrwhitt, said: “We continue to align our business with our strategic

roadmap which has been reflected in the performance of the group. The recapitalisation programme was the key deliverable for us in Phase 1 of our strategic roadmap, which we successfully concluded in June, leaving us to focus on risk management and business transformation. We will also remain on track to optimise the delivery of our AED17.4bn backlog and continue to work on turning risks into opportunities through the resolution of legacy claims and collecting receivables. “Having begun the imple-

mentation of the 4-Gate Work Winning Process, we are already seeing an improvement in our work winning rate, adding to our backlog of quality projects and are optimistic about the pipeline of future tenders. “We are now concentrating on aligning the synergies of our operating entities to become more productive and cost effective and have begun positioning the business to deliver Phase 2 of our strategic roadmap. We continue to look to improvements in the future that will contribute to the successful

and sustainable future for all our stakeholders.” The key deliverable in H1 2017 was the completion of the recapitalisation programme in June which has stabilised the business enabling the group to look to the future. Arabtec has made good progress implementing robust risk management, refocusing on core competencies and key geographies, creating clear accountability, managing and tracking performance, and streamlining business processes which will continue to improve productivity.

construction business news me // September 2017 //




Majid Al Futtaim to develop OMR45mn City Centre Sohar UAE-based conglomerate, Majid Al Futtaim, is set to invest OMR45mn in Oman with City Centre Sohar, due to open in late 2018. Ghaith Shocair, chief executive officer – shopping malls, Majid Al Futtaim Properties, said: “As part of Majid Al Futtaim’s growth strategy, we aim to be at the forefront of Oman’s rapid development in the retail industry and bring the best shopping, food and beverage (F&B), and entertainment experiences to Sohar with this contemporary urban project. “By introducing our City Centre brand to Sohar, we will be enhancing the city’s retail landscape with more than 130 diverse stores, an 8,400 sqm Carrefour Hypermarket, a nine-screen VOX

Cinemas, in addition to an array of dining and entertainment options. Majid Al Futtaim’s investment in the city of Sohar underscores our commitment to creating great moments for everyone every day.” City Centre Sohar, conveniently located on Batinah Highway, will add 40,000 sqm of gross leasable area to the

Sultanate’s booming retail sector. The construction contract for City Centre Sohar has been awarded to the Oman-based company, Al Turki Enterprise, and the work will commence in November 2017. City Centre Sohar has set a target to achieve LEED Gold status – an energy-efficient design certification – within three months of opening.

This will include implementing sustainable building best practice with enhanced insulation, LED lighting, and solar panels that will contribute to the centre’s energy requirements. Furthermore, condensation from air-conditioning and ventilation systems will be used for irrigation. In addition to City Centre Sohar, Majid Al Futtaim Properties owns and operates the newly upgraded City Centre Qurum, as well as City Centre Muscat, which recently underwent an OMR27mn expansion. Community-centred mall, My City Centre Sur, is also in the pipeline, as is Mall of Oman, set to be the Sultanate’s biggest shopping centre and representing an investment of OMR275mn.


Arabtec bags AED363mn Dubai South mall contract Arabtec Holding’s whollyowned subsidiary, Arabtec Construction, has been awarded an AED363mn contract for the construction of the Dubai South Mall. The contractor has been awarded this project by the joint venture between Emaar Properties and Dubai World Trade Centre. The mall will have a built up area of approximately 83,000 sqm, comprising a ground level consisting of a grade level parking and a hypermarket, the next two levels will include food and beverage (F&B), cinema, family enter12

tainment facility, food court, and retail shops. With the project work to commence this month, the mall will be located in Dubai South, a 145 sqkm city on Dubai’s southern border that encompasses the Al Maktoum International Airport, the Expo 2020 site, and a major logistics district. Group chief executive officer, Hamish Tyrwhitt, said in a statement to Dubai Financial Market (DFM): “We continue to build strong relationships with our clients and are pleased to announce the award from the JV for the construction of the Dubai

// construction business news me // September 2017

South Mall and look forward to delivering another project at the Expo 2020 site. Our recent project wins demonstrate the trust we are developing with our clients to deliver projects. “We are also building that

trust with our shareholders, in our ability as management, to then deliver on those projects. We continue to adopt a selective risk management approach in order to capture jobs within our core competencies and strategic focus.”


Aldar Properties’ first half net profits decrease 3.8%

Abu Dhabi-based real estate developer, Aldar Properties, reported a 3.8% drop in its net profits for the first six months of 2017, to AED1.26bn from AED1.31bn in the same period last year. The company reported H1 2017 revenue of AED2.93bn supported by revenue recognition on developments under construction. In addition, Aldar posted Q2 2017 net profit as AED620mn as against AED654mn in the same period last year. Commenting on the results, HE Mohamed Khalifa Al Mubarak, CEO of Aldar Properties, said: “Aldar has delivered a solid set of results for the first half of the year. Robust occupancy across our portfolio of investments demonstrates our resilience as an asset manager and the success of our most recent residential development, The Bridges, clearly shows there is

strength in the Abu Dhabi property market. The unprecedented response to The Bridges, which sold out in a matter of weeks, showcases the opportunities presented by the midmarket and supports our strategy to continue to focus on this segment. “The Abu Dhabi government’s unveiling of an AED12bn development plan for Yas Island will accelerate its transformation into a global urban, entertainment, and business hub. Aldar is pleased to have been chosen to develop the AED1bn media and entertainment zone in the project, set to become home to thousands of working professionals, who will further enrich the Yas Island destination.” In April, Aldar launched its 1,272-unit, AED1.3bn mid-market residential development, The Bridges, on Reem Island. The launch

met with a very positive response with all three towers released to the market sold out in weeks. This contributed to Aldar’s AED1.8bn of development sales value during the first six months of 2017. During the second quarter, twofour54 appointed Aldar as the strategic real estate partner of the Abu Dhabi Media Zone Authority, to develop a new, permanent home as part of an AED12bn development on Yas Island. In addition, it is set to attract 5,000 working professionals from the media sector, further building the Yas Island community. Three key developments, Ansam, Al Hadeel, and Nareel Island, are set for handover from Q4 2017, with construction entering final stages. Al Merief, Meera, Mayan, Yas Acres, and West Yas are all progressing well and on track for their respective completion dates. Aldar achieved stable occupancy above 90% across its residential and office portfolio as well as Yas Mall. The hospitality portfolio recorded occupancy of 78%, against the Abu Dhabi market of 70%. During the quarter, Aldar’s flagship retail asset, Yas Mall, launched a 24-hour mega sale over Eid Al Fitr, which was the first of its kind in the emirate. Four new investments were committed during the first six months of 2017, completing Aldar’s AED3bn investment programme.

Siemens wins substation deals in Egypt The Egyptian Electricity Transmission Company (EETC) has awarded Siemens a contract for the construction of two new substations. These will transmit electricity from the Burullus power plant, set to become the world’s largest combined cycle station located at Kaft El Sheikh Governorate, to supply up to 15 million Egyptians with reliable electricity. The two new substations at Samanoud and Aboul Matameer will enable power delivery to Egyptian homes as well as different industries located in the Delta region. They will also help increase the capacity of the national grid, which is a key requirement to foster economic growth as defined by the goals of Egypt’s vision 2030, Siemens said. Gamal Abdel Rahim, chairman of EETC, said: “To enable more resilient, efficient, and reliable power systems, Egypt needs to enhance the country’s transmission lines to accommodate the increase in power generation capacity. This is why the EETC has been redefining the conventional approaches to upgrade the grid infrastructure across the country.” As part of the agreement, Siemens will be responsible for the design, engineering, construction, supply, installation, and commissioning of the two new 500/220kV substations that will be delivered on a turnkey basis. This includes gas-insulated switchgear (GIS); power transformers; control systems; as well as protection and telecommunication equipment. Emad Ghaly, CEO of Siemens Egypt, said: “An efficient and robust electricity network is an essential part of Egypt’s vision to drive long-term economic growth. We are pleased to build on a trusting relationship with EETC to boost grid infrastructure.” The fasttrack project is being executed in consortium with El Sewedy Electric for the construction work of the substations. Completion is scheduled within 15 months from signing the contracts. Once constructed, the substations are set to become one of the largest turnkey substations ever supplied to the national grid, Siemens said.

construction business news me // September 2017 //



// Snapshot

Dubai-based developer, Meraas, announced that it has launched the sale of Nikki Beach Residences, 63 exclusively branded units, making it the first freehold property in Jumeirah 1


Damac posts AED1.6bn net profit in H1 2017 Dubai-based developer, Damac Properties, reported a net profit of AED1.6bn and a total revenue of AED3.5bn in the first half of 2017. Damac’s booked sales for H1 stood at AED4bn, and delivered 1,071 units in Damac Hills. Total cash and bank balances stood at AED8.6bn, while earnings per share for H1 came to AED0.26. Hussain Sajwani, chairman of Damac Properties, said: “The property market in Dubai continues to demonstrate further stabilisation, and our medium- to longterm outlook remains positive as Damac continues to develop innovative products that appeal to both end users and investors. Damac’s strong H1 sales performance can be attributed to continued demand for a 14

number of our projects including Aykon City, Damac Hills, and Akoya Oxygen.” An additional 1,071 units were delivered at its Damac Hills master development in H1 2017, bringing the total number of delivered units there to over 3,100. In February 2017, Damac celebrated its flagship golf development with the opening of the Trump International Golf Club Dubai, offering world-class golfing on an 18hole championship course and leisure, dining, and entertainment experiences. Construction continues on the 5,000 villas at its Akoya Oxygen master community in Dubailand, with a further 1,300 villas, scheduled to begin construction in September 2017. Akoya Oxygen includes contemporary residential properties of various

// construction business news me // September 2017

sizes surrounding an 18-hole championship golf course, along with an organic produce market, hydroponic café, luxury wellness centre, outdoor yoga enclave, and retail outlets featuring wellknown brands. Construction is almost complete on the Damac Towers by Paramount Hotels & Resorts, a four-tower, 250m high development consisting over 2,000 units, and includes a luxury hotel and serviced branded residences in Business Bay. Progress on the Damac Heights, an 86-floor tower with views of the sea and Palm Jumeirah, is also nearing completion. Sajwani added: “Thanks to Dubai’s visionary leadership and the government’s successful efforts in attracting investors and visitors,

Dubai continues to show economic growth in spite of the turbulence seen in 2016 with the drop in oil prices and sluggish global trade. GDP growth continues to remain positive at 2.85% in 2016 and Dubai remains one of the most popular destinations for global travellers, attracting over eight million visitors in H1 2017, compared to 7.3 million for the same period last year. “This growth also reflects on Dubai’s real estate sector which, according to the Dubai Land Department, saw property transactions in H1 2017 of AED132bn, a sizeable gain over AED113bn during H1 2016. We are optimistic that the sector will continue to sustain this growth through the remainder of the year.”


Emaar Hospitality unveils hotel project in Downtown Dubai The hospitality and leisure subsidiary of Emaar Properties, Emaar Hospitality Group, announced Vida Dubai Mall, a new hotel project linked directly to The Dubai Mall. Vida Hotels and Resorts already has two operational hotels in Dubai – Vida Downtown and Manzil Downtown. Additionally, the brand has seven upcoming projects, including Vida Dubai Mall, in the UAE and three in international markets including Saudi Arabia, Bahrain, and Egypt. Opening to direct views of Burj Khalifa, the project is a two-tower development with the 195-room Vida Dubai Mall hotel and 614 serviced residences under Vida Residences Dubai Mall. The hotel and 380 serviced residences form part of a 55-storey tower, while the rest of the serviced residences are located in a second tower, 38 storeys high. The two towers are linked

by a seven-storey podium with a wide range of amenities including restaurants, retail, and leisure attractions. The podium-level amenities include an outdoor swimming pool, sunbathing deck, kids club, yoga deck, and events spaces. Olivier Harnisch, CEO of Emaar Hospitality Group, said: “Vida Hotels and Resorts has set a distinctive identity in the hospitality sector of Dubai as stimulating environments where convenience meets interactivity, reflecting the aspirations of the new generation of travellers. With its focus on serving as lively and vibrant hubs where inspiring minds can create, connect, and come alive, Vida hotels are fast expanding their footprint with 10 upcoming projects in the UAE and international markets. “Vida Dubai Mall in Downtown Dubai, linked directly to the most visited destination in the world, underlines the

growth of this home-grown brand that offers exceptional ambience and service standards. The hotel project celebrates the brand value of Vida, which means ‘life’ in Spanish, highlighting warmth, simplicity and creativity in uniquely design-led spaces. Highlighting our competencies in mixed-use project management, Vida Dubai Mall will be a sought-after destination for the young and trendy, and offer seamless service for guests and residents in a spectacular location in the heart of the city.” Vida Dubai Mall will feature a suite of facilities for guests and visitors including signature restaurants, meeting rooms, salons, events venues, and other amenities that will be unveiled in due course. It will also have a direct link to the retail podium of the upcoming Address Fountain Views residential and hotel project in Downtown Dubai, adding to the choice of residents.

// Bitesize news

Armani Hotel Dubai has been awarded the prestigious Green Globe certification for their efforts to promote a sustainable environment and community. JCDecaux won with its Emirati partner, DXB Media Advertising, a new street furniture contract in Dubai for 10 years, following a competitive tender by RTA.

De Boer Middle East has won the contract to build a high-specification semi-permanent exhibition hall at King Abdullah Economic City, in Jeddah, Saudi Arabia.

Dubai-based property developer, Emaar, has launched an exclusive collection of elegantly designed villas, Golf Links, located along an 18-hole championship golf course in Dubai South.

construction business news me // September 2017 //



Dubai Harbour awards Van Oord marine works contract International contractor specialising in dredging, marine engineering, and offshore projects (oil, gas, and wind), Van Oord, has successfully secured the contract for Dubai Harbour marine works. To be developed by master developer, Meraas, the project is situated on King Salman bin Abdulaziz Al Saud Street, in the area between Jumeirah Beach Residence and

Palm Jumeirah, also known as Mina Al Seyahi. The 186ha project is headlined by Dubai Lighthouse, a 135m-high tower comprising a luxury hotel and an observation deck. It will also boast a 13,935 sqm cruise liner terminal capable of handling 6,000 passengers, as well as entertainment and retail space, a yacht club, shopping mall, hotels, and residences.

The project, which Van Oord carries out for Projects Link Contracting Company, is the next step in achieving ‘Dubai Tourism Vision 2020’, Dubai’s strategy to attract 20 million visitors per year by 2020. Jan Willem Elleswijk, the area manager at Van Oord, said: “Our responsibilities will include dredging the 12km navigation channel, reclaiming land and executing vibro

compaction. We will be deploying a large trailing suction hopper dredger, and one of our high tech selfpropelled cutter suction dredgers. We are looking forward to contributing to yet another Dubai landmark. Van Oord will work on the same strategy to which it has contributed since 2001 by building amongst others Palm Jumeirah, The World, and many other artificial islands.”

Facilities management

Deyaar unveils new FM initiative Dubai-based developer, Deyaar Development, has launched Deyaar Al Khair, an initiative that will provide free maintenance services to underprivileged families across the country through its subsidiary, Deyaar Facilities Management (DFM). As part of its initiative, Deyaar has signed memorandums of understanding (MoUs) with the Beit Al Khair and Dar Al Ber Societies, to identify a list of houses across the country that need immediate intervention. During the first phase of the initiative, which will last until the end of 2017, Deyaar will carry out AED500,000 worth of essential maintenance. Saeed Al Qatami, CEO, Deyaar, said: “Deyaar Development is pleased to launch this initiative, which is in line with the Year of Giving strategies announced by HH Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE. Deyaar Al Khair stems from the company’s awareness of importance of providing assistance to all segments of the local community through its expertise and services, away from focusing on achieving financial profit only. “Such initiatives play an important role in enhancing the sense of cooperation for both individuals by giving them the opportunity to volunteer and 16

organisations to provide comprehensive services to the community.” DFM will manage maintenance services provided to houses in number of cities across the country. Specialised teams from the company will be involved in the operations along with volunteers from Deyaar Development’s different departments. Abdullah Ali bin Zayed Al Falasi, executive director, Dar Al Ber Society, said: “Our participation in Deyaar Al Khair initiative comes in response to HH Sheikh Khalifa bin Zayed Al Nahyan’s initiative to name 2017 as the Year of Giving. I would like to express

// construction business news me // September 2017

our sincere appreciation to Deyaar for considering partnering with Dar Al Ber for this initiative, which reflects the commitment of the UAE’s organisations to corporate responsibility principles, to the benefit of hundreds of unprivileged families.” Abdeen Taher Al Awadhi, general manager, Beit Al Khair Society, said: “It’s our pleasure to be part of the Deyaar Al Khair initiative, which represents our commitment to developing the Emirati community. Our participation in this initiative comes in response to the UAE Government marking 2017 as The Year of Giving.”


Shortlist revealed for Cityscape Awards for emerging markets Organisers confirm highest number of submissions received for the upcoming Cityscape Awards for Emerging Markets


he shortlist for the Cityscape Awards for Emerging Markets has been revealed, announcing the real estate and architecture innovators behind some of the world’s renowned new projects. With more than 300 submissions received, a total of 45 projects have been selected by an independent panel of experts. Representing 13 countries including the UAE, USA, Brazil, Egypt, India, Turkey, and Hong Kong, the projects will compete in 11 categories at the upcoming award ceremony on September 11, 2017, at Conrad Hotel, Dubai. The panel comprised 18 experts from prominent organisations including the Royal Institution of Chartered Surveyors, Mace Macro International, and HLM Architects. Christopher Seymour, regional development director and head of markets MESA, at Mott MacDonald and one of the judges of the Cityscape Awards for Emerging Markets 2017, said: “The quality of entrants continues to improve and this year we saw a welcome return of some of the big names in regional property development underlining the prominence of the awards in our industry. “Sustainability as a theme is as strong as ever but we are also seeing a much-needed increase in the planning and application of facilities management – this is something that the judging panel has been expecting to see emerge over a number of years and demonstrates continuing maturity in the clients’ portfolios where cost of operation is becoming just as important as the cost of build.” Covering categories across sectors such as commercial, leisure and hospi18

tality, community, culture and tourism, residential, retail, and sustainability, the Cityscape Awards for Emerging Markets offer international architects and leading real estate developers a platform to communicate a shared vision for the future, from culturally integrated city skylines to sustainable urban communities. Carlos Arnaiz, principal at CAZA, shortlisted for the Commercial Project Award – Future with the BCDA Iconic Building in Taguig City in the Philippines believes that there are enormous opportunities in the socio-economic milieu of emergence. He said: “People are hungry for new ideas, the market is searching for different ways to cope with challenges and, as a result, architecture has the potential to produce qualitative change in how people will live in countries in the emerging world. Our design research has been focused on this unique phenomenon and our goal is to transform it into an architectural trend. It is an honour to be recognised for our efforts.”

// construction business news me // September 2017

Muhammad BinGhatti, CEO and head of architecture at Binghatti Developers, who are shortlisted in two categories with its UAE projects, Binghatti Pearls and Binghatti Stars, said: “We are absolutely thrilled to be selected as finalists for the 2017 Cityscape Global Awards for Emerging Markets. It is an incredible honour to be recognised for our efforts on an international level by such a prominent and reputable organisation like Cityscape.” The Cityscape Awards for Emerging Markets are sponsored by VitrA as Platinum Awards Sponsor and Crystal Gallery for the Official Crystal Trophy Supplier, while the Cityscape Global exhibition is supported by Foundation Partners like Dubai Properties, Nakheel; Platinum Sponsors like Al Marjan Island, Binghatti Developers, Union Properties; Gold Sponsor like Tamleek Real Estate Registration Trustee; and Silver Sponsor like Maryapi Real Estate Development; Project Marketing Sponsor like Aqua Properties and Strategic Partner like Dubai Land Department.

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// Talking point

Doka forms new airport in Istanbul After only two and half years of construction, parts of Istanbul's new airport will open next year. For rapid progress on this build, the contractor is relying on the formwork solution from Doka. In terms of both sheer size and passenger numbers, Istanbul's new international airport will be one of the biggest in the world. Photo: Garabet Milosyan

About Doka Doka is a world leader in

developing, manufacturing, and

distributing formwork technology for use in all fields of the construction sector. With more than 160 sales and logistics facilities in over 70

countries, the Doka Group has a

highly efficient distribution network

which ensures that equipment and technical support are provided swiftly and professionally. An

enterprise forming part of the

Umdasch Group, the Doka Group

employs a worldwide workforce of more than 6,200.


new airport is in the making, located 35 km north of Istanbul, on the European side of the Bosphorus. Covering 76.5 km2, it will be one of the largest in the world. In terms of passenger capacity, it will be one of the biggest: when fully operational on completion in 2028, it will be able to handle more than 150 million passengers a year. The new airport is set to become a hub in the region. Several airlines intend having their headquarters there. In close proximity to the Black Sea, it will have its own port access. It is Istanbul's third airport. The two now in operation – Ataturk International on the European and Sabiha Gokcen International on the Asian side of the straits – are too small for the increasing numbers of passengers. 20

Ataturk International Airport is too close to the metropolitan sprawl to be extended, and current planning envisages its closure at some time in the near future. So building the new airport is a matter of some urgency. By no later than February 2018, only two and a half years into construction, the first of four construction phases is due for completion so that a large part of the airport complex can go operational. By that time, three runways and one terminal will be available. These facilities will provide sufficient capacity to handle up to 90 million passengers a year. Efficient, fast and saving on materials In all, the construction area on this mega-size project is 2,000,000m2. At times as many as 80 cranes will be in use. Two thirds of the formwork for

// construction business news me // September 2017

the first construction phase are supplied by Austrian experts for formwork solutions, Doka. In order to put the best formwork solution in place, a team of engineers from Doka Turkey is hard at work, both in the planning offices and on the ground, providing services on site. On this build, the Doka team are combining timber formwork beams H20 eco and H20 top and load-bearing towers, plus framed formwork Framax Xlife and Frami Xlife and large-area formwork Top 50. The formwork systems from Doka are in use in many areas, including the runways, terminals, multi-level car-parking facilities, and hotels, and the wastewater treatment plant. The load-bearing tower frames are steel, eminently suitable for high clearances and high loads. On the Istanbul airport build, these circumstances apply

Delivering National Pride For the past decade, we’ve provided integrated turnkey construction services for highly challeging and complex projects to make our Clients‘ vision a reality. The United Arab Emirates Pavilion at EXPO 2015 in Milan, designed by the world-famous architecture studio Foster +Partners, takes its inspiration from the desert landscape and the highly innovative and futuristic e©q†‡³yq³·©y‚2e­ue© ‡³Âů2­³­‡ƒ˜‡Ëqe˜³’ÂŪ³†yAe¿‡’‡˜‡­uy­‡ƒ˜yu³ be relocated to the UAE.

After a successful delivery in Milan, the Pavilion has been distmantled and relocated to Masdar City. Now, we are working on the ultimate reconstruction of the Pavilion, to showcase sustainability projects embracing UAE’s National Pride. We are very proud to be a part of this ambitious mission. |

// Talking point

for the big downstand beams, which are 12m above ground level and on which the precast slab is laid. Because they are so strong and because of the wide frame span, moreover, the load-bearing towers are very safe. They also help speed up progress overall on the build, because vertical stacking is easy and assembly is a no-tools operation. In all, 30,000 load-bearing tower frames and 100,000 running metres of timber formwork beams H20 eco and H20 top are in use on this project. Large as the numbers are, they represent the optimised formwork solution on a construction project of this magnitude. Because the Doka load-bearing towers are designed for materials-saving use - the frames are oversized, so all in all few are needed to prop the structure. Framed formwork and timber-beam formwork systems are used for the walls and columns. First choice for the walls are the lightweight and easily handled framed formwork Frami Xlife with strong, hot-dip galvanised steel frames and the Framax Xlife steel framed formwork, which is used for crane-lift forming of large areas. Largearea formwork Top 50 is used for the columns. It is pre-assembled and meets customer-specific requirements. A total of 5,000 sqm of framed formwork is in use. Forming and rebarplacement operations are assisted and facilitated by reinforcement platforms from Doka. Faster and safer Doka also compellingly demonstrates the high level of safety designed into the systems. The stair towers enable the site-crew members to reach their workspaces quickly and in safety. Essential safety is provided by more than 4km of guardrail in the form of the Edge protection system XP. Safety starts with correct set-up and operation of the formwork. That's why the site crew on the new Istanbul Airport build has the onsite support of Doka Formwork instructors. Their job is explaining how to use the formwork effectively and safely. 22

A team of experts from Doka Turkey is tasked with implementing the best formwork solution Photo: Garabet Milosyan

The Doka load-bearing towers have steel frames, so they are ideal for high clearances and high loads. Photo: Garabet Milosyan

In short Project:

Istanbul New Airport IGA


Istanbul, Turkey

Construction company

Cengiz-MAPA-Limak-Kolin-Kalyon consortium

Start of construction:


Scheduled completion: 2028, four phases; partial opening: February 2018 Type of structure:


Passenger capacity:

150 million per year (after full completion), 90 million after 2018

// construction business news me // September 2017

// Op-Ed

Beat the heat Thomas Morrison, marketing director, Portacool, talks about the negative effects of heat on productivity and health of the construction workers


ccording to a recent report by BMI Research, governments are pouring investment into infrastructure across the Middle East and North Africa. This massive growth means private and government organisations need to ensure productivity remains high throughout the summer months to reach development demands and goals. In today’s business climate, productivity is crucial. Moving faster and more efficiently often contributes to a company’s success or failure. Outdoors, or in large, open facilities that lack air conditioning, excessive heat, and heat-related stress can dramatically slow workers down. In fact, American scientific studies in plants have shown that as temperatures rise over 85oF, output drops by 18% and accuracy suffers due to a 40% increase in errors. Therefore, cool working environments should be a necessity to combat the toll taken on the worker and the company’s bottom line. From a health perspective, it is important to understand how the body handles heat and hot conditions when evaluating the potential for employee heat-related illnesses. As temperatures rise, the body releases heat more slowly. As humidity increases, sweat evaporation decreases and stagnant air makes sweat evaporation even more difficult. When these three factors are combined, you have a higher potential for health and safety concerns. The chances for accidents due to sweaty hands, dizziness, and decreased men24

Fortunately, there has been an awaking of consciousness when it comes to how companies deal with worker's health and safety in the UAE and the wider region.”

// construction business news me // September 2017

tal alertness increase considerably. Additionally, higher body temperature and discomfort can lead to irritability and frustration that could lend to more careless behaviour. Workers who are not properly prepared for the heat put themselves, their colleagues, and workplaces at risk. Dubai’s updated strategic plan for the period of 2016-2021 states that the government’s top priorities include sustainability of the city’s environment, providing world-class and high-quality services, and efficient urban planning, as well as ensuring excellent infrastructure is available to achieve these goals. The region’s construction pipeline remains robust – and that is unlikely to change in the near future. Mega projects continue to create immense opportunities, not only for the construction sector, but also for the economy of the UAE as a whole. That being said, it also means organisations in the region will have to increase the labour force to provide the manpower necessary to help build these high-rises and roads. The groups must share the responsibility of ensuring that every individual involved is protected. Fortunately, there has been an awaking of consciousness when it comes to how companies deal with worker's health and safety in the UAE and the wider region. Portacool has been taking steps to educate business owners and managers about the need for keeping work environments cool to limit the strain on productivity when temperatures outside are uncomfortably hot.

Portacool stresses the importance of interventions to ensure employees operating during the extreme heat are considered and well looked after. The company is working with contractors in the region to raise awareness about the dangers of heat stress. Portacool will be a fundamental supplier for the development of cooling stations for labourers on various construction sites. These cooling stations are designed specifically for workers to withstand the soaring temperatures keeping them safe and productive. As temperatures continue to soar in this region, here are key factors that can help mitigate the effects of heat stress or heatstroke and cut workrelated accidents and ill-health: • To prevent dehydration, take a fluid break at least every 15 minutes and avoid diuretics such as coffee, tea, alcohol, or soda, as these can deplete body fluid. Take breaks in cooler, shaded areas and rest regularly. • Avoid rapid exposure to

ture extremes. Allow your body to adjust naturally by incremental exposure to extreme temperature versus heating up and cooling down and then repeating this process. • Use cooling pads that can be inserted into hard hats or around the neck to keep the head and neck cool. Vented hard hats or neckbands soaked in cold water also can be used to minimise prolonged heat exposure and prevent the body from overheating. • Wear light clothing that allows your body to cool itself using natural evaporative cooling produced from sweat and circulated air. • Wear sunscreen. When you are active outdoors for long periods, sunscreen needs to be applied regularly. • Watch for symptoms. Symptoms of heat stress include excessive sweating or no sweating at all, nausea, goosebumps, weakness, tightening muscles, or dizziness. • Consider energy-efficient cooling methods, such as evaporative cooling, to cool large, open air spaces.

Fans simply circulate stale air. Portacool evaporative coolers come in a variety of sizes to cool any space where traditional air conditioning is impractical or cost-prohibitive. • Take it easy. Your body will tell you when it’s time for a break. Don’t ignore it. Take a rest period in a cooling station to reduce core body temperature and refresh yourself before continuing with your activities. These represent precautionary measures that is suggested for those working outside to follow in order to avoid heat stress. Of course, educating employees to recognise the symptoms of heat illness, the steps to take to reduce their risk and first aid in the event of a co-worker suffering from heat exposure are also be essential. As record-breaking temperatures continue to make an impact this summer, Portacool portable evaporative coolers provide a cost-effective, mobile option for cooling spaces of up to 511 sqm, helping firms achieve rapid cooling when and where it’s needed the most.

construction business news me // September 2017 //


// Op-Ed

A Better Way Andy Smith, director product management - building design modeling at Bentley Systems, talks about how BIM continues to redefine the modern skyline


uilding information modeling (BIM), the digital representation of the physical and functional traits of buildings, continues to exert a major influence on the way facilities are planned, designed, constructed, and maintained. This impact is reflected in how digitalisation has revolutionised the modern skyline. A single application is simply not enough for executing a project, despite the development of various software and systems that optimise the facility lifecycle. Rather, it takes a diverse team of people, organisations, and applications to ensure success. As a result, emphasis should focus on collaboration and data interoperability to minimise disruptions in production workflows. It is also critical to support industry standard exchange formats to permit users to re-purpose models for construction management and facilities operations. 26

BIM technology is a constant work in progress and managing issues will remain.�

// construction business news me // September 2017

At Bentley Systems, we incorporate the latest BIM advancements in design modelling and project delivery to support workflow processes, data standards, and cultural changes to maximise project results and business performance. The CONNECT Edition of our AECOsim Building Designer, multi-discipline building design application, for example, enables designers to explore design alternatives, efficiently produce construction documents, and create compelling visual communications. This solution provides a connected data environment to improve data sharing, team collaboration, and personal productivity. The directive of the UK government last year to offer construction projects only to companies using Level 2 BIM software (managed computer aided design in 2D or 3D) has further intensified discussion regarding the

importance of BIM technology, presently and in the future. As practitioners come to terms with the repercussions of this mandate, adeptness at data quality management will become necessary. On the other hand, facility owners will need to specify what data is needed for what intended purpose. The future of using BIM applications looks promising; contractors are using data-rich models for construction management and owners are beginning to repurpose as-constructed data for facility operations. Bentley users constantly voice their appreciation over how BIM technology allows them to consider more design alternatives and evaluate engineering performance, leading to improved project performance and significant cost reductions. Our project information management and collaboration cloud services continue to increase co-operation across teams through data sharing and project deliverables management.

For instance, China Aerospace Construction Group Co integrated a BIM methodology with Bentley’s AECOsim Building Designer for its Inner Mongolia Ethnic Minorities Cultural Sports Center project. The use of the BIM strategy from design through construction helped reduce earthwork from 370,000 to 70,000 cbm – resulting in savings of nearly AED11mn. The adoption of BIM advancements for project delivery will continue to grow as the technology becomes the architecture, engineering, construction, and owner-operated standard for benchmarking professional practice and the accepted natural progression from CAD to digital design and simulation. We can expect major industry changes over the next 12 months, especially in places such as the UK and Singapore where governments have introduced legislation associated with BIM technology. Looking ahead, we see great value in BIM advancements that improve

connectivity between projects and teams through capabilities such as data aggregation for a single go-to source for design representation, cloud services for scalable engineering and simulation, and hosted managed services for supplementing or even outsourcing IT services. BIM technology is a constant work in progress and managing issues will remain. For instance, the engineering, architecture, construction, and operations sector will have difficulty achieving effective information reuse and data interoperability, and the sector will face problems, efficiently capturing “existing” conditions to manage the expanding inventory of brownfield projects and decommissioned buildings. Our industry must work closer with its users to develop applications, services, projects, and resources to improve design excellence and asset performance through BIM advancement.

construction business news me // September 2017 //


// Cover Story

d a Le Born to

Bishoy Azmy, chief executive officer (CEO) of ASGC, talks about the importance of selecting the right clients and projects for the company’s success


he man behind the home-grown contracting company, Al Shafar General Contracting (ASGC), Bishoy Azmy, believes in two factors – selecting the right clients and provide quality service to them. Present in the market for 30 years, the contractor has worked on numerous prestigious projects across various sectors including residential, commercial, retail, industrial, hospitality, and healthcare. The past two years have been quite fruitful for the company, according to Azmy. “In 2016, we have witnessed double-digit growth as compared to 2015. We did not have any issues with 28

our profitability as well; it was a positive year in all measures. The kind of projects we have delivered and the ones we have been working on are also an upgrade from what we have been doing previously. It’s a positive step in terms of maintaining revenue growth and the profit margins.” One of the projects under its kitty is the Mohammed bin Rashid Library, located in Dubai Culture Village, and expected to be complete in 2018. The main building comprises basement, a ground floor, and seven storeys, including a central warehouse for books and a preservation lab. The project will also

// construction business news me // September 2017

include specialised libraries such the information centre, an Arabic library, a popular library, a children's library, a family library, an international library, and a media library. In addition to it, ASGC is also working on the much-awaited expansion of the Dubai Mall to cater for its 100mn annual visitors. The construction of the expansion will be approximately 275,308 sqm and will extend the existing Fashion Avenue, enhancing the city’s high-end retail offerings and further catering to the international demographics of Dubai’s tourists.

We do not depend on our contract conditions; we mostly focus on the positive relations with our clients. � Bishoy Azmy, ASGC

construction business news me // September 2017 //


// Cover Story

Dubai International Airport Concourse - D

Along with these, some of its other projects include the refurbishment of Dubai International Terminal 1, Waldorf Astoria on Palm Jumeirah, Damac’s Oceanscape on Reem Island in Abu Dhabi, and the Business Central Towers on Sheikh Zayed Road to name a few. Azmy says: “We are very selective about who we work with; we have a huge checklist of criteria and we go through each one of them very carefully before we accept any project. We decline more projects than the ones we accept. I think they are a big part of our positive financial position. “Once the project starts, we try to remain focussed on the requirements of the clients to ensure that they are satisfied. We do not depend on our contract conditions; we mostly focus on the positive relations with our clients. 30

It comes from not only being nice with them but from trying to see what makes the client happy and try to accommodate as much as we can. Hence, we have never faced any cashflow issues with our clients since 2009.” Challenges on the way Despite the sombre state of the current regional economy, Azmy says that the company’s last two years have seen positive upwards growth. “Of course, we are aware of the tremors in the market in terms of the financial challenges. We know that the price of oil is low and we can see that affecting the government spending and the projects. “But we have been lucky that the few projects that we have been working on continues to be of utmost importance to our clients. Hence, they have been

// construction business news me // September 2017

prioritised over others, and as a result, we have insulated from the financial challenges. We do worry about the general environment but so far we have had not seen any adverse effects.” Other than the UAE, which is the company’s predominant market, ASGC has a presence in Egypt, Saudi Arabia, and Kuwait. Azmy believes that there are considerable risks associated with being present in the UAE only, hence they are now looking towards Africa as well. “We recognise that we are only present in the UAE and there are risks associated with that. We first looked at the GCC for expansion but we believe this is not the ideal time for penetration in the market. Hence we are looking in Africa for our need to grow.” All the efforts put in to make a project successful depends on the team

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// Cover Story

Etihad Museum

and the client, Azmy mentions. He says: “The client decisions come at the beginning of the job mostly. The clients we work with are mostly developers; they know what they are doing. We don’t work with clients who are not aware of their interests. With our clients, important decisions are mostly taken early at the job and no major changes are incorporated at the end. From the beginning itself, we select the right clients and projects, so that the job doesn’t get delayed.” Azmy also points out that the UAE-based contractor believes in working with local suppliers because Dubai has a pool of talented and successful enterprises. Future outlook Azmy doesn’t claim that the company 32

does amazing things for its workers but “we are doing a lot.” He adds: “The first and the most important thing we do is that the labourers are paid properly. We pay salaries that are either in line with the market or slightly better. We look at how we can be efficient and continue to pay our workforce properly. “Secondly, our camps are in very good condition; they are clean and we try to maintain as much as humane conditions possible in the accommodation. This is to achieve better productivity. We regularly organise cricket and rugby tournaments for our workers. Recently we had a collaboration with the Dubai Municipality to ‘Clean up Al Quoz’ campaign.” For the remainder of 2017, the contractor will be focussing on winning a couple of projects in the

// construction business news me // September 2017

UAE and also on digital transformation of the company processes. Azmy says: “We have appointed a new chief information officer (CIO) to focus on changing the processes. Everything is online and on the cloud. We are currently looking forward to challenging ourselves; reworking on all our processes and trying to become more efficient. It was something we have thought of doing gradually.” The company doesn’t plan to become a regional or a global player anytime soon. Azmy concludes: “We are very thankful for the positive growth that we have witnessed in the UAE. We believe that the country will remain to be the most vibrant market for construction and real estate, and for us as well in the future.”

// Site visit

In the lap of


Construction Business News takes a tour of Sobha Hartland, a $4bn mixed-use project spread across 74ha and surrounded by 22ha of green spaces


reen and open spaces coupled with luxury living in the heart of Dubai – sounds a bit unrealistic. But one of the most eminent developers in the country, Sobha Group, is making it possible with its flagship project, Sobha Hartland. The $4bn project is spread across 74ha area 34

and comprises freehold studios, one-, two-, and three-bedroom apartments, duplexes, townhouses, and four-, five-, and six-bedroom villas. The entire community is surrounded by 22ha of greenery, which constitutes 30% of the entire project. Its location within the Mohammed bin Rashid Al

// construction business news me // September 2017

Maktoum City and the three kilometre proximity to Dubai’s attractions makes Sobha Hartland the most-sought after plots in the emirate. The development also boasts a selection of amenities such as international schools, nurseries, healthcare facilities, swimming pools, tennis courts, yoga centres,

gyms, playgrounds, and parks. Francis Alfred, chief executive officer, Sobha, tells Construction Business News: “Sobha Hartland is a self-contained city. It’s a mixed-use development and consists of a lot of open spaces – you don’t get so much of open space in any city. The development has everything, starting from residential, hospitality, and educational.” In April 2016, the developer launched Sobha Hartland Greens within its project, which includes eight floors of residential apartments comprising studios, one-, two-, and three-bedrooms. Overlooking the Dubai Water Canal, the luxury apartments begin at a price of AED804,000 with handover of the units scheduled from December 2017. 90% of the units in building one and four as part of Hartland Greens have been completely sold out with few limited options left. In addition to it, Sobha also announced the Hartland Estates, comprising 48 luxury villas and 27 quad homes as part of phase one, all due to be completed in December 2018.

We give a lot of emphasis on ensuring that the quality we promised to our customers is delivered.” Francis Alfred, Sobha Group Alfred says: “Phase one of construction includes two apartment blocks comprising approximately 161 units, 48 four- and five-bedroom villas, and 27 quad homes. We will start handing over units in building one and four in December this year, which is few months ahead of program. Most of the structural works are completed for the villas and the quad homes, which

are also due to be handed over in December 2018. “Also, we have two schools as part of phase one of the development. The Hartland International School was launched in 2013 and commenced operations in September 2015. The other school will be opening in the next few weeks. We want to create a lively colony for our residents, where they can feel the essence of community living right from the beginning.” Construction timeline Currently, there are around 874 construction workers present onsite working on the phase one of the project. Alfred claims that the developer always believed in taking entire control of the process, hence there are no third-party contractors and subcontractors involved in the process. He says: “We give a lot of emphasis on ensuring that the quality we promised to our customers is delivered. If we take the conventional route of subletting the work to the third-party contractors and subcontractors, there lies a huge

construction business news me // September 2017 //


// Site visit

challenge, where it is not possible to take full control of the process. So, we believe that it is much better to manage the construction process inhouse. “This has been a successful journey for us like a backward integrated real estate model. We start our work from the concept drawings which is prepared by our own design studio. They design the masterplan, the architecture, the structural designs, the mechanical, electrical, and plumb36

ing (MEP) designs, interior designs, and the landscape designs. Once the design aspects are taken care of, we have our own construction division, which takes care of the construction. We have our own glazing company to do the glassworks, our own interior division to do the designs, and so on.� In the last 40 years, the in-house construction division has delivered close to 836ha of built-up space, helped by a 2,000-strong team. Alfred

// construction business news me // September 2017

points out: “The prime objective is to ensure the quality control is in place. As an integrated real estate operation, we have a quality control team, mainly consisting of Germans. This is because our chairman, PNC Menon feels that when it comes to quality assurance, Germans are non-compromising, and it has been proven in the last 15 years in our company. This model is started back in India, where we employed around 20 German master craftsmen;


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// Site visit

we have the similar model here. They audit every aspect of the project, right from the design, construction, manufacturing, to fabrication.” Having all the processes in-house gives an edge to the developer over others, according to Alfred. He points out that in this process, the company is not controlled by market conditions and can dictate its own delivery timelines. Alfred continues: “There are advantages and disadvantages associated with every aspect. But for us, the advantage of having all the processes under one roof lies in the fact that we are not controlled by market conditions and are able to dictate our own delivery times. We control it and there is a lot more certainty in our delivery 38

and quality because we can cater to our customers according to their needs.” Alfred also mentions that the company has been sourcing its raw materials, both locally and internationally. Future path In November last year, Sobha Group announced phase two of its Hartland Greens project, comprising two additional eight-storey apartment buildings. In addition to that, the developer also launched Hartland Estates Forest Villas, a selection of four- and five-bedroom L-shaped units, available in eight floor plans. As a part of phase three of Hartland Greens, Sobha unveiled Hartland Aflux, a twin-tower residential complex, featuring one-, two-, and three-

// construction business news me // September 2017

bedroom apartments spread across two L-shaped buildings. Alfred says: “We are coming out with more apartments and villas as a part of phase three. Designs are in progress currently. We have to plan the design almost a year ahead, because that’s where the approvals are taken care.” He also asserts that the response to all the products, so far, have been quite positive with the market. He concludes: “The positive response encourages us to come up with more projects catering to the requirements of the market. We are known for our quality and possess one of the best standards in the international market.”

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// Interview

A Breath of Fresh Air Zaal Mohamed Zaal, chairman and founder of Al Barari, talks to Dhairya Negandhi about why he chose to move forward with such an ambitious project in Dubai


l Barari, often described as a property that was meticulously designed to emulate a desert oasis, is one of Dubai’s most attractive, luxurious, and elegant real estate developments. What makes Al Barari so unique is the copious amount of nature assimilated into the community. As we enter the property, we are immediately taken aback by the striking greenery on display, the profuseness of which is 40

truly a sight for sore eyes in a hostile, desert environment like Dubai. Can you describe your philosophy and objective when developing a property with the scale and vast magnitude of Al Barari? Al Barari’s ethos is to give residents boundless living – a continuous space between outside and inside, a place for contemplation and relaxation –

// construction business news me // September 2017

and is the product of my passion to create something never before seen in the region. Guided by my passion, Al Barari’s vision of an exceptional botanic haven, unrivalled in its ecological sensitivity, has been realised. It is this vision that continues to propel Al Barari to keep discovering and become the benchmark for sustainable luxury in the region. The idea was to create a community where residents

// Interview

which is about 2oC cooler than other areas in Dubai. Six elegantly themed gardens already completed under Phase 1 within the villa precinct and with more to come in Phase 2. The completed gardens cover over 14ha include balinese, contemporary, mediterranean, renaissance, water, and woodland gardens, in addition to the showcase gardens. Our team of over 175 trained gardeners tend to the maintenance of the gardens and open areas, with all green waste being sent to the plant nursery for recycling.

Zaal Mohamed Zaal, chairman of Al Barari

feel home and welcome, where they can spend time outside and let their kids play in the gardens, as well as interact with their neighbours. What factors do, in your opinion, render a property a success? Do you believe that Al Barari has been successful? Al Barari has been a success; it was a dream and now it is a reality. In the current competitive real estate environment, and with new projects starting every week across Dubai, developers have to focus on key aspects that end-users are looking at when buying a property nowadays. The location, sustainability, quality, concept, vision, deliverables, and deadlines are the main factors. Al Barari has succeeded in its vision to create one of the most desirable, environmentally-conscious developments in the UAE. What efforts have you made to make Al Barari a sustainable property? The villas employ an acute awareness of natural light and shade, and have been grouped in leaf-shaped clusters to minimise the impact of infrastructure on the land. Each residence supports its own energy-efficient home system and residents are encouraged to recycle domestic waste through the underground waste system that separates organic from inorganic waste, while being invisible and odourless. All the water that is used for the irriga42

Al Barari’s Phase 2 will see the creation of a resort hotel, business school, medical and assisted living facilities, retail offerings, and further residential development.” Zaal Mohamed Zaal, Al Barari tion of the landscape and waterways is recycled water that is then cleaned and polished in the on-site polishing plant. The landscape’s high-density planting keeps the ground cooler and reduces evaporation, enabling the use of less water; irrigation is controlled by computerised central control system, which constantly communicates with controllers and weather stations installed in the field. This ensures application of precise quantity of water with no wastage for healthy plant growth. In fact, the level of plant density has resulted in the creation of Al Barari’s own microclimate

// construction business news me // September 2017

The Reserve is a new development within Al Barari. What does The Reserve have that makes it different from the other properties within the same? The Reserve at Al Barari is a collection of freehold parcels of land designed to accommodate large bespoke villas with six or more bedrooms. The opportunity to create own bespoke dream home in a beautiful, secure and private location is now available in The Reserve. It is an exclusive community within Al Barari with its own private entrance. Tell us about some upcoming projects that are slated for the coming years. We are currently building apartments. Seventh Heaven is now 77% completed. Seventh Heaven homes will be among the most spacious available in Dubai, starting from 154 to 551 sqm. Ashjar has reached 71% completion. This collection of residences is surrounded by a dense forest landscape and unparalleled refinement. The homes are low-rise and low-density, with very few apartments per cluster. Each is set into the natural tree canopy with landscaped gardens and beautiful skyline views. The Nest, a collection of 55 fourbedroom villas, will be ready by October 2017. Al Barari’s Phase 2 will see the creation of a resort hotel, business school, medical and assisted living facilities, retail offerings, and further residential development.

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// Case Study

The future is Fahmi Al Shawwa from Immensa Technology Labs talks to CBNME and highlights 3D printing as the next important step for contractors in the region


n intriguing concept like 3D printing has always attracted the attention of the masses in the recent times; and Dubai has always been in the forefront in adopting such innovative ideas. In April 2016, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, launched the ‘Dubai 3D Printing Strategy’, a unique global initiative that aims to exploit technology for the service of humanity and promote the status of the UAE, 44

especially Dubai, as a leading hub of 3D printing technology by 2030. The Dubai 3D printing Strategy will make Dubai the world’s 3D printing hub. The strategy adopts an emerging technology that will help cut costs in many sectors, especially the medical and construction sector in the emirate. The technology will restructure economies and labour markets, and redefine productivity. It is estimated that the market in the UAE for 3D printing would be over $300bn by 2025. According to this 3D

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printing strategy, Dubai forecasts for a graded 70%, 80%, and 90% reduction in labour, time, and cost respectively. The emirate ambitiously also wants 25% of every new building to be 3D printed by 2025. In line with the strategy, the UAEbased additive manufacturing (AM) company, Immensa Technology Labs, launched the first 3D printing facility in Dubai, which comprises eight 3D printing systems and more than 30 materials for production. The new facility is equipped to build and manufacture the

production quality parts, components, and one-off prototypes for the customers across a variety of industries. The opening of the new 3D printing facility is expected to increase the use of 3D printing in Dubai. It also aims to benefit the country’s other projects, including the plan to create a 3D printed skyscraper and 3D printed research laboratory. Talking to CBNME, Fahmi Al Shawwa, the chief executive of Immensa Technology Labs, explains: “There has been more of a hype surrounding 3D printing in the last couple of years. With regards to the construction sector, the industry generally tends to be one of the last sectors to adopt technology. But it is changing fast - now construction is leaning towards 3D printing. And Dubai has been one of the leading cities in trying to advocate 3D printing in construction. “The government strategy for 3D printing has been pushing a lot of construction and technology companies to look and invest into it. And this is

The government strategy for 3D printing has been pushing a lot of construction and technology companies to look and invest into it.” Fahmi Al Shawwa, Immensa where we come in. We have set up to bridge the gap between the technology and practicality across different sectors.” The company has been working with leading regional contractors, one of them being Consolidated Contractors Company (CCC). Al Shawwa says: “We are jointly working with CCC on sophis-

ticated moulds, which hopefully will be ready by end of September 2017. So, we understand the technology very well. We are active in the medical sector, where we’ve worked on 3D printed medical guides. We are a completely private and independent company.” He also mentions that Immensa works very closely with German companies for the supply of raw materials. The onsite team mainly comprises 13 people, out of which six are engineers from different disciplines in engineering. Most of the machines in the lab have been imported from Germany. Al Shawwa points out: “One of our machines is from Germany-based EOS Electro Optical Systems (EOS), one of the high-end companies for industrial 3D printing processes. There are four of them in the UAE, out of which three of them are with the New York University in Abu Dhabi. We are the only private company to possess the machine. “Fused deposition modeling (FDM) is an AM technology commonly used for

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// Case Study

Road to glory Immensa Technology Labs was recently awarded the ISO 9001:2015 certification in the field of ‘Design and Additive Manufacturing Services.’ The certification makes Immensa the first 3D printing company in the Middle East and one of only a few in the world to be recognised with the ISO 9001:2015 quality standard. In a statement, Al-Shawwa says: “Following months of challenging work and external audits, we are delighted to have been awarded this ISO certification, which is a testament to the exceptional quality and global competitiveness of our services. While the region has lagged behind the rest of the world in the adoption and integration of 3D printing technology, Immensa has forged ahead and bridged the gap by offering cutting-edge services that are on par with the top international providers out there. We are proud to be one of a few 3D printing companies internationally with this certification.” To be granted the ISO 9001:2015 certification, organisations are required to implement a comprehensive Quality Management System (QMS) that encompasses all facilities, services, equipment, and employees, as well as regular inspections and audits. Immensa’s ISO certification marks a turning point for the AM industry, further cementing its position as a viable, effective, and high-quality alternative to traditional manufacturing methods.


modelling, prototyping, and production applications. We have five FDM machines, which are commonly used for making customised moulds.” The company is currently in the process of copyrighting a lot of its designs. Al Shawwa asserts that there have been a lot of companies that have announced 3D printed structures, but are

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no longer around. He concludes: “The technology needs a lot of testing; it is actually more viable than traditional construction methods. We don’t keep off-the-shelf products and only produce customised goods for the clients. We have been present in the market for less than a year now, but already envision a big opportunity for us.”

// Facilities Management

Time for Change The facilities management sector, dominated by non-profit organisations and industry leaders, finds itself adapting to the reorganised economic habitat. Dhairya Negandhi writes


he facilities management (FM) industry has always been vital to the construction sector of the Middle East. As the oil-dependent region attempts to diversify itself away from the energy sector, other industries have found that they need to adapt to the changing economic climate or be swallowed up in the tide of firms going out of business. The FM industry has displayed a progressive attitude and introduced modern, cutting-edge technology that heavily impacts its performance and allows firms to stay afloat. When asked about the utilisation of this technology to aid the performance 48

of Middle East, Facility Management Association (MEFMA) president, Jamal Lootah, says: “We are constantly on the lookout for new technological innovations with transformative impact on the entire FM industry and integrate the same into the regional community’s processes and procedures. This ensures that we are in sync with the latest developments in terms of industry modernisation and automation through the aid of next-generation tools and devices. Technology also plays a key role in MEFMA’s goal of facilitating standardisation at an operational level across the Middle East. As such, we help provide an interac-

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tive platform where stakeholders can discuss and implement measures for harnessing the power of technologies and their full potentials to guarantee industry acceleration.” In recent years, sustainability and environmentally friendly measures have steadily become an issue that has sprung to the forefront of industry leader’s minds when considering, planning, and taking on a new project. Yet, many fail to realise the allencompassing nature of sustainability, and that it does not end merely with environmentally friendly implications. FM firms have strived to substantially change the way in which they pro-

We encourage recycling and that starts within our staff accommodation and our own office as well as reaching out with solutions to our customers.” Alex Davies, Emrill

vide services and, as greater pressure is put on them to pursue sustainable practices in all projects. Alex Davies, managing director of Emrill Facilities Management, says: “For myself personally, sustainability reaches far wider than the simple environmental credentials. This also stretches to how we treat our people, how we manage the finances of the business, and how we approach partnerships with our customers. Testament to this area of sustainable business is that existing customers contributed to 77% of new work wins and our high retention rates of contracts. On subject of environmental impact, this year, we have seen our fleet of fully

electric customised club cars increase, a solution that reduces the petrol driven vehicles operating on Emrill sites. We encourage recycling and that starts within our staff accommodation and our own office as well as reaching out with solutions to our customers. “Furthermore, Emrill Energy is a core part of our business deploying retrofit solutions to existing buildings to achieve demonstrable energy savings. This is achieved through so-called Energy Performance Contracts (EPC). Emrill Energy designs, funds, installs, and manages the EPC scheme as a unique turnkey solution and offers the building owner guaranteed minimum

savings. An EPC implemented at Dubai Marina Towers with estimated projected savings of 25% is currently exceeding expectations by delivering up to 30% savings.” Another significant aspect of the perennially changing FM industry is its customer engagement. Firms of large and small scales alike endeavour to improve their customer engagement and create a loyal customer base through various practices. Customer satisfaction, as with any other industry, is an integral factor in running a business and companies aim to escalate these figures to improve sales and attract clients.

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// Facilities Management

Davies adds: “Emrill runs a customer experience programme called ‘ServExcel’. This measures the views of Emrill customers on our various services through an informed client survey. This survey collects the necessary data that can then be internationally benchmarked. The ‘ServExcel’ suite of tools includes the ability to develop end user surveys to understand how users of a certain place feel about their experience. As a final measure, we pay significant attention to our contract retention rates. Whilst this is a reactive measure, it is also a key statistic to ensure that Emrill is truly delivering the service customers want at a value they can afford.” In this harsh economic climate, it has become increasingly apparent that companies must combine their efforts and collaborate frequently if they are to survive. A joint venture is more profitable than working alone. 50

We have already lined up several activities and initiatives to bring the FM community to new heights of development.” Jamal Lootah, MEFMA As a result of the rigid economic situation that a plethora of firms found themselves in, they discovered that it was easier to work in tandem and complement each other rather than compete directly. The FM industry has

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undergone an integration, spearheaded by MEFMA. MEFMA took the initiative to unite the industry and, perhaps, helped it flourish and not stagnate. When asked about why MEFMA decided to become the unifying factor of the sector, Lootah says: “As a non-profit professional organisation formed under the Dubai Association Centre (DAC), MEFMA seeks to support, represent, and advance the region’s steadily growing FM industry. Our philosophy of building an integrated regional FM market is fundamental to achieving this objective and is at the core of our mission. We need a cohesive and unified FM community that maximises all resources to respond as one to impactful and transformative global changes and trends. “The association facilitates continuous industry enhancements and improvements in line with relevant regional and global developments.

// Facilities Management

We start by focussing on the people. A number of FM professionals have been empowered through our training and knowledge sharing initiatives and efforts to build a sustainable, safe, and resilient work environment. “In addition, the association conducts research, gives assistance to FM organisations, and helps establish a standardised framework for FM professionals and stakeholders to ensure sustainable FM strategies that will benefit not only the community but the whole international industry as well.” Finally, the future of FM remains intact. Firms such as Emrill and MEFMA display an uninterrupted stream in business, in part due to their tireless efforts in promoting the use of more FM-based services. The advancement of technology used in the field allows firms to innovate and develop themselves into pioneers, guiding their


peers towards a different era. Lootah, when asked about upcoming projects for MEFMA, responds: “We have already lined up several activities and initiatives to bring the FM community to new heights of development. These include educational workshops, awareness campaigns, and focus groups and conferences that will attract major players and stakeholders, not only in the Middle East, but the rest of the international community as well.” When Davies was asked about the future of Emrill, he says: “Our vision for the future is to redefine service experience to create great places to work, live, and visit across the UAE. We will deliver a quality service through valued partnerships, delivered by excellent people who constantly innovate to improve customer experience. By 2020, Emrill plans to have a fully developed ‘Asset Care’ package reliant on IoT

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sensors, highly productive mechanised techniques, delivering predictive, energy efficient, and business centred services that meet the individual needs of each site and its users. “Our focus remains on growing our current key sectors of aviation, residential, master community, retail, corporate, and healthcare. These are absolutely aligned with our long-term strategy and goals. We are focusing on some of the mega projects, currently under planning or construction in the UAE as core targets moving forward.” Davies concludes: “We will continue to bring international best practices and accreditation to everything we do. Looking further into the future, we are developing our skills and competencies further in areas such as workplace planning, allowing us to be ready for agile working practices that digital disruption is likely to create.”

The Middle East’s premier Exhibition, Conference & Awards for Lighting Design and Technology

17 – 19 October, 2017 Dubai, United Arab Emirates

Experience innovative products and solutions along with enlightening insights shaping the lighting industry right now.

Pre-register to visit

// Awards preview

It’s time

For the second year running, the Construction Innovation Awards 2017 is one of the leading events applauding the achievements of the region’s construction professionals. The awards strive to recognise individual excellence, corporate strengths, and project success. Companies are invited to nominate the people, projects, and initiatives of which they are most proud of, across 19 categories. Entries will be judged by an eminent jury of industry experts. Nominate yourselves now to stand a chance to win at the much-awaited construction industry awards event of 2017.


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Key facts Date: Wednesday, October 11, 2017 Time: 7:30pm Venue: St Regis, Dubai

Company Awards • • • • • • • • •

Contractor of the year MEP Contractor of the year Consultant of the year Real estate developer of the year FM Company of the year HSE Initiative of the year Sustainability Initiative of the year CSR Initiative of the year Supplier of the year

Project Awards • • • • • •

Infrastructure project of the year Commercial project of the year Retail project of the year Hospitality project of the year Residential project of the year Sustainable project of the year

Individual Awards • • • •

Project manager of the year Engineer of the year Construction Executive of the year Lifetime Achievement Award

Wall of fame • Lifetime Achievement Award: HE Hesham Abdulla Al Qassim, CEO, Wasl Asset Management Group • Master Developer of the Year: Dubai South • Contractor of the year: Trojan General Contracting • Developer of the year: Azizi Developments • Commercial Project of the year: Citywalk by Meraas • Project Management firm of the year: Parsons • MEP Contractor of the year: ALEMCO • Leisure Project of the year: Dubai Parks and Resorts • Consulting firm of the year: Hill International • Fastest growing company: KBW Investments • Hospitality project of the year: The Palm Tower by Nakheel • Residential project of the year: Gardenia Residency by Shaikhani Group • Engineer of the year: May Faraj, Arcadis • Infrastructure initiative of the year: China State Construction Engineering Corporation • FM Company of the year: EFS Facilities Services • Project of the year: The Residences at Marina Gate by Select Group • Sustainable project of the year: Ted Jacob Engineering Group • HSE initiative of the year: Arcadis • Engineering solution of the year: Kirby Building Systems • Formwork company of the year: Doka Gulf • Innovation of the year: KIMMCO

Social media

Twitter - @cbn_me (#cbnmeawards17) Facebook – cbnme Linkedin – construction business news Instagram – @cbn_me

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The 9th edition of the International Exhibition for Intralogistics, Warehousing, Supply Chain, Ports, Port Equipment – Products & Services

sit at Register online to vi om/AD6 E.c M ng dli terialshan

11 – 13 September 2017 Dubai, United Arab Emirates

Visit and meet leading suppliers providing smart solutions for supply chain and warehousing. From logistics and robotics to automation and innovation, connect with game changers that are transforming the materials handling industry.


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// Machinery & Vehicles

Muscle & Might Our monthly review of the workhorses of the construction industry

58 A round-up of the important updates from the

global construction equipment market

66 JLG throws light on its decade-long journey to

success regionally and globally

76 Euro Auctions highlights the auctioneer’s first big

event in the Middle East

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Trukkin brings cloud-based B2B transportation to GCC Trukkin Middle East has launched its new cloud-based B2B platform and app that unites customers with shippers and truckers in the Middle East region with the aim of creating new business opportunities while streamlining logistics solutions. The start-up is the brainchild of entrepreneurs from Saudi Arabia and the UAE, and co-founded by Ahmed Al Nafie and Janardan Dalmia. Trukkin is headquartered in Dubai with offices in Saudi Arabia and India. Its logistics platform enables on-demand services for clients, who can request bids through the app or on the web portal after registering. For clients, Trukkin provides transparent sourcing of new suppliers, services on demand, and promises lower transport overheads. For fleet owners and individual drivers, the Trukkin platform offers a new channel for business development. “We’ve launched Trukkin with the mission of making it the preferred logistics enabler region-wide by providing a state-of-the-art mechanism to connect suppliers and clients,” said Trukkin CEO and co-founder, Janardan Dalmia. “Trukkin answers a genuine industry need for greater transparency, choice of providers, and the ability to request transport services from available fleets. The team has developed the product after extensive on-the-ground market research, working very 58

closely with partners from Saudi Arabia. “We have honed the user journey to make registration, placing orders, accepting bids, and making payments very simple, leading to an excellent user experience from start to finish. I am extremely confident that Trukkin will enhance and simplify logistics across industries in the whole GCC region.” The Trukkin ecosystem comprises a multi-lingual customer app on iOS, Android, and a web portal. Fleet owners and individual drivers can also take advantage of the multi-lingual online portal and apps. Customers, fleet owners, and independent drivers, all register on the Trukkin platform after going through a

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verification process. Customers can then request services to transport their goods/load and provide order details via the app and web platforms. Customers choose a preferred supplier and give the go-ahead. Drivers from the logistics firm or fleet operator then arrive to pick up the goods and start the provision of services. Once the driver has reached the dropoff point and off-loaded the goods, proof of delivery is uploaded to the app, and the service is officially concluded. Customers then have a variety of in-app methods to offer payment. Customers and fleet owners can also track their shipments in real-time through Trukkin’s tracking system.

The Trukkin team also provides clients with operational support throughout the transaction experience. “Cloud based app solutions are revolutionising the provision of services – from renting holiday homes to hailing cabs. We’ve brought a similar model to the logistics, driving and trucking industries, putting technology at our core to unlock efficiencies,” added Dalmia. “Trukkin’s potential is very exciting and is already garnering strong support and we are in advanced discussions, regarding investment from key captains of industry region wide. We are working very closely with our backers and partners to make Trukkin the industry’s de facto enabler across the GCC region.”


KBW’s Raimondi enhances New Zealand presence

Raimondi Cranes, the Italian crane specialist owned by Dubai-based KBW Investments, said it is expanding its presence in the Australasian region with the appointment of Heavy Lift Designs (HLD) as its official agent for New Zealand. Raimondi Cranes has been scoring success in the Australia and HLD recently completed the erection of a Raimondi MRT48 in the Sydney suburb of Cremorne, executing the crane’s placement and base design engineering on behalf of Strictly Cranes. HLD was founded in 2014 by its managing director, Eng Blake Hammon, and its newly-established New Zealand headquarters situated in Wellington, will serve both the

North and South Islands. HLD will immediately commence representing Raimondi Cranes across the country, including all Raimondi installations and dismantling procedures. According to Hamman, HLD will endeavour to provide specialist engineering solutions to New Zealand’s heavy lifting machinery segment, building on its previous successes in New South Wales, Australia. “New Zealand is my home, so I’ve always had a keen interest in the country’s construction market and economic prospects. I see New Zealand as the opportune place for HLD to launch new technologies; there is substantial activity in the construction and engineering sectors with room

for a successful entrepreneurial-driven market entry. “I’ve noticed a trickle down of machinery and technologies from similar projects in Australia into New Zealand’s market, and I believe our Wellington office is well-positioned to capitalise on this increasing level of interest.” HLD end-to-end crane engineering solutions, including technical lift planning, erection, dismantle and site planning, together with feasibility assessments, third-party verification, and equipment sourcing. Hammon continued: “HLD’s entire value proposition is based on bringing modern engineering solutions, developed and drafted with precision and care, to the construction indus-

try. Raimondi Cranes is a fantastic, forward-thinking crane manufacturer; for this reason, we actively pursued the Raimondi agency appointment, and we’re looking forward to bringing the company’s highly-reputable, solution-based products to market.” Under the agency of HLD, Raimondi’s ranges of topless tower and luffing jib cranes will now be made available to clients in New Zealand, together with after sales care and technical support. Spearheaded by Raimondi Cranes commercial director, Mauro Masetti, the crane manufacturer’s goal is to increase market share in global construction hubs has recently appointed agents in South Germany and the UK.

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Trimble and Komatsu in 3D data deal Trimble and Komatsu have revealed that they are collaborating to improve their customers’ ability to exchange 3D construction site data between the companies’ construction software to make managing mixed earthworks fleets easier and allowing for a more holistic view of site operations. As part of the collaboration, Trimble and Komatsu are working together to develop an Application Program Interface (API) to enable compatibility between their software platforms. Trimble Connect software, a cloudbased collaboration ecosystem, will support Komatsu’s KomConnect platform for sharing digital construction data that can significantly benefit contractors and project managers. The collaboration is in response to customer demand for mixed-fleet interoperability as well as support for Japan’s i-Construction initiative, a plan to drive innovation and revolutionise productivity on construction sites through the use of information and communications technology (ICT), promoted by the Ministry of Land, Infrastructure, Transport, and Tourism. Trimble Connected Site solutions provide contractors a complete view of site productivity including materials quantity and movement, volume and compaction data, and fleet and asset manage60

ment information, regardless of machine make or model. Trimble Connect is a collaboration environment allowing customers to combine and share data from multiple sources, including those from outside of the Trimble ecosystem. Komatsu introduced SMARTCONSTRUCTION, an Internet of Things (IoT) solution for construction site operations, in Japan in 2015. The solution enables customers to visualise site operations using ICT about workers, machines and surfaces on the KomConnect

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cloud-based platform to create a safer and more productive site. "Through SMARTCONSTRUCTION, Komatsu will continue its efforts to create safe and high-productivity job sites,” said Chikashi Shike, executive officer and president of Komatsu’s Smart Construction Promotion division. “Our collaboration with Trimble is an important step in supporting our customers who operate mixed machine fleets as well as address the requirements that will enable construction contractors to support Japan’s

i-Construction initiative.” “Trimble is committed to providing a complete construction ecosystem for all customers. We believe that the optimal solution is one that is open and supports all manufacturers’ machines,” said Bryn Fosburgh, senior vice-president of Trimble. “We are excited to work with Komatsu to improve the interoperability with our respective solutions to broaden our support for mixed fleet customers so we can ultimately create an intelligent jobsite for the future.”


2017 10–12 OCTOBER










UKCONSTRUCTIONWEEK.COM Includes access to these events:






// Transportation

We feel confident that our business will grow, especially considering that Expo 2020 is coming up.” Hashim Mudhir, Al Akhilaa

o g o t Ready ting its truck s about how protec lk ta r, hi ud M if ar him Sh better Trading’s CEO, Has construction sector E A Al Akhilaa General U e th e rv se e company fleet has helped th


or three decades, Al Akhilaa General Trading has been the go to company for construction contractors, many of which operate in the readymix sector where timing is critical, and needs a reliable and professional partner to ensure the timely delivery of materials at the job site. Founded as Al Ashraf General Transport, the company was created to serve public works and government projects in Al Ain and Abu Dhabi. Today, it is one of the top 10 suppliers of aggregates and building materials for 62

projects across the emirates, relying on a large fleet dominated by MAN trucks. With the country building towards hosting Expo 2020, Al Akhilaa General Trading’s CEO, Hashim Sharif Mudhir, explains that his company is excited to be a part of the preparations and estimates that business activity could increase by as much as 40% during the run-in to the event. He says: “We feel confident that our business will grow, especially considering Expo 2020 is coming up. We will expand our fleet, as construction proj-

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ects surrounding the event ramp-up.” Al Akhilaa General Trading’s success has been built on a three-pronged strategy of strong recruitment policy, strict safety controls, and a professional approach that has helped build a reputation for quality among its governmental and private sector clients. Mudhir says the company’s wellmaintained fleet is under constant review and frequently renewed where necessary. In a business where uptime is everything and delivery times from the crushers in quarries to the proj-

ect area must be strictly adhered to, he says that the MAN fleet of trucks and the support – including utilising its United Motors and Heavy Equipment Co (UMHE) workshops for full services – that comes with them has been essential. “They provide peace of mind because we need to ensure that aggregates will be transferred on time from one location to another – and UMHE ensures timely delivery and high-quality of service,” he says. “From a logistics point of view, MAN is a

trustworthy partner, so we don’t need to worry about anything.” Uptime is a major concern for Al Akhilaa. Comparing the quick turnarounds from MAN and UMHE to those of a crack Formula 1 pit team, he says: “They speed up the servicing of our trucks, so we can get them back to work quickly. Our customers expect fast delivery, so that’s where MAN trucks are helping us to provide the best possible service to our clients. They help us to make our customers happy by getting things delivered on

time and effectively make us more qualified for the job.” The company currently owns and operates a fleet of 65 MAN trucks. A further 100 trucks are available for leasing to contractors on a project-byproject basis. Together, he says, the company’s trucks and their trailers meet “the requirements of customers to supply and deliver material to sites anywhere in the UAE”. During the early years of the company, Al Akhilaa played its part in the development of a series of projects in Abu Dhabi and Al Ain, including the building of the high-end Ajban Palace and the Al Raha Beach resorts; the supply of rock for the sculpting of the canal works in Al Wathba; as well as supporting the construction of low-cost housing projects in the more remote town of Sweihan. He explains: “At the beginning, most of the work was for the Government of Al Ain and Abu Dhabi. Early on, we were focusing on filling works, but then afterwards, we started entering into the construction business and hauling aggregates for road works and construction contractors. Within a short span of time, the company’s excellence in service came to the forefront and we put in place a dedicated team of staff and people, which meant we could cover all the capacities needed to carry out jobs” To date, Al Akhilaa has executed more than AED2bn worth of projects. Fleet management and deployment across the country is currently handled by a team of 20 people. Trucks are constantly monitored by GPS software, ensuring the company always knows the location, speed, and fuel consumption of its fleet. While onsite, Mudhir explains that the company works alongside contractors with its own staff available to manage vehicle productivity and, importantly, oversee safety. He adds: “We have people continuously on site to ensure that the area is safe for the trucks and will pass site and safety inspections.” Operating across the UAE, its trucks are continually moving through remote

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// Transportation

We will expand our fleet as construction projects surrounding the event ramp-up.” locations. In an effort to provide support far from Abu Dhabi and Dubai, it has set up a workshop and garage in Al Madam close to the Omani border. The 25-strong support crew based there are dedicated to maintaining and managing the trucks in the area. The company is also expanding its presence in the emerging Western region of the country towards the Saudi Arabian border. “The latest development under the banner of Al Akhilaa is Al Akhilaa General Transport, which has an office based in Beda Zayed,” he explains. “This will enable the company to gain a greater grip on the all recent activities in the Western region of Abu Dhabi.” Whether they are in its remote and rugged mountainous areas or busy, modern cities, driving in the UAE always presents challenges to truck drivers. Mudhir says that the company continues to place driving and safety training firmly at the centre of its operation. Conducted on annual basis, it has chosen to put drivers onto MAN’s driver programme ‘MAN ProfiDrive’. The programme, consists of seminars and practical sessions lead by professionals to encourage safe and efficient vehicle utilisation. He concludes: “We hire qualified people and experienced drivers to deliver jobs; in fact most of our drivers have more than 10 years of experience. MAN ProfiDrive, however, ensures that our drivers are also familiar with the principles of economical driving, the technical background information, as well as safety related topics. Logistics and quality is what we always provide and that’s why the customers always choose us.” 64

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Hashim Sharif Mudhir, Al Akhilaa


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// Access Platforms

The big lift Ian Hume looks back at JLG’s near-decade of success and the boon of Expo 2020


ext year will be the 10th anniversary since JLG first established its office in Jebel Ali Free Zone (JAFZA) on the outskirts of Dubai. Talking to CBNME, Ian Hume, sales director, emerging markets, JLG Middle East, explains how the access work platform (AWP) specialist has tweaked its approach to the market over that decade. “When JLG established its office 10 years ago, we focused on growth in the region - increasing our install base, seeking distribution, and local partnerships. Now that we have reached the maturity stage and are steadily delivering customers premium quality product, we are increasing our focus on providing service in the region. Another focus area is to expand the company's footprint in regions such as sub-Saharan Africa and South-East Asia.” Hume adds that JLG has witnessed 66

a progressive and greater awareness of what AWPs have to offer over the years. Able to reach multiple storeys in height but also reach the parts other equipment cannot; AWPs like scissor lifts and, particularly, boom lifts are as useful on construction sites as they are at helping to maintain a building, decades after it has been commissioned. Hume says adoption has also been accelerated by moves to improve work safety in the region. “The market has adopted AWPs as the solution for working at height. With the growth in population, a more stringent focus in the region on employee safety has developed,” he explains. “Today, we no longer need to explain the concept and benefits of an AWP over other means of access.” JLG has continued to develop its offering in the region, bringing in products that are robust enough to stand the rigours of construction work.

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Hume says: “Typically, our large boom lifts and scissors are very well accepted in the region. Ranging from mid-size working height to our flagship product, the 1500AJP (introduced at Bauma in 2016 and currently the largest articulating boom lift worldwide), these products have built a strong track record of being reliable assets in increasing efficiency and productivity on construction sites. Most recently, we have upgraded our midsize boom lifts, not only offering more durability but also an increased capacity – allowing operators to bring more materials into the platform.” Beyond construction, the facilities management (FM) sector has also proven to be an increasingly fruitful hunting ground for JLG. “The FM sector is becoming increasingly important with the total cost of the building now going far beyond the initial build. Previously, where work

A new breed of hybrid JLG celebrated its 20th year of hybrid technology at ConExpo with the launch of its new, parallel H800AJ 80ft (24m) articulating boom lift. Along with this launch, the company said it was expanding its hybrid or H line of products by rebranding its M Series booms and scissors to a unified H Series, to more accurately identify them as Hybrid models. The machines not only feature a new nomenclature, but also new decals, easily identifying them as “eco-friendly” machines. The consolidated H Series will be one of the broadest hybrid offerings in the access equipment industry. JLG introduced its first patented hybrid aerial work platform (AWP) in

was done on ladders and scaffolding, we are seeing our customers see the real benefit of adopting access equipment to improve efficiency and safety. Electrical equipment is key for this segment as much of the work is done indoors. We have developed specific ranges of our scissor lifts, compact crawlers (narrow articulating boom lifts on crawler tracks that provide low ground pressure without a compromise in working height and outreach), and low-level access products with the facilities management sector in mind.” Wherever and however they are used, part of the charm and the success of AWPs are its ease of use. A thorough read of the manual and a short training session is enough to get an operator ready to press the few controls and joysticks that are onboard. Recognising the dangers presented by this false sense of security, JLG has worked hard locally since entering the market to encourage and support training. “We strongly promote training,” Hume affirms. “Training is offered through IPAF - an organisation that promotes the safe and effective use of AWP's. Alongside IPAF, we see training being a cornerstone for our customers

1987. “Since that time, the company has taken a measured and purposeful approach to hybrid technology,” said Paul Kreutzwiser, JLG Industries global category director, AWPs. “Our engineers carefully consider specific equipment scenarios or applications and the power they require. Then, match the hybrid technology that best meets these requirements. We do not take a one size fits all approach.” JLG showcased two parallel hybrids at ConExpo, an H800AJ, and an H600AJ concept machine to show the transferability and scalability of its hybrid technology across a range of products. With the exception of its power plant, the machine is virtually

The market has adopted AWPs as the solution for working at height. With the growth in population, a more stringent focus in the region on employee safety developed.” and we will be introducing regionally focussed training programmes for our partners to reinforce the safe use of JLG equipment.” He continues: “Generally, safety is more widely accepted today than it was 10 years ago. With the growth of an AWP population and the efforts from organisations such as IPAF (International Powered Access Federation) that promote the safe use of AWPs, we've come a long way.” Safety is integral to JLG’s global strategy alongside total cost of owner-

the same as JLG’s popular 800AJ model, with common parts for ease of operation and servicing. The H800AJ will be available in some markets in late-2017 and can be used for indoor or outdoor applications, boasting diesellike performance with reduced or zero emissions, excellent fuel economy, and reduced noise. “These parallel hybrids are just the beginning,” said Kreutzwiser. “As demand increases across the access equipment industry for eco-friendly products, we are proudly assuming a leadership role in hybrid innovation and expansion, pioneering new technologies for different applications, product categories, and fuel types.”

ship and innovation. All three were high on the agenda earlier this year, as the US-headquartered company unveiled its latest products at ConExpo, the construction equipments event of the year, including its new electrically powered R-Series of scissor lifts that is being pushed at rental businesses needing a compact design. “At ConExpo this year, JLG showcased an array of equipment which is about to come to the market, if not already. This summer, the R-Series of scissors were launched into the market,” he informs, before adding that a range of all-new rough terrain diesel-powered scissors are “on the edge of introduction” with its hybrid boom lifts, H-Series, to follow later in the year. Hume adds that JLG is continuously evaluating its products and reviewing market developments to help its swelling list of rental partners. “Combining the two, we focus on bringing innovative and practical improvements to our product range,” he explains. “One example is the Duratough hoods. Almost unbreakable, these hoods save costs for owners as they hardly ever need to be replaced in case debris fall at a construction site. Another example is designing our

construction business news me // September 2017 //


// Access Platforms

Abu Dhabi Airport Midfield Terminal

products with a high commonality of parts or engineering our product to provide ease of maintenance. On the safety subject, JLG is the first to make SkyGuard (enhanced operator panel protection) standard on all its boom lifts. At ConExpo, the first concept of a self-levelling boom lift was presented alongside our continued expansion of our hybrid range (eg the H800).” According to Hume, the all-important rental market continues to grow in the region and he has observed more new entrants coming to market over the last year. “We pride ourselves on the support we offer our rental partners in the region with our service team continuously traveling throughout the region to give them the best customer experience. Our machines are built tough and with serviceability in mind. This has led to the continued faith being placed in JLG as they grow their fleet or decide to start an access rental fleet themselves.” Behind JLG’s success to date has been a strident set of distributors, with long-standing UAE-based partner, GENAVCO, leading the way, ready to 68

Louvre Museum in Abu Dhabi

provide the support needed at ground level to customers. “Our distributor network through the Middle East is vital to our success in region,” he enthuses. “With partners like GENAVCO in the UAE, who have been with us for 30 years and also our recently appointed Qatar distributor, Rumaillah Motors, our customers have fantastic support in all the countries in the Middle East. Our distributors

// construction business news me // September 2017

are there to support our customers with stock machines and parts available 24/7. Our coverage in the region is such that a JLG representative is never far away, which has led to the development of new customers and industries - all backed up with the growth of our aftersales services on the ground.” A major trend across most sectors has been a focus on getting better


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// Access Platforms

Ian Hume, JLG

value out of the capital spending or costs. Echoing the JLG message from ConExpo, Hume says the total cost of ownership is a major focus permeating the brand, although how that benefits a customer or rental house can vary widely. “First, there is no unified definition for total cost of ownership. For that reason, it is very difficult to compare data as the drivers that lead to TCO are interpreted in many different ways. The metrics that JLG uses for TCO are built from acquisition costs, operational costs, resale value - the so-called hard costs and then there is a more flexible component added to it machine reliability (maximum uptime) and machine versatility (maximum utilisation),” he says. Turning his thoughts to the future, he sees a huge opportunity to build on its record of benchmark projects in the region, particularly the UAE, as activity builds towards the country hosting Expo 2020 in three years’ time. “JLG is very proud to have played a 70

Previously, where work was done on ladders and scaffolding, we are seeing our customers see the real benefit of adopting access equipment to improve efficiency and safety.”

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role in the shaping of Dubai and the rest of the emirates,” he says. “JLG has had a strong presence on major projects over the past 18 months such as Midfield Terminal, Louvre Museum, Dubai International Expansion, Dubai Parks Resort, and Blue Waters Bay. The Expo 2020 project has and will see an increasing demand for access equipment as the project speeds up construction by the end of 2019. We expect to see over 1,000 JLG machines working on that site alone.”

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// Trucks

Ford Trucks on the right track Ford Trucks discusses with CBNME about how technology and strong partnerships are helping it cement its position in the region


ow well into the second half of 2017, Ford Trucks is beginning to see the benefits of its ongoing strategy to bolster its dealer network across the GCC. Barely few years since its entry, it has already made huge strides into what had been a stale market dominated by few long-standing brands. Ford Trucks figures have been increased in comparison to its 2016 results. The past year has also seen the fruition of its bold approach to the Saudi Arabian market. This first phase of its entry into the market has seen it establish three centers of operations with its dealer partner Al Jazirah Vehicle Agencies (AJVA) and the company will soon open at five further locations. Ford Trucks has an ambitious growth strategy in the Saudi Arabia and is currently represented in the three major cities of Riyadh, Dammam and Jeddah. During its second phase, Ford Trucks 72

will expand its operations to Jubail, Madinah, Qasim, Aseer, and Jizan, fully confident in the Kingdom’s long-term strengths and capabilities. Its success to date has been enhanced by the comprehensive network of Al Jazirah which gives it an opportunity to cover the large country. In addition, 38 service points of Ford in the Kingdom enables it to support customers in every corner of Saudi Arabia whenever and wherever it is needed. The Saudi market remains an important territory by volume for the heavy vehicles industry and Ford Trucks has settled into the role of a newcomer with a refreshing approach which has seen it concentrate on getting its teams into the offices and job sites of AJVA’s customers. The Saudi market is changing from an economic and social development perspective and fleets are adjusting by seeking out reliable technology that lower costs in their business.

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There are opportunities too for fleets willing to invest. The opening of Ford Trucks’ main office for the Kingdom in Riyadh in 2016 was an important demonstration of its commitment to meet market demand, as well as its belief that national development programmes such as Vision 2030 would help drive further demand for new vehicles and new technology. Ford Trucks understands that the market needed a much better service from the industry and has been able to react quickly on their behalf. It has benefited greatly from the new office in Riyadh and its smooth cooperation with AJVA. It has also reached out to communicate directly with stakeholders in the country like fleet customers, municipalities, public authorities and superstructure companies (that build trailers to haul materials). The recently launched Ford Trucks 8x4 Construction Truck, the 4143M is also proving to be perfectly aligned

The Saudi market remains an important territory by volume for the heavy vehicles industry and Ford Trucks has settled into the role of a newcomer with a refreshing approach.” with the market’s requirements. It is also securing repeat business from the customers. The 4143M has a 430hp and 2150 Nm torque engine and is equipped with a 12.7 cbm mixer, and it is already the leading product in this segment. Ford Trucks believes that once a customer has on its trucks in their fleet, it is very likely that their next order will be a Ford trucks. With the Vision 2030 national development programme placing a great deal of emphasis on reforming business culture and road safety, the onus is on manufacturers to enable fleets to meet the directives that have been laid out by the government. Ford Trucks has a number of features that, it say, can help fleets to make the transition. Products and services in line with Vision 2030, including its safety features which ensure traffic safety and reduce traffic accidents, such as its electronic

brake system (ESP), electronic stability control (ESC), hill launch assist, differential lock, and intarder. It promises effective and efficient outlay for customers with a three-year unlimited mileage, bumper to bumper warranty, 40,000 km service intervals, and reduced maintenance costs on to support customers in their businesses. The company has also targeted quality and comfort in its trucks with an extra high roof cab with double bed, air suspended driver seat, lumbar support, tinted glass, power cab tilting and electrical controls designed to make driving efficient and comfortable. Beyond the Saudi Arabian market, the company has built up a widespread dealer network in the UAE, Oman, Qatar, Bahrain, Iraq, Jordan, Kuwait and Lebanon. Understanding that sales and service network structuring is key to success in its business, it has developed a strong partnership with its experienced roster of dealers, providing best business solutions and services throughout the region. In the Middle East, Ford Trucks and its dedicated dealers serve regional customers with a complete support programme which also includes on-the-spot repairs. Ford Trucks after sales services are represented by mobile services and a wide network of service centers operated by official Ford Trucks dealers. “Ford Trucks is aiming to build long term relationships with its regional customers by understanding their concerns of saving operational cost,” says Mustafa Caner Sinanoglu, managing director of Middle East. “All of Ford Trucks vehicles boast a reassuring combination of durable components (driveline, cab, chassis…etc.) and the range is served with wide network of aftersales to support uptime and the two years warranty which can be extendable for 3 years and with optional customised service contracts and a telematics system throughout the Middle East. Looking ahead, Ford Trucks is preparing to launch its new 6x4 tractor range or the first time in GCC towards the end of the year. It follows a successful roll out its tractors, road trucks and its Construction Series to customers in

the Middle East market. It has been particularly strong in the construction, long-haul transport, public works sectors in the region. Sinanoglu argues that the company has found a sweet spot of offering high quality and durable vehicles at a low initial investment point with low operating cost. It has also mastered the art of offering choice, complemented by customisation. Popular Ford Trucks models, tractors, tippers and mixers can be customized with transmission and cabin types for on road and off-road conditions. Tractors and construction vehicles are offered with 10 mm 500 Mpa chassis frame which further improves the durability of the vehicle. The mixer series for construction applications are offered in 6x4 and 8x4 versions with 12.7l Ford Ecotorq powerful engine (4x2 and 6x2 models feature the 9.0l Ford Ecotorq powerful engine). Its public and special trucks are mainly used for municipality, army and various applications which are offered with many superstructure alternatives and capable of fulfilling the market needs. Through all the models, its ‘Hot Climate Package’ provides comfort in hot and dusty environments with increased A/C performance, improved radiator performance, improved cabin isolation and improved filtration. During longterm development period for the Hot Climate Package, vehicle durability tests including laboratory tests that simulate the region’s high temperatures, humidity and dusty conditions and also the specific customer expectations were studied and considered with road tests in the region. Ford Trucks’ experience, dealer support and technological knowhow is currently being poured into its next models. Coming in Q4 2017, it is planning the official launch of its new construction series and new 6x4 tractor range which will be introduced for the first time in GCC. “By empowering our line-up with a new range, we are expecting to keep our positive results in Q4 2017 and will keep growing up unto 2020,” Sinanoglu concludes.

construction business news me // September 2017 //


// Event preview

UK Construction Week This year’s UK Construction Week promises to be the largest and most impressive yet, with an anticipated 35,000 visitors and more than 650 exhibitors


osted once again at the Birmingham NEC, the UK Construction Week will feature nine shows, taking place from October 10-12, 2017. It’s Britain’s biggest construction industry event, with an emphasis on business networking, peer-to-peer learning and knowledge-share and, of course, the first public viewing of plenty of innovative products. As ever, it’s completely free to attend for all construction industry professionals. Nine shows The nine shows will be taking place simultaneously, covering every facet of building design and construction, from planning to interior fit-out - the Build 74

Show sponsored by Easy-Trim; Timber Expo; Smart Buildings 2017; Surface & Materials Show (featuring Kitchens & Bathrooms Live); Energy 2017; Grand Designs Live; Plant & Machinery Live; HVAC 2017; and Civils Expo. Among the exhibitors are some of the industry’s best-regarded specialists, including Rockwool, Velux EasyTrim, Portakabin, Steico CAT, Cemex, Gripple, Screwfix, HS2, and HP, as well as a long list of international names such as Bisen Smart Access Co, Hauff-Technik, Kessel, Randek, and the Jiangxi Songtao Bamboo Industry Company. There will also be international pavilions from Turkey, China, Belarus, and Poland.

// construction business news me // September 2017

World and UK Premieres Along with demonstrations of the latest construction techniques, materials, and new products benefitting every domestic and international sector, the event will be hosting a world premiere. Ten Fold will be giving the world’s first live demo of the TF-64 – a fully relocatable, self-deploying building that offers the tantalising possibility of fully relocatable, expanding buildings that arrive, self-unload, and self-deploy in minutes using almost no power. These units are furnished and ready for immediate use and can fold away and move on as effortlessly as they arrive. This approach could solve the challenge of annual and seasonal varia-

tions in demand faced by educational institutions, the NHS, and the Housing Sector. At the Surface & Materials Show 2017, the event will be hosting the ÖÖDHOUSE - a rapid-construction pod building made from timber and privacy glass so that it reflects its exterior surrounding – seen at UK Construction Week for the first time. Three major motifs Offsite construction is a recurring theme - it’s the future of the way we build, and there are more exhibitors focusing on offsite and modular construction at UK Construction Week than any other area. This part of the event is supported by the Modular and Portable Building Association (MPBA) and Structural Timber Association (STA), organisations heavily involved in promoting the benefits and advantages of offsite and volumetric modular construction. The Building Research Establishment (BRE) is hosting the BIM Prospects Theatre, where experts will

share their insights on delivering collaborative 3D BIM. Building safety is an absolute priority at this year’s event. Visitors will benefit from free CPD advice covering changes to legislation on safety, guidance on product safety, and fire prevention strategies, among other insights. Seminal speakers UK Construction Week has an impressive line-up of speakers for 2017. Well-known TV architect, George Clarke, and architecture expert Tom Dyckhoff will feature alongside Heathrow Airport, Network Rail, Zaha Hadid Architects, drMM, Arup, Pier Architects, Design for Homes, and HS2 Growth Partnership. There are experts in every subject from the future of architecture and infrastructure, interior design to sustainability, from smart cities to standards supporting international trade. This year, there are extra zones and theatres, including the Offsite Theatre in association with the Modular and Portable Building Association, the Development and Regeneration Hub, the BIM Prospects Theatre delivered by BRE, the Education Hub featuring BSI Construction Forum, and the How To Theatre sponsored by Trimaco.

The Innovation Trail UK Construction Week is bringing back the Innovation Trail, a showcase for the newest and most exciting construction-related products on the market. Zip Panelling will bring its latest composite panel board design that is set to revolutionise external party, internal cladding, and flooring construction. Grundfos will introduce SCALA2, a new fully integrated, variable speed, water booster pump that has been specifically designed and built to deliver perfect water pressure to wherever it is needed. What else is happening? New specialist awards are added to the awards ceremonies this year, too, including the Offsite Awards, BIM Awards, and several new World Architecture News awards to be presented. In a communications partnership, the Chartered Institute of Building and ITN Productions are producing a news and current affairs-style programme which explores the opportunities, challenges, and future of the UK construction industry live at the event. Construction Careers Week will take place for all Birmingham and Solihull senior schools from October 9-13, 2017, designed specifically to tie in with the dates of UK Construction Week 2017.

construction business news me // September 2017 //


// Auctions

The big sale Jonnie Keys, operations manager for Euro Auctions, previews the auctioneer’s first big event for the Middle East, to be held in JAFZA in Dubai


romising to shake up the auction scene in the Middle East, leading auctioneers of industrial plant, constructional, and agricultural equipment, Euro Auctions will open the doors to its first sale on September 13, 2017. The two-day auction marks the culmination of preparation dating back several years and operations manager Jonnie Keys tells CBNME that, while it has always welcomed Middle East participation at its sites globally located sites and on76

line, Euro Auctions is excited to finally bring its experience to Dubai’s Jebel Ali Free Zone (JAFZA). He explains: “The Middle East has long been part of the continued global expansion plans for Euro Auctions and, in particular, the UAE was the obvious destination to establish a strong and stable operating base. Euro Auctions has always had very good relationships with consignors and buyers in the Middle East and Africa. This new auction location will enable the

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business to create stronger relationships with customers in this region. Euro Auctions has seen increased participation from the Middle East in sales in Europe and the USA over the past 12 months and the new Dubai facility will contribute to building a stronger customer base in the region.” With a trading base in Brisbane, Australia, and with a new sale site in Hong Kong coming online in September 2017, Dubai will be a pivotal point in triangulating the Pacific Rim,

he adds, “and creating secure logistical and operation points through which Euro Auctions can best serve this region”. While this will be the first time it has held a physical auction in the region, Keys stresses that Euro Auctions has been close to the market for some time. “Euro Auctions markets to over 100,000 prospects in over 95 countries around the world. As a result, the business communicates regularly with its global community and our teams know personally the majority of sellers and buyers in the region.” He explains: “For Dubai, Euro Auctions has a large contingency of consignors and buyers on that database that reside in the Middle East with whom the business will communicate. On the ground, Euro Auctions has employed local specialists with local knowledge and contacts. The number of territory managers for the Middle

East will increase over time.” The operation in Dubai is led by a three-man team of general manager Derek Bleakley, territory manager Richard Sweatt, and UAE auction veteran and sales manager Amjad Abu Faroukh. Keys says that the company’s business model is always to recruit a core team in every country from locals who understand the language and culture. “This local team is then bolstered at each sale from key staff across the world,” he continues. “For example, the customer service team who manages the administration aspects, the IT department, the financial department, and many more that provide essential support for each sale. This way, the whole Euro Auctions family values are maintained and buyers and sellers attending multiple events see recognisable team members at each sale.” The concept of family and family

values is brought up by Keys time and again in conversation, and like many of Euro Auctions’ Middle East sellers and bidders, he is part of a familyowned and family-run business. The company was founded in the UK by Derek Keys and his brothers in their home town of Dromore, Northern Ireland. The first sale in 1998 boasted just 371 lots of industrial plant, construction equipment, and agricultural machinery, but attracted over 1,500 bidders. While that may have excited talk over the family dinner table two decades ago, Derek and his brothers now oversee a global operation that runs sales in seven countries spread over four continents. Over 70,000 pieces of equipment will have been sold to over 10,000 buyers (with 6,000 vendors and 30,000 bidders) at Euro Auctions' 60 sales by the end of the year, but, despite its global footprint, Euro Auctions has not lost

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// Auctions

How it works Euro Auctions photographs and compiles a comprehensive specification of all lots which are then posted on the auction platform site www.euroauctions. com. Before all sales, Euro Auctions conducts an extensive global marketing campaign to promote, not just the auction, but specific pieces of specialised equipment to target audiences. All auctions exist physically at the sale site as well as online through the Euro Auctions free to use auction platform. Bidders can watch and listen to the auction in real time and on an average, 40% to 50% of all bidding activity is conducted through the internet. All sales are ‘unreserved’, meaning each lot is sold to the highest bidder. Once purchased, the buyer typically goes through an efficient post sale process of payment, completion of necessary documents, and the arranging of any logistics where necessary, with Euro Auctions trying to keep everything as simple as possible. Euro Auctions ensures that at all sites around the globe, the seller and buyer experience is seamless regardless of location and many consignors and buyers will sell or bid at multiple sales globally each year. So, making the experience identical on each occasion is key to ensuring they buy or sell well. The only local or cultural differences will be confined to language, currency, or international legislation. Practically and logistically, Euro Auctions helps its consignors to prepare lots for sale, with jet washing, carrying out cosmetic and mechanical repairs, collections and deliveries, hence, keeping all the machinery for sale in one place is the way to achieve this, making a case for physical sales moving forward.


touch with what has made it a popular destination for sellers and buyers for close to 20 years. “Euro Auctions has built a sound reputation by listening to its clients, working with them and helping them to solve any logistical problems that are inevitable in this industry. We spend time with our clients getting to know them better. We also deliver what we promise,” says Keys. “We are always fair, and that coupled with having a very ‘can do’ attitude, sets us above the rest. We have many customers who have been with us for many years and we have worked with them when times have been challenging and the economic environment has been more positive. “These experiences have promoted terrific customer loyalty. From an organisational perspective, Euro Auctions has a fairly flat and compact structure, meaning we can be extremely agile and responsive to economic changes or to any opportunities that we see in the market.” He continues: “When Euro Auctions opens its doors in Dubai in September, the first impression that attendees will

// construction business news me // September 2017

get is that the sale is a very friendly affair with buyers and sellers being treated with high levels of customer service. As Euro Auctions knows its customers personally, there will be a lot of familiar faces in the sale room as well as looking at and testing equipment and machinery. “Friends in the Middle East are regular visitors to other Euro Auctions sales around the planet, and are regularly seen in the UK, Germany, Spain, and Australia. The friendly atmosphere will be apparent and the Keys family will be evident at each sale and have a real ‘hands on’ approach. Overall, the sale will be friendly and efficient with lots of familiar faces as well as having great machinery on offer.” Speaking in early August, Keys says that Euro Auctions is deep into the throes of arranging consignments for the September sale. The reaction from the market to its entry into Dubai has been overwhelmingly positive, he adds. “Interest to date has been exceptional and with many loyal buyers and sellers in the region, Euro Auctions expects trade to be good,”


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// Auctions

he states. “With the inaugural sale, Euro Auctions is looking to provide consignors with a real alternative in the region at which to sell. For buyers, it provides the opportunity to buy some really good equipment and machinery. Once that is achieved, Euro Auctions will continue to build the numbers as sales follow.” It remains to be seen how other auctioneers based in the UAE will react to the entry of one of the world’s most famous names, but Keys is keen to emphasise that his company is purely focused on providing access to the global market. “Local auctions have their place, but their organisation and structure means they are dependent on local buyers,” he says, “The merit of choosing a large reputable plant auction specialist is added professionalism and expertise, including how the asset is presented, how it is advertised to the correct market, where it is advertised, presenting it appropriately, and having the right mix of buyers both local and international who will compete aggressively ensuring a good price – this is what Euro Auctions is best at.” 80

An added advantage the larger plant auctioneers have over the smaller operators is market knowledge, he comments. “Many of the vendors known to Euro Auctions have also been buyers, so we know the equipment they have and can offer them the best advice on

// construction business news me // September 2017

where and when to sell to optimise the price. Regardless of market prices, what vendors want to achieve is fair market value, knowing that the seller has done his best and the asset has achieved what it would make at other auctions worldwide.”



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// Supplier News


Chicago Pneumatic to power Dubai luxury project Global construction equipment manufacturer, Chicago Pneumatic, is set to provide the essential power required for the construction of a luxury residential development besides the Dubai Water Canal. The order was secured by authorised Chicago Pneumatic distributor, German-Gulf Enterprises, with 14 generators forming a crucial part of a project that will see 6,000 new homes built by 2021. The order includes six CPSG300, five CPSG200, one CPSG105, and two CPSG60 machines. Sushil Kumar, divisional manager at GermanGulf Enterprises, says: “We put forward CPSG generators, in response to the tender from the project contractor, as they provide excellent durability and are built to withstand tough worksite conditions while operating at high working temperatures. These features were deemed essential by the contractor as

the project needed a power supply capable of performing continuously over a long period of time.” As part of the order, Chicago Pneumatic installed its advanced BSE7320 control panel on all of the generators, which enables users to operate the machines remotely. To facilitate faster

positioning of the generators, both on and offsite, the project contractor also requested that all the larger CPSG300 machines were equipped with an optional lifting beam. Edmerlito Gonzales, regional business line manager for Chicago Pneumatic Construction Equipment in

the Middle East, said: “We congratulate German-Gulf for securing this significant order which further increases recognition of our brand in the UAE. Our generator range offers premium power at a competitive price and we’re pleased that they are being used in a leading construction development.”

Alba reports 111% income rise in H1 Aluminium Bahrain (Alba) reported that the net income for the first half of 2017 rose by 111% year-on-year to $115.2mn as to $54.5mn for the same period in 2016. The company generated a net income of $47.1mn in Q2 2017, up by 8.5%, compared to $43.4mn in Q2 2016. The company reported total sales of $476.9mn in Q2 2017 versus $441mn for the same period in 2016, up 8% year-on-year. Total sales in H1 2017 stood at $983.3mn, up by 15%, versus $56.8mn in H1 2016. Alba’s topline and bottomline for the second and first-half of 2017 were primarily driven by higher


London Metal Exchange (LME) prices, an increase of 22%, and favourable employee performance. Commenting on the financial results, the chairman of Alba’s board of directors, Daij Bin Salman Bin Daij Al Khalifa, said: “Alba improved its bottom-line despite the impact of the power outage. I would like to thank our employees and contractors for their efforts in safely restoring Line 5 production to normal operations.” Alba’s chief executive officer, Tim Murray, added: “We delivered exceptional results taking into account the strain that Line 5 recovery put on our operations."

// construction business news me // September 2017


Al Jazeera Steel posts 12% hike in Q2 sales Omani steel manufacturer, Al Jazeera Steel Products, reported a 12% rise in year-onyear sales volumes during the second quarter of 2017. The group's sales in H1 2017 came to OMR46mn, 31% higher than H1 2016's sales of OMR35.3mn. In a filing on the Muscat Securities Market, Sulaiman Mohammed Shaheen Al-Rubaie, chairman of Al Jazeera Steel, said: “The company's Q2 sales growth came on the back of its amplified marketing efforts. The second quarter was a chal-

lenging period as anticipated, due to various reasons. The summer months, coupled with reduced working towards the end of the quarter, due to the Holy Month of Ramadan, and various events in the region, led to lower incremental demand." A downward price cor-

rection in China also put pressure on the prices of finished products both, regionally and globally, which Al-Rubaie said, "had a direct impact" on the firm's bottom line. He added: "Even with a competitive environment, coupled with lower demand growth, the company man-

aged to increase sales volumes and maintain profitability. This was achieved predominantly due to cost optimisation and diversification in product mix." Al Jazeera also acquired the stake of its joint venture (JV) partner in Saudi Arabia during Q2 2017. Al-Rubaie said: "This will now lead to better operational control and realise the purpose it was conceived for. This move is expected to help the company increase its penetration into the Saudi market in the coming years."

GCC materials handling equipment market to hit $5bn by 2020

The revenue for the GCC materials handling equipment market, which was worth $3.78bn in 2014, is set to maintain a compound annual growth rate (CAGR) of over 4% while reaching an estimated $4.8-$5bn in revenues by 2020, according to Frost & Sullivan. Saudi Arabia with about 46%, and the UAE with 35%, make up the largest markets in the region and are expected to continue to spearhead market expansion going forward, the research found. Key drivers for the continued expansion in demand for materials handling equipment continue to be the ongoing focus of the GCC countries in large-scale infrastructural and logistics development, including that of key transport and shipping hubs,

export processing and free zones, as well as the high dependence of many countries on import of goods and services that call for increased reliance on materials handling and logistics facilities, according to the research, presented by Messe Frankfurt Middle East, the organisers of Materials Handling Middle East 2017, which will run from September 11-13, 2017, at the Dubai International Convention and Exhibition Centre. Among the global giants showcasing their latest offerings are the likes of Swisslog, Daifuku, and Kardex. Major local players, such as GENAVCO, SPAN Motors, and United Motors and Heavy Equipment will also participate in the event, where they will be joined by debutants such as Feralco from France, MPM from Italy, and Saudi manufacturer Power Rack Factory.

construction business news me // September 2017 //


// Editor's pick

A ray of hope

Despite political instability, the MENA infrastructure markets have been fairly stable over the last quarter, according to a recent report by BMI Research The Middle East and North Africa (MENA) infrastructure markets have been largely stable over the last quarter; the GCC remains best able to offer a balance of strong opportunities and low risk business environments despite the increased political risk. According to BMI Research’s Risk/Reward Index (RRI), MENA ranks as the third strongest region globally, placing it in the middle of the pack behind North America and Western Europe (NAWE) and Asia, but ahead of Latin America, Central and Eastern Europe (CEE), and Sub-Saharan Africa (SSA). The UAE and Saudi Arabia outperform the smaller markets of Kuwait, Oman, and Bahrain. Overall, the financial firepower and relative political stability of the GCC make them the more attractive markets to operate in for infrastructure developers and investors. However, the index notes that the GCC risks eroding its advantage over markets such as Egypt and Jordan as the rift between Qatar and other regional peers continues to drag on. On the other side, Egypt is the strongest scoring non-GCC market in the MENA RRI. With solid structural demand for infrastructure driven by a positive demographic profile and a government which has actively looked to the sector as means to win popular support and prop up economic growth, Egypt's rewards profile is strong and registers a score of 68.7 overall, behind only the UAE and Saudi Arabia. Egypt’s till remains a significantly riskier infrastructure market to operate in, however, with a weak legal environment, poor logistics, and quality of labour, as well as elevated crime and security risk. That said, the report highlights a more positive outlook on the country's long-term economic outlook following the free float of the currency in 2016 84

and the removal of restrictions of capital transfers out of the country, which will encourage an ongoing recovery in foreign investment inflows. Under the stewardship of the International Monetary Fund (IMF), this improved sentiment in the eyes of investors will buoy the country's infrastructure sector as they look to tap into Egypt's burgeoning public-private partnership (PPP) market. Iran, this quarter, has seen an improvement in its RRI scores for economic risk due to an improved outlook for inflation and investment into the country. The report suggests that President Hassan Rouhani's re-election to a second term will ensure Iran's continued relative openness towards foreign investment over the coming years, encouraging non-US companies to engage with the country. This is positive for Iran's economic outlook though the improvements will only be gradual, as the hardline elite continues to constrain the President's ability to introduce major reforms. Within this context is a construction sector which is forecast to return to robust growth in 2017-2018 and remains the third largest in the MENA region, coupled with significant pent-up demand for infrastructure investment from a large

// construction business news me // September 2017

population following years of sanctions, offers a great deal to those companies willing to look to the market. Languishing at the bottom of the regional and global tables are Yemen, Iraq, and Libya. Notably Yemen comes at last place (105 out of 105 countries ranked globally) on the back of severe weaknesses in industry outlook and institutional, political, and security capacity. Libya is in 94 places out of 105 globally and penultimate place regionally. Prior to the current state of conflict, Libya had attracted several construction majors into what was one of the largest infrastructure markets in Africa. However, the sector has come to a complete standstill as the security and political situation remains one of the most precarious globally, effectively preventing any activity from taking place. For Iraq, an impressive rewards score driven by a significant backlog of projects and pent up demand for infrastructure, is utterly undermined by some of the weakest scores globally for risks. In particular, an opaque and corrupt business environment affects contract awards and security and stability will remain extremely fragile for the foreseeable future.


DISCOVER HOW TO ACCELERATE YOUR BUSINESS Powered by Thomson Reuters, Accelerate SME is the gateway to the SME ecosystem in MENA; providing access to the resources and solutions needed to support you at any business stage. We have joined forces with some of the region’s most powerful financial and workflow solution providers to service and support your specific needs. As a member of Accelerate SME you can access a wide range of business resources including, funding, online community, industry insights, tools and easy-to-use templates.


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Cityscape Global Dubai, UAE Cityscape Global 2017 is the largest and most influential real estate investment and development event for emerging markets globally. Bringing together investors, developers, government officials, and real estate professionals, there is no better place to find investment opportunities and new business partners. It is recognised as the annual barometer for the real estate industry in emerging markets and is one of the largest and most influential real estate events held globally. The event supports real estate growth worldwide to an international audience, highlighting iconic architecture, significant developments and unparalleled investment opportunities.







Infra Oman Muscat, Oman It is dubbed as one of the largest building and construction expo in the Middle East and has been continuously defining the industry’s development for the last six years. Organised by Al Nimr International Exhibition Organisers, it is considered as the annual meeting place for industry leaders, suppliers, and buyers in the Sultanate. Infra Oman has proved to be an ideal starting point not only for the local companies, but also for foreign entities that are more determined to be part of Oman’s growing market.

// construction business news me // September 2017


Saudi Build 2017 Riyadh, Saudi Arabia Saudi Build has been Saudi Arabia’s largest construction trade exhibition, attracting thousands of international manufacturers, exporters and businessmen, as well as tens of thousands of regional engineers, importers and industry professionals to connect and engage with the latest technology that the Kingdom’s largest sector has to offer. The exhibition will have more than 870 local, regional, and international companies under one roof and will also offer networking opportunities with decision makers from the public and private sectors. 2nd Annual GCC HVAC Summit Dubai, UAE The event plans to have all stakeholders under the energy program across the GCC under one roof. The event would focus on environment policy and planning, sustainable development, HVAC technologies, challenges and opportunities in the sector, sustainable options – clean energy and regulations, and many more topics. Organised by Gulf Learning, this summit will showcase the prowess and potential of HVAC technologies that will secure air conditioning and power consumption to its most effective level, and organisations in the region and globally, who are intending to expand their portfolios into emerging markets such as district cooling, energy, and power efficiency and sustainability.


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Construction Business News September 2017  

The September issue of Construction Business News ME features an exclusive interview with Al Shafar chief, a site visit to Sobha Hartland, a...

Construction Business News September 2017  

The September issue of Construction Business News ME features an exclusive interview with Al Shafar chief, a site visit to Sobha Hartland, a...