Big Project ME July 2019

Licensed by Dubai Development Authority

160 July 2019

MEConstructionNews.com

THE BUSINESS OF CONSTRUCTION

It’s Showtime!

BIG PROJECT ME GETS AN IN-DEPTH LOOK AT HOW ASGC BUILT DUBAI’S LANDMARK COCA-COLA ARENA

Experience the progress.

Economic transport of concrete with the HTM 1304 • Ideal solution for High Flow Concrete • Longer lifetime • User-friendly design

Liebherr Middle East FZE P.O. Box 2540 Dubai Tel: +971 4 889 1740 E-Mail: ali.kassem@liebherr.com www.facebook.com/LiebherrConstruction www.liebherr.com

1

CONTENTS

July 2019

08

24

42

20

32

52

ANALYSIS

FEATURES

INSIGHT

08

The briefing

24

38

Comments

The big picture

Big Project ME speaks to John Pagano, CEO of The Red Sea Development Company, about the massive Red Sea Project and how it will shape the future of Saudi Arabia

42

Case study

48

Tenders

52

Progress report

Leaders in the industry offer their thoughts on the market forces and dynamics shaping the construction and real estate sectors

12

Providing a wrap-up of the biggest local, regional and international construction news stories

16

Market report

20

News analysis

ProTenders provides data and analysis about the different sectors in the Sultanate of Oman’s construction market

Angitha Pradeep speaks to Majid Al Futtaim’s Ibrahim Al-Zu’bi about the impact of the region’s first Green Sukuk

In profile John Pagano

32

Project profile Coca-Cola Arena

Big Project ME finds out how ASGC and its subsidiaries designed, built and delivered the impressive Coca-Cola Arena in Dubai’s Citywalk neighbourhood

The industry’s brightest minds share their thoughts on a variety of topics and issues impacting the construction industry

Aurecon relates how it used drones and 3D scanning technology to help save a community in New Zealand from disaster

Big Project ME, in association with Middle East Tenders, provides the biggest tenders for the month of July 2019

Ithra Dubai provides an update on construction progress on its Deira Enrichment Project in Dubai

MEConstructionNews.com | July 2019

2

WELCOME

Introduction

A Voice for Change

Y

ou’ll find this month’s issue of Big Project Middle East– our 160th – is different to what you’re accustomed to seeing.

Having last changed the design in 2015, we felt that it was time to give the publication an upgrade, both in terms of its look and feel, and in terms of the content and information that we share with you.

Over the last few months, I’ve been having chats with a number of readers and contributors, asking them what they think Big Project ME should be, and the most common answer was that it had to be a voice for the industry. While it was well and good to focus on news and current affairs in the regional construction market, it also has to provide a platform for those in the industry to share their concerns – and their solutions – with each other.

This is why we’ve decided to revamp the magazine, offering more space for the experts

July 2019 | MEConstructionNews.com

to offer their viewpoints and insights, while also advocating the business case for change and evolution from within. We also plan to feature more analysis and observation from leading industry figureheads about the regional market, so that you’re better informed and aware of what’s happening around you.

What we intend to do with this shift is to have a magazine that works better for you, our readers, and that will feed into the conversations that the industry is having.

When combined with our growing stable of industry-focused events, such as the upcoming Retail and Hospitality Construction Summit and the ME BIM Summit, and our increasingly prominent online presence, we’re confident and proud to offer the industry a powerful and comprehensive platform to build on the great work that is being done around the GCC and MENA region.

We look forward to continuing the conversation with you for many years to come.

Gavin Davids

GROUP EDITOR gavin.davids@cpitrademedia.com @MECN_Gavin MEConstructionNews me-construction-news

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4

Licensed by Dubai Development Authority

160 July 2019

meconstructionnews.com

THE BUSINESS OF CONSTRUCTION

Group MANAGING DIRECTOR Raz Islam raz.islam@cpitrademedia.com EDITORIAL DIRECTOR Vijaya Cherian vijaya.cherian@cpitrademedia.com

Editorial GROUP EDITOR Gavin Davids gavin.davids@cpitrademedia.com +971 4 375 5480 JUNIOR REPORTER Angitha Pradeep angitha.pradeep@cpitrademedia.com +971 4 375 5479 SUB EDITOR Aelred Doyle aelred.doyle@cpitrademedia.com

It’s Showtime!

BIG PROJECT ME GETS AN IN-DEPTH LOOK AT HOW ASGC BUILT DUBAI’S LANDMARK COCA-COLA ARENA ON THE COVER

Big Project ME finds out how ASGC and its subsidiaries designed, built and delivered the impressive Coca-Cola Arena in Dubai’s Citywalk neighbourhood

Advertising COMMERCIAL DIRECTOR Jude Slann jude.slann@cpitrademedia.com +971 4 375 5714 HEAD OF KEY PROJECTS Andy Pitois andy.pitois@cpitrademedia.com +44 7816 843610

Design ART DIRECTOR Simon Cobon simon.cobon@cpitrademedia.com DESIGNER Percival Manalaysay percival.manalaysay@cpitrademedia.com

Photography PHOTOGRAPHER Maksym Poriechkin maksym.poriechkin@cpitrademedia.com

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The publisher of this magazine has made every effort to ensure the content is accurate on the date of publication. The opinions and views expressed in the articles do not necessarily reflect the publisher and editor. The published material, adverts, editorials and all other content are published in good faith. No part of this publication or any part of the contents thereof may be reproduced, stored or transmitted in any form without the permission of the publisher in writing. Publication licensed by Dubai Development Authority to CPI Trade Publishing FZ LLC. Printed by Al Salam Printing Press LLC. CPI Trade Media. PO Box 13700, Dubai, UAE. +971 4 375 5470 cpitrademedia.com © Copyright 2019. All rights reserved.

July 2019 | MEConstructionNews.com

Web Development WEB DEVELOPER Mohammad Awais mohammad.awais@cpitrademedia.com WEB DEVELOPER Sadiq Siddiqui sadiq.siddiqui@cpitrademedia.com FOUNDER Dominic De Sousa (1959-2015)

Etihad Towers | Abu Dhabi | UAE

6

ONLINE

MOST POPULAR

READERS’ COMMENTS

FEATURED

CONSTRUCTION

HOW RETAIL DEVELOPERS CAN WIN FIGHT AGAINST ONLINE

Sharjah Airport Authority opens tenders for airport expansion project

You only have to look at the increasingly sparse town and city centres across the developed world to see that retail faces a major challenge.

CONSTRUCTION

Work starts on Swiss pavilion for Expo 2020

Feature: A bump in the road for driverless cars?

CONSTRUCTION

Kuwait’s CAPT issues resolutions for construction services

CONSULTANT

ACCIONA Producciones y Diseño reflects on construction of Qasr Al Watan

CONSULTANT

EmiratesGBC: Retrofitting is crucial for meeting carbon emission targets July 2019 | MEConstructionNews.com

Opinion: A new generation, a new style

I read the article (How retail developers can win fight against online) and was happy to see that I am not the only one that thinks we need to re-think the way we design malls in the region.

We may be behind the curve when it comes to the evolution of the retail space but online sales are now keeping people away from the traditional shopping experience and it will inevitably hit here. We need to not just be thinking about the technology but also the economics of mall operations and ensure that retailers are not priced out of the market.

That is the only way that we can continue to offer choice and also value for consumers. We also need to ensure malls maintain strong, separate identities. In the future we won’t need more malls, but better ones too.

Name withheld by request

Sheikh Zayed Grand Mosque | Abu Dhabi | UAE

8

THE BRIEFING

New developments

UAE property developers shifting focus to mid-market

UNITED ARAB EMIRATES

Low Ping, CEO of Eagle Hills, says UAE developers are becoming more discerning about product offerings

July 2019 | MEConstructionNews.com

T

he UAE’s real estate sector is undergoing a transformation as it adapts to the demands and preferences of investors and buyers, says the CEO of Eagle Hills, an Abu Dhabi-based private real estate investment and development company.

In an exclusive interview with Big Project ME, Low Ping said that the UAE’s real estate sector has been witnessing positive impacts, which indicates that real estate companies

are listening to investors’ and buyers’ needs, despite the challenges they face.

“As we all know, the property sector’s performance is dependent on so many factors, and it is currently a soft market.

It is also maturing, with developers getting more discerning about their product offerings, which will limit the amount of new supply in the next two years. Unlike three to four years ago, the market has now adjusted and is not adding to a huge amount of supply,” Ping said as part of a wide-ranging

12.4 km of

waterfront development projects currently underway

9

Boosting the sector The introduction of 10-year residency visas for certain professionals will boost the real estate sector, Ping says.

Strategic expansion Ping says Eagle Hills’ global expansion to strategic locations across the world has proven to be a success.

interview with Big Project ME. “In addition, the market has also become more affordable, presenting buying or entry opportunities before those who have not yet bought into the market.”

She added that developers are now increasingly aware of the potential that exists in the mid-market and are now focusing on demand from that sector.

“The demand for high-quality lifestyle with affordable housing can be looked at as another factor. However, increasingly proactive measures adopted by the government, such as the new legal framework and financial regulations such as the proposed mortgage law, are set to immensely benefit the UAE’s property market. The easy availability of competitive price points for premium properties compared to other global cities, long-term return on investment and rental yields are also factors that will attract more global investors.”

Ping explained that while challenges do exist in UAE real estate, there are still several key opportunities across a range of sectors in 2019. A slew of visa reforms and new policies will fuel the growth of the industry by supporting the UAE’s transition into a world-class business hub, she said.

“The introduction of the new legislation is set to further ease the process of conducting business in the country, and with new trends and digital advancements significantly improving efficiency and transparency, there is no doubt that 2019 is going to be a year of great opportunities for the UAE’s real estate sector. Abu Dhabi government’s modification of real estate laws to allow foreigners to own freehold property in designated zones will definitely increase foreign direct investment (FDI) inflows, thereby boosting the economy.”

Furthermore, she added that the introduction of 10-year residency visas to specialists in the medical, scientific, research and technical fields, and longer visas for students and entrepreneurs, will provide another major boost to the real estate sector.

“These are major milestones with huge potential to revive both the rental and owner-occupier markets in residential and commercial property sectors,” she said.

Increasingly proactive measures adopted by the government, such as the new legal framework to financial regulations such as the proposed mortgage law, are set to immensely benefit the UAE’s property market” Ping highlighted that along with the increased availability of alternative sources of finance, the UAE’s development finance market is constantly evolving and becoming more diverse. “Keeping track with the rapid pace of technological advancements, the adoption of blockchain technology is also an area of focus. However, despite these challenges, developers do anticipate continued growth.”

With regard to Eagle Hills itself, Ping said the developer’s global expansion

strategy in 2018 resulted in a strong performance, with 17 mixed-use projects successfully launched at strategic waterfront locations around the world by the end of the year. More than 35,000 units are currently under development in 11 cities, across three continents.

“The development of a total of 12.4km of waterfront development projects featuring luxury residences and hotels is currently underway in Sharjah, Fujairah, Muscat, Bahrain, Tangier and Aqaba,” she said. “With several launches taking place in 2018 and early 2019, our global expansion to strategic locations across the world has proved to be a success. These efforts complement our growth and expansion roadmap that aims to develop promising locations with the potential to make significant contributions to the local economy, while also ensuring investors realise the sustainability of their investments.

“Sustainable waterfront communities have emerged as a leading global trend that appeals to both residential and hospitality markets, and have now become the most-preferred proposition for many buyers,” she added.

Ping concluded by stating that Eagle Hills would continue to look for opportunities to invest in more countries and contribute to the revitalisation and diversification of local economies.

MEConstructionNews.com | July 2019

10

THE BRIEFING

Lootah offers region’s first lease-to-own industrial warehouses UNITED ARAB EMIRATES

Clients will have full ownership of warehouses after 10 years, says CEO Saleh Abdullah Lootah

July 2019 | MEConstructionNews.com

L

ootah Real Estate Development (Lootah), the real estate arm of Lootah Holding, has launched the region’s first lease-to-own industrial warehouse model in Dubai, with construction estimated to start in two months.

Located in Dubai Industrial Park (DIP), the model will offer clients pre-built industrial warehouses at 2% down payment, with customisation options available for different business requirements.

Moreover, clients will have full ownership of the warehouses within 10 years, with base price for individual facilities starting at $2.7m.

Lootah has partnered with Range International Property Investments as the exclusive sales partner.

Lootah has acquired 278,709sqm of land in DIP for the construction of Senaeyat, the industrial warehouse development project, for 49 years.

Expanding services Depending on the level of response to the warehouse offerings, Lootah plans to expand services across the UAE and beyond.

Uniform price Lootah’s business model will provide a uniform price for warehouse leasing, to counter the market’s fluctuating prices.

$81m total investment in first and second warehouse phases

Slated to be completed in two phases, phase one will develop 92,903sqm, with four different builtup areas for warehouses – 1,858sqm, 2,229sqm, 2,787sqm and 3,344sqm.

The second phase will have the same options, in addition to 4,645sqm and 5,574sqm warehouses. Total investment in both phases will be $81m, shouldered 60% by banks and 40% in-house.

Speaking to Big Project ME during the launch, Saleh Abdullah Lootah, CEO of Lootah Real Estate Development, said: “In phase one we will start with 20 warehouses, and in phase two we will look at constructing 30 more warehouses. Once we receive more responses, we will consider expanding and providing our services in Abu Dhabi, the Northern Emirates and even outside the UAE.” He added that this business model will help clients convert operational costs to assets, while also providing a uniform price for

THE BRIEFING

11

We have aligned ourself with the UAE’s industrial strategy to boost the non-oil sector as part of its diversification plans – by offering this kind of help for investments and investors, locally and internationally, and by giving them such spaces and turnkey solutions” warehouse leasing, to counter the market’s currently fluctuating prices.

“We have been in the industry for a long time; in fact, we are one of the pioneer real estate companies in Dubai. This has provided us with the added advantage to study and understand the market.

“Having collaborated with industry specialists, we realised that clients are looking for custombuilt warehouses with targeted specifications and modern features, compared to a standardised format of manufacturing facilities. Senaeyat is a response to the growing demand for such warehouses in the market.”

Lootah further explained that the Senaeyat project actively supports the Dubai Industrial Strategy 2030, by enabling the growth of the industrial ecosystem and providing clients with an important resource to achieve short- and long-term goals.

Additionally, Senaeyat is aligned with Dubai’s expansion plans in placing clients in future growth areas.

“Expo 2020 Dubai will be the start, and the market will continue to move forward from there. Obviously, the cost of doing business has increased, but

our government has identified those issues and is working aggressively to address them – the golden visa programme is an example of this. We have aligned ourself with the UAE’s industrial strategy to boost the non-oil sector as part of its diversification plans – by offering this kind of help for investments and investors, locally and internationally, and by giving them such spaces and turnkey solutions.”

Lootah also stressed the importance of sustainability, which is being driven by the Dubai government, and how all new construction is required to submit the green building certificate to attain permits before works start.

“Senaeyat’s location is also considered customs-exempted due to its presence at DIP and our portfolio of warehouses are designed to address different businesses from multiple industries,” he said, adding that clients will also benefit from the potential proximity to major locations such as the Jebel Ali Port, the Expo 2020 Dubai site and the new Maktoum International Airport.

Adjacent to Dubai South, the project is also close to several highways such as MBZ Road and Emirates Road.

MEConstructionNews.com | July 2019

12

THE BIG PICTURE

01 CANADA

02 NORTH AMERICA

03 URUGUAY

Graham team selected for Davenport Diamond rail project in Canada

Zachry Group, Mitsubishi win contract for polyethylene plant

GVC consortium bags $826m contract for Uruguay railway project

Graham Commuter Rail Solutions (GCRS) has been selected as preferred proponent to design, build and finance the Davenport Diamond rail grade separation project in Toronto, Canada.

The project involves the construction of a rail grade separation structure between the north-south GO Barrie Rail corridor and the east-west CP Rail corridor, and erection of retaining walls forming the approaches of the grade separation structure, topped with noise reduction walls to minimise community impact.

Gulf Coast Growth Ventures (GCGV), a joint venture between ExxonMobil and Saudi Arabia’s Sabic, has awarded a contract for the construction of two polyethylene production units to Zachry Group and Mitsubishi Heavy Industries America.

US-based Zachry Group and Japaneseowned Mitsubishi Heavy Industries America will build the two polyethylene production units as part of a larger $10bn plastics plant in Corpus Christi, Texas. GCGV received the permits for the petrochemical plant from state regulators recently.

Zachry Group will construct a chemicals complex that will have a 1.8m tonnes per annum (MTPA) ethane steam cracker, a 1.1 MTPA monoethylene glycol unit and a polyethylene unit.

Construction is expected to start later this year and will be completed by 2022.

Sacyr-led Grupo Vía Central consortium (GVC) has won a $826m contract from the Uruguayan Ministry of Transport and Public Works for the Uruguay Central Railway project. The GVC consortium includes Uruguayan companies Saceem and Berkes and French company NGE. Under the 36-month contract, GVC will renovate 273km of the railway that connects the city of Paso de los Toros with Montevideo port. It will also operate on secondary roads, so that a total of 340km of roads will be installed.

04 UNITED KINGDOM

05 NORWAY

06 UNITED KINGDOM

Telford Homes signs $357m contract to build 894 homes in UK

Saipem wins new $100m contract in Norway, Middle East

UK residential property developer Telford Homes has signed a contract worth $357m with investment firms Henderson Park and Greystar for 894 build-to-rent flats at Nine Elms Park in Battersea, London. The latest contract award to Telford Homes follows on from a pre-construction development agreement signed in June 2017.

As per the deal, Telford Homes agreed to assist in acquiring detailed planning approval for the site for Greystar, in exchange for contracts to acquire two plots of land totalling 2.67 acres from Royal Mail for $128m in cash. Henderson Park and Greystar have now completed purchase of the land from Royal Mail Group, after securing detailed planning consent.

Planned to be developed in phases and be completed in late 2024, the development will provide extensive resident amenities.

Italian contractor Saipem has been awarded new offshore drilling contracts worth $100m in Norway and the Middle East.

The contract in Norway is with Repsol Norge for the drilling of a well, which is expected to start in Q3 2019. The company will use the sixth-generation semisubmersible rig Scarabeo 8 for the work.

Saipem’s contract in the Middle East is for a three-year period. Operations are expected to start in Q4 2019 and involve the use of a high-spec jack-up. For this project, a vessel operated by Saipem will be used.

INEOS signs $2bn agreement to build three new plants in Saudi Arabia

July 2019 | MEConstructionNews.com

UK firm INEOS has signed an MoU with Saudi Aramco and France’s Total to build three new plants as part of the Jubail 2 complex in the Kingdom. The three facilities will be involved in producing key building blocks for carbon fibre, engineering polymers and synthetic lubricants.

According to a statement from INEOS, Saudi Aramco and Total are set to construct a $5bn Amiral petrochemical complex, of which the three new INEOS plants will be a part. Amiral will be able to supply more than $4bn of downstream derivatives and speciality chemicals units as well.

Additionally, as part of the $2bn agreement, INEOS will build a 425,000 ton acrylonitrile plant, the first of its kind in the Middle East once it begins production in 2025.

THE BIG PICTURE

13

05 07 01

04

06

08 02 09

07 LATVIA

BESIX JV awarded $486m rail contract in Europe A joint venture (JV) between Belgian construction firm BESIX Group and Latvian company Sia Rere BĹŤve has been awarded a $486m contract to design and build the Rail Baltica Central Station in Riga, Latvia. The project is part of a wider $5bn rail project to connect the Baltic states. The scope of work includes the construction of the Central Station in Riga, a major railway bridge on the Daugava River, railway embankments and track works. The JV will also plan, install and coordinate temporary infrastructure to ensure smooth rail traffic flow during works.

08 MOROCCO

09 EGYPT

Masdar, EDF and Green of Africa consortium wins tender for 800MW solar plant in Morocco

Bombardier named preferred bidder for Egypt monorail project

A consortium comprising the Abu Dhabi Future Energy Company (Masdar), EDF Renewables and Green of Africa has won a tender for phase one of the Noor Midelt multi-technologies solar power plant in Morocco.

The consortium will be responsible for the design, financing, construction, operation and maintenance of phase one of the 800MW project. The project will be developed 20km north of the town of Midelt in central Morocco.

The Moroccan Agency for Sustainable Energy (Masen) said the project is the world’s first advanced hybridisation of concentrated solar power (CSP) and photovoltaic (PV) technologies.

Bombardier said its consortium, comprising Orascom Construction and Arab Contractors, has been named the preferred bidder for a $3.35bn monorail project in Cairo, Egypt. The potential value of the design-and-build contract bid is $1.3bn.

The deal includes the delivery of a 54km monorail system connecting the New Administrative City with East Cairo, a 42km line connecting 6th October City with Giza and a 15+15 years O&M deal potentially worth $1.22bn.

MEConstructionNews.com | July 2019

14

THE BIG PICTURE

17 11 12 10

16 13

15 14

10 SAUDI ARABIA

11 KUWAIT

12 BAHRAIN

KSA construction industry boosted by 113% y-o-y contract increase

Kuwait to open up Sheikh Jaber Al Ahmad Al Sabah Causeway islands to investment

Bahrain to open world’s largest ecofriendly underwater theme park

Saudi Arabia’s construction industry has seen a strong increase in the first quarter of 2019, off the back of $13.3bn of awarded contracts, mainly in the energy and utility sectors, it has been announced. A report by the US-Saudi Arabian Business Council (USSABC) said that the $13bn in awarded contracts includes significant mega projects across numerous sectors.

Most notable are the oil & gas, water and transportation sectors, accounting for 67% of all awarded contracts in Q1.

July 2019 | MEConstructionNews.com

Kuwait has announced that it is opening up two 28,000sqm artificial islands connected to the newly launched Sheikh Jaber Al Ahmad Al Sabah Causeway, for entertainment and tourism investment.

HH the Prime Minister, Sheikh Jaber Al Mubarak Al Hamad Al Sabah, has asked the cabinet to take all required legal and administrative measures to speed up the process of seeking investment from tourism and leisure industry specialists.

The causeway is one of the longest high-speed bridges in the world, spanning 37.5km across Kuwait Bay, from the capital Kuwait City to the Subiya area. One of the islands is near Kuwait City, and the other is near Subiya.

Bahrain authorities have said that work is in full swing on the world’s largest eco-friendly underwater theme park being developed within the Kingdom’s masterplanned island city, Diyar Al Muharraq, to be opened in August 2019. It will be the largest diving park in the world, covering an area of more than 100,000sqm, officials of Bahrain Tourism and Exhibitions Authority (BTEA) said in a statement. It will feature unique dive spots and dive experiences such as a submerged 70m Boeing 747.

18

THE BIG PICTURE

13 UNITED ARAB EMIRATES

14 OMAN

15 INDIA

Abu Dhabi leadership approves distribution of $925.5m in housing loans

Mina al Sultan Qaboos project to open Discovery Centre in Q3 2019

Lodha and ESR to Develop Industrial Park in Mumbai

HH Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces and Chairman of the Executive Council of the Emirate of Abu Dhabi, has ordered the distribution of the first instalment for 2019 of housing loans, government houses and residential plots, including 2,000 loans with a total value of $925.5m. The approval of this instalment is in line with the Abu Dhabi Government Accelerators Programme, Ghadan 21.

Damac International says Mina al Sultan Qaboos’ (MaSQ) on-site discovery centre is currently being outfitted and will open its doors to the public in Q3 2019.

As part of the transformation of MaSQ, the Discovery Centre across from the historical port is the first visible structure developed in strategic partnership with Oman Tourism Development Company (Omran), stated Damac.

According to a statement from the regional developer, a prequalification tender for the project construction works, consisting of phased residential, hotels and retail-phased development, was made public in April. Qualified contractors were invited to be part of the $2bn integrated waterfront destination, which includes public areas and entertainment offerings.

16 BANGLADESH

17 CHINA

18 AUSTRALIA

Construction progresses on Bangladesh’s first nuclear power plant

Emaar signs MoU with China’s BNA

Adani launches construction at Carmichael project in Queensland, Australia

Thyssenkrupp Infrastructure has announced that it will be supplying key materials, engineering equipment and components for the first nuclear power plant in Bangladesh.

Located in Ruppur, 180km west of the capital Dhaka, the first national power plant will secure energy supplies in Bangladesh from 2023.

Thyssenkrupp Infrastructure will be making a major contribution to the construction of the foundation, with a total of three vibration units and over 1,200 tons of ASF anchor piles with a diameter of 640mm and a thickness of 90mm, it stated.

The power plant is expected to have a capacity of 2400MW, with the first unit to be commissioned in 2023 and the second in 2024.

Dubai developer Emaar is partnering with Beijing New Aeropolis Holdings (BNA) to jointly develop a business and tourism complex within the Aero-Economic Area of Beijing Daxing International Airport in China. Set to be the largest airport in the world, the tourism complex will integrate retail entertainment, office, hotel hospitality, convention, sport, art and lifestyle functions in a one-stop solution.

Emaar and BNA signed an MoU to work closely to drive collaboration and actively accelerate the share of resources to boost the establishment of the Aero-Economic Area.

15

Lodha Group has formed a joint venture with ESR India, for the development of ESR-Lodha Industrial Park at Palava City in Mumbai, India. Through this landmark collaboration that leverages Lodha Group’s development expertise and ESR’s industrial know-how, the two parties will build a bestin-class industrial park with 17 institutionalgrade speculative and non-speculative buildings developed on an 89-acre site.

It is expected to be the first and largest master-planned industrial park in Mumbai.

Total investment is estimated to be $100m.

Adani has officially begun construction at its Carmichael coal and rail project in the Galilee Basin, following last week’s approval from the Queensland government. Water management activity, bridge and road upgrades, fencing and geotech “are being conducted safely and in line with environmental approvals”, the company stated. Queensland’s Department of Environment and Science (DES) has approved Adani’s groundwater management plan for the mine. The approval committed Adani to additional monitoring of water sources in the region, including undertaking hydrogeochemical analysis of groundwater and spring samples from within each spring complex. The project will also deliver 1,500 direct and 6,750 indirect jobs.

MEConstructionNews.com | July 2019

16

MARKET REPORT

Industry outlook

Oman Construction Market Outlook

OMAN

ProTenders analysis finds that sultanate’s focus is on implementation and completion of strategic projects

O

man’s construction market is expected to be active in the coming years and currently has $327.63bn of projects, though 27% remain on hold. Government investments in seaports, railway lines, airports and special economic zones under the 9th Five-Year Development Plan and Visions are expected to be growth drivers for the industry.

However, the government of

July 2019 | MEConstructionNews.com

Oman remains cautious in its outlook due to volatility in the price of oil, its main source of revenue. Despite stringent expenditures, it is prioritising the development of the tourism, education, healthcare, transport, infrastructure and energy sectors.

The current focus is on the implementation and completion of strategic projects such as the Al Sharqiyah Expressway ($1.3bn), hospitals in Salalah, Khasab and Suwaiq, and new hotels, with 16,866 keys expected by 2021.

Oman is focusing on developing its aviation sector to diversify the economy away from oil and grow its tourism industry, with annual passenger traffic at Muscat International Airport forecast to increase at least 10% year-on-year.

The focus on building master-planned projects like the Sino Oman Industrial City ($4bn) is proving to be a good developmental plan for the sultanate, and construction contract awards are forecast to reach $12.3bn in Q3 this year.

MARKET REPORT

VALUE OF PROJECTS

BY STATUS ($BN) On Hold

ONGOING PROJECTS

BY SECTOR ($BN) Planning

88.45

Oil & Gas

46.28

120.75

Oil & Gas

20.98

327.6 Total Under Construction

UPCOMING PROJECTS

BY SECTOR ($BN)

Infrastructure

78.2

17

Infrastructure

30.0

38.07

120.8 Total

118.4 Total

Urban Buildings

Urban Buildings

Design

37.38

Tender

34.77

21.57

50.36

Oman remains cautious in its outlook due to volatility in the price of oil. Despite stringent expenditures, it is prioritising the development of the tourism, education, healthcare, transport, infrastructure and energy sectors�

3

9

6

2

6

3

1

3 Oman Shapoorji Construction

Oman Oil Company

Fichtner Consulting Engineers

9

Italferr SpA

12

Larsen & Toubro

4

Tecnicas Reunidas (TR)

12

Galfar Engineering & Contracting

15

Petrofac

5

Petroleum Development Oman (PDO)

15

Oman Ministry of Transport & Comms.

18

Oman Tourism Development Company

6

Oman Rail

18

KEO International Consultants

TOP 5 CONSULTANTS

BY VALUE ($BN)

Chicago Bridge & Iron (CB&I)

TOP 5 CONTRACTORS

BY VALUE ($BN)

Amec Foster Wheeler

TOP 5 DEVELOPERS

BY VALUE ($BN)

CONSTRUCTION CONTRACT AWARD FORECAST Q3 2019 ($BN) Oil & Gas

5.60 Infrastructure

Urban Buildings

6

5

4

3

2

2.90 1

Source: ProTenders

3.80

MEConstructionNews.com | July 2019

20

ANALYSIS

Green Sukuk

Need of the hour

UNITED ARAB EMIRATES

Angitha Pradeep speaks to Ibrahim Al-Zu’bi, chief sustainability officer at Majid Al Futtaim – Holding, about the socio-economic and environmental benefits of the region’s first Green Sukuk July 2019 | MEConstructionNews.com

O

n May 15, Majid Al Futtaim Holding, a UAE-based conglomerate, announced that it had listed the world’s first benchmark corporate Green Sukuk, and the region’s first Green Sukuk issued by a corporate in the region. Valued at $600m and with a tenor of 10 years, it was issued on the Nasdaq Dubai stock exchange and symbolises Majid Al Futtaim’s long-term commitment to supporting the transition to a low carbon economy, the company said in a statement at the time.

A Sukuk is an Islamic bond that generates returns to investors without infringing Shari’ah Law. A Green Sukuk

is a financial set-up that supports investments in renewable energy or other environmental assets such as solar parks, biogas plants, wind energy projects, renewable infrastructure or electric vehicles, as defined by the Climate Bonds Initiative.

In this case, the proceeds of the Green Sukuk will be used to finance and refinance Majid Al Futtaim’s existing and future green projects, including green buildings, renewable energy, sustainable water management and energy efficiency.

“To prepare for the issuance of the Green Sukuk, we established the Green Finance Framework and a Green Finance Steering Committee to oversee the selection of projects, current and

ANALYSIS

I believe we are the only company in the region to receive a ‘low risk’ environmental, social and governance (ESG) rating by Sustainalytics, certifying that we are at low risk of experiencing financial impact from ESG factors, due to our effective management of issues”

37% Majid Al

Futtaim aims to reduce energy and water use by 2022 Green projects The proceeds of the Green Sukuk will be used to finance and refinance Majid Al Futtaim’s existing and future green projects.

21

ESG factors, due to our low exposure and effective management of issues.”

As the most common format of Islamic banking, Sukuk is a natural fit in trying to meet the goals set out by the Paris Agreement, says AlZu’bi. He explains that Shari’ah Law has long laid out basic provisions for protecting the environment – these have unfortunately not always been recognised – and that the stipulations laid out for a Sukuk are in line with the requirements set out by the Paris Agreement.

He adds that having a Green Sukuk is the need of the hour for the region, as it also stresses the need for community members to preserve the environment in all aspects. To this end, the issuance will also support Majid Al Futtaim’s own sustainability plans.

“The Green Sukuk further supports our ambitious Net Positive strategy, and through the proceeds generated we can deliver impactful and measurable socio-economic and environmental benefits,” he observes, pointing out that the plan to be Net Positive was approved two years ago and several steps have already been taken.

“We needed a baseline to understand the impact of our green initiatives, and we have already started collecting data for this. The next step is to have an efficiency programme – one of which is that by

new, for our portfolio,” says Ibrahim Al-Zu’bi, chief sustainability officer at Majid Al Futtaim – Holding.

He explains that the firm introduced it based on a business model, and it then evolved into everything they do now. “In 2010, we decided to focus on green initiatives in the way we developed our real estate. This was done for a multitude of reasons, a few of which are cost-saving, long-term profitability, licence to operate, brand reputation and corporate leadership.

“I believe we are the only company in the region to receive a ‘low risk’ environmental, social and governance (ESG) rating by Sustainalytics, certifying that we are at low risk of experiencing financial impact from MEConstructionNews.com | July 2019

22

ANALYSIS

The Green Sukuk further supports our ambitious Net Positive strategy, and through the proceeds generated we can deliver impactful and measurable socio-economic and environmental benefits” 2022, we are aiming to achieve a 37% reduction in energy and water.”

Al-Zu’bi says the Green Sukuk will affect the market in different ways.

“One is from an investor perspective, where companies are investing in green or ESG-related offerings, which I think is a huge win for the green building movement and for us as sustainability practitioners.

And the other way is access to capital, so when it comes to sustainable and green initiatives, we are not only doing economic development, we are doing a sustainable economic development.”

However, he stresses that one of the challenges is access to

July 2019 | MEConstructionNews.com

technological innovation. There is a requirement for a platform to showcase the sustainability revolution and for businesses to share ideas and practices, and implement them.

“I was part of the road show when we talked to the investors about the Green Sukuk, and the impact was amazing. From an investor perspective, there was a huge appetite, since such an initiative is the first of its kind.

“Now we are hearing back from more people, and they are communicating with us to know more about Green Sukuk and how we successfully issued a $600m green bond. The interest from the market is

A win for green The Green Sukuk has stimulated interest in green or ESG-related offerings, which is a huge win for the green building movement.

24 Number

of malls Majid Al Futtaim owns

from both ends – from a developer’s perspective, since Majid Al Futtaim was able to show that it works, and also from a business perspective for investment opportunities.”

Over the last eight years, Majid Al Futtaim has been reporting back to its investors about the progress of projects – their efficiency, the reduction in emissions, data, and green building results and Al-Zubi says this has ensured transparency across the business.

“If you want to add to the capital, green will help, transparency will help, in different ways for consumers and investors,” he concludes.

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July 2019 | MEConstructionNews.com

25

IN PROFILE

John Pagano

“Ultimately, this is a vehicle that, with the backing of the Public Investment Fund, has the firepower to go and do much more than The Red Sea Project.

It is truly establishing a vehicle for the future, for Saudi Arabia” BIG PROJECT ME SPEAKS TO JOHN PAGANO, CEO OF THE RED SEA DEVELOPMENT COMPANY, ABOUT HOW THE DEVELOPER IS CREATING A MASSIVE TOURISM DESTINATION THAT WILL HELP SHAPE THE FUTURE OF THE KINGDOM OF SAUDI ARABIA MEConstructionNews.com | July 2019

26

IN PROFILE

t the start of the year, it was announced that Saudi Arabia’s ambitious Red Sea Project had received approval from its board of directors for its masterplan, with the development aiming to be completed by 2030. According to The Red Sea Development Company (TRSDC), the approved masterplan would see 22 islands developed between the cities of Umluj and Al-Wajh, offering 10,000 hotel rooms across island resorts, mountain retreats and desert hideaways.

In addition, it would also offer luxury residential properties and commercial, retail and recreational facilities.

Planned as a key component of Saudi Arabia’s Vision 2030 strategy, it is estimated that the tourism project will grow the Kingdom’s GDP by $5.86bn when ready. Comprising a 28,000sqkm stretch of islands, beaches and other attractions on the Red Sea coast, the project –

We had very little infrastructure to begin with, which is both a blessing and a curse.

The curse being that we have to spend a lot of money to build it, but the blessing is we get to do it right, the way we want to do it, setting new standards in sustainability” July 2019 | MEConstructionNews.com

launched in the summer of 2017 – is expected to create up to 70,000 new jobs and attract one million tourists per year.

In order to fully understand the scope and size of the project, one of the most ambitious ever undertaken anywhere in the world, Big Project ME spoke to John Pagano, CEO of The Red Sea Development Company, about the current status of the project and the long-lasting impact it is expected to have on the Kingdom’s economy and on the region’s tourism and travel sectors.

“The Red Sea Project is one of three giga-projects announced by HRH The Crown Prince, and part of what it represents is that it’s a vehicle towards delivering part of Vision 2030. Vision 2030 has got to do with a number of different things, one of which is helping to diversify the economy. And to that end, The Red Sea Project is set to establish a tourism destination to really take advantage of the tourism sector as an economic sector, given its importance in the global economy,” says Pagano during an exclusive telephone interview from his offices in Riyadh.

“If you look at it in a global context, the tourism industry generates 10.4% of global GDP and employs one in 10 people. In the Kingdom, tourism represents 3.4% of GDP and most of that tourism is religiousbased. So that’s what The Red Sea Project has been conceived to [change].”

Starting with a piece of land that’s a little smaller than Belgium is a good

Tourism masterplan The Red Sea Project aims to revamp the Kingdom’s tourism sector by establishing a destination that will cover 28,000sqkm.

22 islands to be developed between Umluj and Al-Wajh

start for a tourism project, given that it provides the developer with a variety of topography to attract visitors, including mountains, deserts, volcanos, an archipelago of 90 islands and a shallow lagoon with a thriving coral reef system.

The masterplan for the project was approved at the end of 2018 by TRSDC’s board, and by the Crown Prince and the King of Saudi Arabia, and it called for more than 8,000 hotel rooms – or just under 50 hotels – and 1,300-1,500 residents, as well as everything else that makes a project like this work, including a new airport.

“We are building a new town for 50,000 people that will be ultimately be home to the staff that will work in the destination, and all the social infrastructure that then brings as well – mosques, hospitals and schools, as well as a lot of infrastructure,” says Pagano.

“We had very little infrastructure to begin with, which is both a blessing and a curse. The curse being that we have to spend a lot of money to build it, but the blessing is we get to do it right, the way we want to do it, as one of the key pillars of the development is setting new standards in sustainability.

“Phase One of the project has also been approved and funded. The commitment to build Phase One has been put into place and it’s to build 14 hotels across five islands, as well as two inland resorts, to build the start of the town I’ve just described, and to build the airport and all the enabling infrastructure

IN PROFILE

27

Vision 2030 has got to do with a number of different things, one of which is helping to diversify the economy.

And to that end, The Red Sea Project is set to establish a tourism destination to really take advantage of the tourism sector as an economic sector” and utilities to get the project underway.

We will open the first phase of the development by the end of 2022.”

What has been built and opened on the project is what Pagano refers to as a base camp, which the project team uses to migrate onto the site.

Consisting of accommodation for 50 to 60 people, as well as office space, welfare, catering, leisure and medical facilities, along with health and safety support services, it provides the team with a centre point for operations.

He adds that a contract was recently awarded to a landscape nursery of a million square metres that will grow the 60 million plants that are going to be needed across the development, while the contract award for the construction of a worker village housing about 10,000 workers is due imminently.

“That’s to start building the accommodation for the construction workforce that’s going to help us deliver the project. We are not delegating that responsibility to the contractors that might work on the project, but rather we are taking the initiative and doing it ourselves.

We will hire someone to do it for us, but we are going to control the delivery and we are seeking new standards in the level of accommodation that we provide.

“We want to provide an environment that is healthy and conducive to the well-being of the workers that are going to help deliver this project. A healthy, happy workforce is going to help deliver

8,000 hotel rooms – or just under 50 hotels – to be built

Destination point The project will offer visitors a variety of amenities, including marinas, luxury resorts and lifestyle destinations.

a project of the highest quality, so we are focusing a lot on the quality of the accommodation – simple things like access to shower and washroom facilities and the amount of open space that is provided. We are building cricket and football pitches, and we will have a couple of cinemas, as well as a well-equipped gymnasium. There’s also the catering and medical facilities side of things to support that level of workforce. That is how we’re looking to set new standards for the industry and the market,” he asserts.

In addition, Pagano says work on the design of the individual hotel assets is also moving along rapidly, while design teams have been appointed for a number of other

projects, including the airport. A contract for a major marine enabling works package is also in the pipeline, which will see the construction of temporary jetties and a bridge and provide further evidence that The Red Sea Project is moving forward.

There has also been extensive market funding done on the utilities side – specifically power, water and wastewater treatment, he says. An RFQ process has recently been completed and an RFP is in the process of being issued at the time of the interview. This is for a PPP contract that will deliver all the principal utilities for the project, Pagano says, explaining that the rationale behind that decision is to bring different sources of capital

MEConstructionNews.com | July 2019

28

IN PROFILE

That’s how we’re going to tackle this thing – we’re investing in people, we’re working with some of the best consultants in the world, and we’re moving forwards.

We are going to leverage that technical knowledge” into the project, making it an investment opportunity for the private sector.

Despite the work already undertaken, Pagano is quick to point out that there remains a tremendous amount still to be done. However, he asserts that this is a long-term project that will be continued for many years to come, and as such, the developer is keen to build something that will last along with it.

“The Red Sea Development Company has been conceived to be a major real estate developer – not just for the creation of The Red Sea Project, but as an organisation that will stand the test of time. We are investing heavily and building it with all the core competencies to do

July 2019 | MEConstructionNews.com

things in-house. We are effectively going to run and manage the construction and operations [of the project] ourselves.

“Based on the experiences that I’ve had in this region, typically, on a project like this, you would bring a bunch of consultants, bring in everyone together, do the project and then disband. [But] this is a project that’s going to run for the next 10 to 15 years, so it pays to make that initial investment so that we continue to learn from the early phases, so that the second phase gets better, and then the third phase,” he says.

“You always seek to improve on your project, but you must capture and retain that learning. Ultimately, this is

60m plants

required across the development

Baseline surveys Extensive surveys and tests were done before the project was designed to ensure that the natural landscape remained unaffected.

a vehicle that, with the backing of the Public Investment Fund (which is our sole shareholder today), has the firepower to go and do much more than The Red Sea Project. It is truly establishing a vehicle for the future, for Saudi Arabia.”

Given the vast size of the overall project, it would be impossible to develop all of it. Therefore, the developer intends to break the project down into manageable pieces which will be easier to develop and build upon, while also ensuring that the organisation has time to grow and develop, Pagano says.

“It’s very much about looking at this project and breaking it down into bite-sized pieces that we can then get

IN PROFILE

our heads around. The organisation today is around 300 people, having started at 15 a little over a year ago. We’re building the capabilities and creating our organisational structure to look at this project as three distinct pieces of work that we’re going to tackle, obviously with a high level of coordination, because we’re all going to be co-located and the communication and culture within the organisation is important.

“That’s how we’re going to tackle this thing – we’re investing in people, we’re working with some of the best consultants in the world, and we’re moving forwards. We are going to leverage that technical knowledge. I’m very pleased that we now have six to seven very solid consortia that have the financial and technical expertise, with a proven track record of having delivered similar installations globally and in the region.

“I’m very much looking forward to that and we’ll look to achieve a commercial close by the end of the year, and a financial close by the early

Sustainable focus Despite the scale of the project, there will be a strong emphasis on ensuring that it will be sustainable and eco-friendly.

part of next year. That’s also a major piece of work that’s taking place.”

One of the key pledges for The Red Sea Project is that it will set a new standard in sustainable development while also looking to protect, preserve and

29

enhance the local environment, and offer access to some of Saudi Arabia’s most important cultural treasures. According to the developer, the project will mitigate carbon dioxide emissions, waste production, and light and noise pollution, and maintain the destination at a level equivalent to a Marine Protected Area.

However, Pagano is keen for the project to go even beyond those lofty goals, explaining that the developer has teamed up with the King Abdullah University of Science and Technology as its environmental partner. As the foremost expert on the Red Sea, he says the university was retained before design efforts began, to do baseline surveys of the marine environment and the terrestrial environment which would allow the developer to really understand the challenges they would be dealing with.

“Then we brought on board our master planners and started thinking about that.

We also created this large-scale simulation program to ultimately test and challenge the evolving design. We looked at it not

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30

IN PROFILE

only from a design point of view, but from an operational phase, to try to understand how our operations will impact the local environment. Over the course of that, we adapted and changed our masterplan over time. That underscores the importance we’re placing on protecting and enhancing our environment,” he asserts.

He proudly adds that the outcome is that over the next couple of decades the conservation value of the destination will be increased by 20-30%, compared to leaving the site as it currently is.

“Out of the 90 islands, we are only going to develop 22 islands, while the rest of them will be untouched. Nine of those islands have been singled out as special conservation areas and they’re going to be no-go areas. We’re not looking to over-develop; I think that’s an important part here. We are not looking to be a mass market destination, it’s very much focused on limiting the number of visitors on an annual basis, so that we don’t have an adverse footprint on the destination.

“We are obviously being very thoughtful about building a sustainable environment in everything we do, and have a corresponding environmental management plan to deal with the actual physical execution of the work,” he adds, saying that part of this will include looking at modular and prefabricated construction, particularly on the island destinations, so that there is less disruption to the natural landscapes and minimal impact on the local ecosystems during construction.

“We want to set new standards in sustainable development, and with a clean sheet, we’re able to do this. We are going to be 100% renewable energy, 24/7. As far as I’m aware, nowhere else in the world has this been done on this scale. That’s a pretty ambitious goal, but we’re going to achieve that, it’s within the technical capabilities, it’s just a matter of capital, which we’re not concerned about.

“Obviously, we have to create our own desalination plants and deal with all the wastewater treatment, but all of that is being done with sustainability in mind. We’re going to be 100% carbon neutral in our operation and we’re aspiring to 0% brine discharge; that’s not going to be achieved on day one, but over time, our goal is to achieve that.

July 2019 | MEConstructionNews.com

We are starting to build a tourism sector that only exists to a limited extent today, but the ambition is to start to approach the levels that tourism represents in the wider global economy. There are lots of opportunities to do that” Conservation value Over the next couple of decades, the conservation value of the destination is expected to increase by 20-30%.

10-15 years the project is expected to take to develop

We’re going to challenge the engineering community and seek to find solutions where they don’t exist today. Once we find it, we’re hoping that we’ll be able to roll it out to the rest of the world,” Pagano says, adding that the developer will support research conducted on the coral reefs in the Red Sea. Given the scale of the project, the CEO of The Red Sea Development Company is keen to stress just how important it will be for the future of Saudi Arabia.

With the megaproject set to be a major economic driver for the Kingdom, he believes that it is being launched at the perfect time, when there is an increased emphasis on econmic diversification.

“We’re creating a tourism destination that is going to generate in the region of $5.86bn per year to the wider economy, once we’re up and running. It’s going to create around 35,000 direct jobs and probably another 35,000 induced or indirect jobs. That’s the impact that a project of this nature is going to create.

“We are starting to build a tourism sector that only exists to a limited extent today, but the ambition is to start to approach the levels that tourism represents in the wider global economy.

There are lots of opportunities to do that, and it’s not just The Red Sea Project, it’s a countrywide initiative,” he concludes confidently.

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July 2019 | MEConstructionNews.com

PROJECT PROFILE

33

Coca-Cola Arena CLIENT: Meraas Holding MAIN CONTRACTOR: ASGC TOTAL PLOT AREA (INCLUDING LANDSCAPING): 129,000sqm TOTAL BUILT-UP AREA (ARENA): 62,000sqm OPENING DATE: June 6, 2019

Ready for the Show

FOLLOWING THE LAUNCH OF THE COCA-COLA ARENA IN DUBAI, BIG PROJECT ME SITS DOWN WITH ASGC AND HPBS TO LEARN HOW THE CONTRACTOR AND ITS SUBSIDIARIES DELIVERED A LANDMARK PROJECT IN A FAR SHORTER TIMEFRAME THAN ORIGINALLY PLANNED MEConstructionNews.com | July 2019

34

PROJECT PROFILE

ubai has always strived to position itself as a city where the world’s biggest stars come to perform and showcase their talents. Whether it’s Ed Sheeran, Elton John or Maroon 5, or a range of sub-continental and Arab artists, the city has offered them venues for packed-out shows and performances.

However, rather unusually, while the number of concerts and events in the city continued to grow, there remained a lack of suitable venues to host large numbers of people. Concerts and shows were most commonly held in makeshift spaces with temporary stages and stands, often out in the open and exposed to the elements.

This was clearly unsustainable, particularly with the costs and risks associated with such ad-hoc measures.

For years, shows featuring some of the biggest entertainers in the world were held in hastily erected

July 2019 | MEConstructionNews.com

temporary structures, or in modified auditoriums and exhibition halls.

Given these limitations, it came as no surprise when Meraas, a Dubai-based real estate developer, announced that it would be developing a state-of-theart multi-purpose arena in its newly developed CityWalk neighbourhood.

Spanning half a million square metres, the Coca-Cola Arena, as it is now known following a naming rights deal with the soft-drink giant, is Dubai’s first indoor multi-purpose arena.

Capable of holding 17,000 people, the arena had its launch event on June 6, with Canadian comedian Russell Peters bringing his Deported world tour to Dubai. A week later, the venue hosted its first musical concert, with US rock band Maroon 5 playing to a full house.

With the two events firmly establishing the Coca-Cola Arena as the city’s most impressive event space, Big Project ME spoke with the contractor, ASGC, to understand how such a complex project was delivered on time, despite the many challenges encountered along the way.

“Doing a design and build project is always exciting for us at ASGC. It allows us to really utilise our full breadth of talent and capabilities,” says Raouf Ezzat, operations director at ASGC. “Moreover, by doing both the design and build, we were able to achieve a major time reduction in the project’s realisation. Of course, that also brings

822 weight

of each mega truss, in tons

Design and build ASGC was able to utilise the full breadth of its talent and capabilities on the project, because it was design and build.

with it a major challenge – building while designing. In the case of the Coca-Cola Arena, we had to work simultaneously on designing this city landmark while also building the project.”

This of course created a challenge around estimating and allocating resources, time, materials and costs for the overall project, much of which needed to be set at the very beginning, Ezzat explains. While this required considerable amounts of coordination and focus, he asserts that it paid off.

“Generally you would do this by dividing the project into steps, in which once the design is finished for one step, you start building it, all the while continuing to design the next step. We followed this process for the enabling package, sub-structure, superstructure/steel structure, the façade and the MEP. Thankfully, because of our experienced team, this challenge was overcome successfully.”

He explains that the ASGC team worked closely with the design consultant for design review, and that the contractor made sure to engage all peer review parties, both internal and external, in full-day workshops to map out design development steps.

“We also maintained early engagements with the relevant authorities to facilitate design permits, allowing relevant site works to commence quickly and smoothly. During the design preparation and project

35

planning, advanced technologies, such as BIM and 4D simulation technologies, were also adopted,” he reveals.

One of the key indicators from the client was facility operation compatibility, for which the project team engaged the operator team in the design review, handover and commission stages. Ezzat points out that Meraas was also aiming for quality and safety excellence on the project.

As part of these efforts, the contractor deployed its own ASGC Standards on the project. These standards are implemented on all its projects and are related to quality, safety, sustainability and time management, he explains.

Doing a design and build project is always exciting for us at ASGC. It allows us to really utilise our full capabilities.

Moreover, by doing both the design and build, we were able to achieve a major time reduction in the project’s realisation”

“HSE is always a focus in every single project that we have at ASGC. We look at HSE as an opportunity to make sure that we keep increasing our standards for the safety and security of our workforce, as well as the environment around us,” Ezzat says.

“We had more than eight million labour force man hours spent on the Coca-Cola Arena. For the first time in the region, we conducted a unique steel truss lift of such magnitude, and we had to work at great heights for the steel structure installation works. We also had overlapping project works that, if not handled responsibly, would have increased the risk of incidents,” he

Multi-purpose venue Because the venue has been designed to host a variety of events, it had to be built for flexibility.

4,000 total roof steel structure weight, in tons

explains, highlighting that regular training and HSE protocols were always applied, while extra measures were taken in some instances to ensure the alignment of policies across all the active teams.

With the Coca-Cola Arena designed to host a variety of events, it has to have the flexibility to adapt to different formats quickly, easily and with minimal investment of time and additional resources.

The show systems and space configurations have all been designed with this in mind, with movable and adaptable infrastructure – from lighting, to the seating, to the access ways – all envisioned with the goal of serving multiple purposes over a long-term lifecycle.

This was only possible because the contractor was appointed on a design and build contract, says Moheb Mounir, project manager at ASGC. “Being a design and build project, we were able to decrease the overall project cycle by approximately 16 months, which is a huge amount of time in our field. In addition to the D&B, we utilised techniques and processes to refine efficiency on-site, such as the utilisation of precast, prefabricated and preassembled elements. We also specially designed and produced oversized panels for the façade. These not only accentuated the outer beauty of the arena, but also enabled the project timelines to be accelerated by three to MEConstructionNews.com | July 2019

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PROJECT PROFILE

four months. Moreover, we had several milestones to consider that could have drastically affected the building processes. We were thus very careful to study, assess and evaluate all processes before time, so as to be fully ready. We also committed to detailed and periodic reviews of all our processes and put in place methodologies that would enable our team to act fast and efficiently in case of any unforeseen incidents,” Mounir says.

With a huge number of MEP systems – including HVAC, electrical, mechanical, IT and show packages – essential throughout the design, engineering and installation stages, managing and ensuring coordination between all stakeholders and parties involved with the project was a key factor in its success, says Mounir.

“There were six subsidiaries and around 40 subcontractors and suppliers on the Coca-Cola Arena project. We used a variety of technologies and planning tools to closely monitor the work of all parties, including subcontractors and suppliers, during all stages of the project.

As mentioned earlier, technologies like BIM and 4D simulations helped us to also clearly coordinate with these diverse stakeholders, ensuring that we were all working towards the same goals with the same information.

“There was also a great deal of installation work on MEP systems attached to the centre bowl roof steel structure and the related logistical challenges, such as scaffolding, access, equipment and HSE. On the roof, we successfully navigated congested MEP works and interfaced with other civil works entities,” he explains, adding that this included managing infrastructure works and house connections for all service entries.

One of the subsidiaries involved in the project was Hard Precast Building Systems (HPBS), an ASGC Group company regarded as one of the leading precast companies in the UAE. Bashar Abou-Mayaleh, managing director of HPBS, tells Big Project ME that his company’s brief covered all architectural requirements to be produced in precast for the Coca-Cola Arena.

“HPBS was involved in all close discussions with ASGC and the design consultants, as early as the concept July 2019 | MEConstructionNews.com

The pre-fabrication challenges

Bashar Abou-Mayaleh, managing director of HPBS, discusses the key challenges encountered on the Coca-Cola Arena Project.

DESIGN AND BUILD Because the project was a design and build project, construction was done simultaneously with the design development.

The architectural design was therefore continuously evolving, and that demanded very close cooperation between design, production and site teams on a daily basis, to ensure the maximum efficiency of our work.

The construction works were inter-related between different subcontractors and parties. In the Coca-Cola Arena, we also had interrelated milestones which required a very thorough coordination process to make sure the timeframes we had were met with the best quality of results.

ELEMENTS AND MOULDS We had unique fabrication drawings created for each and every element – there were 10,000 unique elements.

There were more than 200 circular columns casted vertically with moulds of 7.5m height.

STRUCTURAL VIBRATION Buildings intended for use for music concerts and sports events are generally very sensitive to structural vibration. There is a level of vibration measured in hertz that must be implemented to ensure that the floor and structure do not vibrate around you, and that the quality of sound is not affected by the structure.

The required level in the Coca-Cola Arena is 6Hz without the raker beams.

The HPBS team was able to model both the raker beams and bleacher units to achieve this level for human comfort during any event, taking into consideration the vibrations caused by the swaying movement of the public during events and concerts.

REBAR CHALLENGE During installation of the chairs on the bleacher, there was a risk of causing damage to the rebar while drilling the bolts into the bleacher.

The team had all the assessments made and took all the measures needed to avoid such damage, and we were successful. This task was only possible through extensive planning and coordination in the design stage.

FIRST SLAB The first-floor slab covers a surface area of 8,454sqm.

We were given one month from design to production to installation, which was a huge challenge.

stage,” he relates. “Moreover, HPBS teams spent close to six months studying the project before the final design was approved and work began.

“The Coca-Cola Arena is a unique and ambitious project, not only for Dubai, but for the region. We thus wanted to be bold in our work, and as such we looked at how we could challenge conventional models to deliver added value to the project.

“For example, there’s a pretty complex design of the structure in terms of height, wall thickness and the different types of precast elements – starting from huge circular columns to complicated raker beams and bleacher slabs. This combination of materials and structures made the project even more exciting to work on, but also required a great deal of planning, coordination among the various stakeholders, detailed site reports and optimisation of all available resources, in order to achieve success.”

Because these elements were able to be manufactured off-site, transported to site and installed, the project team had greater control over the entire efficiency and effectiveness of the project, he says.

“With off-site production, we were able to improve production flows to the project, increase flexibility in construction processes and site operations, minimise reworks, enhance multidisciplinary collaborations and ultimately lead an efficient planning method. Of course, the safety of the team is also better controlled in the factory than on a construction site, which is in line with our wider health and safety practices,” he adds.

“For the Coca-Cola Arena specifically, the majority of elements were required to be in a final finish (i.e. no painting above), which required stringent quality control measures during production and installation so as to ensure proper finishing and matching the natural concrete colour, which was only possible in the controlled environment of a factory.”

Abou-Mayaleh points out that the six months the HPBS team spent studying the project before the final design was approved ensured that the team was able to pore over the minute details of the plans and come up with several time- and cost-saving solutions that benefited the project.

PROJECT PROFILE

With off-site production, we were able to improve production flows to the project, increase flexibility in construction processes and site operations, and ultimately lead an efficient planning method” “We spent an enormous amount of time designing and redesigning the elements to ensure structural and architectural specifications were met, as per the specifications from the different parties, with optimisations made wherever possible.

“We also consulted independent parties as part of our process of standard and quality assurance, and we sought independent parties for this task to ensure their unbiased and objective expert opinion,” he explains.

“Project teams needed to frequently evaluate and compare different engineering solutions to optimise performance measures. Regular site meetings between project teams from all concerned units were carried out regularly every week. There was also a resident engineer from the consultant available in the HPBS factory on a 24/7 basis.

“The implementation of building information modelling (BIM) works as a facilitator to support production flows in construction. Everything goes through BIM. All the fabrication drawings were produced in 3D. All the BOQs came directly from the workshop drawings.”

He explains that this approach helps with the overall sustainability and waste management for the project.

“The carefully designed precast structural elements used less material than products built on-site. Hence less material was used and there was less material to dispose of once the

Quality control By manufacturing elements off-site, the project team was able to ensure a high level of quality and finishes throughout the project.

2,356 weight of rest of structure, in tons

construction lifecycle was over. The HPBS factory environment also greatly reduces waste – that includes waste from excessive concrete, formwork and bracing, packaging and debris that accumulates on cast-in-situ sites.

Plus, we recycle waste material.”

This results in less material sent to landfills or dumped into the environment, he explains.

“Furthermore, our plant conditions create less dust, to ensure a better environment. Dust reduction is achieved by a well-controlled batching plant and covered silos, as well as a de-dusting system using suction fans and ventilation ducts to keep the air clean. In addition,

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the team is provided with personal protective equipment like respirators.”

“Precast construction reduces the need for on-site labour by up to 30% from the traditional system, thereby leading to a lower carbon footprint by using fewer vehicles to transport labour and fewer labour facilities onsite, hence consuming less electricity and cooling systems, thereby emitting less CO2 in the environment.”

With the Coca-Cola Arena now open and operating smoothly, having hosted a couple of major shows, what stands out about the project is the work and effort that all the stakeholders have put in to make the project a landmark for Dubai.

Not only has its successful delivery been a testament to extraordinary levels of cooperation between the teams involved, but it has also brought with it opportunities to rethink how traditional workflows and practices can be shaken up, and new innovations and initiatives applied to projects of this scale.

“We are extremely grateful to have been a part of yet another recordbreaking project in Dubai, delivering a stunning structure from both a design and build approach. From the roof to the façade exterior, the VIP suites and to the sustainable landscaping, the project is testament to the benefits of owning the entire project value chain, bringing together the full force of ASGC Group’s capabilities and subsidiaries,” Mounir summarises.

MEConstructionNews.com | July 2019

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COMMENT

Industry insight

RAGURAM JAYARAM

BENTLEY SYSTEMS MIDDLE EAST

Digital transformation using drones for 3D mapping

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he industry is trending toward a digital transformation, and executives at infrastructure organisations consider digitisation and technology adoption as their top priority to transform their business in sync with global trends. Infrastructure and 3D mapping industries offer great potential to challenge the status quo and improve the existing processes, for increased productivity and benefits.

Drones are becoming one of the “Essential Eight” elements of today’s digital revolutions, as outlined in an article published by PwC. According to a 2017 Global Digital IQ Survey, 5% of global businesses have made significant investments developing drone technologies, and this is expected to grow to 14% in the next three years. The adoption of drone-based 3D mapping technologies is critical for accelerating the design and delivery of some of the most innovative infrastructure projects ever created.

Capturing quality images from drones for 3D mapping is just an initial step. The real

The real value of a drone-based solution is derived by editing and processing the data captured using intelligent algorithms and then using this as a basis for engineering design, analysis and modelling” July 2019 | MEConstructionNews.com

value of a drone-based solution is derived by editing and processing the data captured using intelligent algorithms, then using this as a basis for engineering design, analysis and modelling. There are a variety of cloud and desktop solutions available today to process this information for various projects.

Drones can be used right from the preliminary stage of the design, starting with accurately capturing the as-built environment. When site conditions change between the initial survey and the beginning of construction site preparation, the latest modifications might be missing from legacy 2D drawings. In these cases, 3D mapping using drones provides a relatively low-cost and quick solution to help mitigate such issues and prevent delays and cost increases. Thus, an accurate model of the existing reality is invaluable to make informed design decisions in the early stages of the project.

Infrastructure projects require periodical inspections and status updates of the tasks being performed. Drone-based 3D mapping can help capture data and monitor the progress of construction in challenging geographies. One example is Chenab Bridge, an under-construction rail bridge located between Bakkal and Kauri in the remote district of Reasi in the state of Jammu and Kashmir, India. Developed by Indian Railways, this bridge project will be the world’s highest rail arch bridge, 359m above the riverbed with an arch span of 467m. The project team used 3D-mapped reality meshes to manage site progress, change monitoring and conduct construction inspections, which would have been very difficult using traditional methods.

Drone 3D mapping can also be useful for maintaining the lifecycle of infrastructure assets.

Royal Melbourne Institute of Technology (RMIT) developed an award-winning 40-year asset lifecycle programme, which is ISO-certified. To support this initiative, RMIT tasked Skand, a Melbourne-based start-up, to develop a digital version of its Brunswick campus using data acquired from drone imagery, to update the previous 2D orthophoto representation. The Brunswick project comprised six buildings, 65,000sqm and 2,044 images collected by RGB white light and thermal sensors. The project yielded a 3D reality mesh that RMIT’s client could view using Skand’s online platform, rotating and zooming to examine details. The reality mesh was then used to inspect the assets, analyse the condition and prioritise action or intervention

for maintenance purposes. Using machine learning, the project team analysed the dronecaptured images to determine whether the image set was of sufficient quality to be processed.

Once the set was deemed of good quality, the team processed the images to stitch the 2D images together into a 3D surface. Using this new process, the team identified 16 types of defect and classified them into three priority levels, depending on the urgency of the problem and the danger it could pose to the building or its users.

With 3D mapping and drone technology permeating the industry, the benefits of digital transformation are being realised. With new advancements in drone hardware and related disruptive technologies such as artificial intelligence and cloud computing, there are more opportunities to leverage drones on infrastructure projects. As businesses and governments pick up the pace at which they adopt and invest in drones and digital transformation, the infrastructure and construction industry is poised to benefit greatly from this new approach.

Raguram Jayaram, is consultant – Building at Bentley Systems Middle East.

HAMZA AL JEFRI MASDAR

How sustainable technology will help Sharjah turn waste into energy

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harjah has an ambitious goal to become the first zero-waste city in the Middle East by diverting all of its municipal waste away from landfill sites by 2020.

Through a pioneering partnership to develop the country’s first waste-to-energy

COMMENT

Not only will the facility contribute to Sharjah’s effort to meet its “zero waste-tolandfill” target, but it will also contribute to the UAE’s commitment to deliver on its 2021 goal of diverting 75% of solid waste away from landfills” plant in the emirate, the new facility will play a significant role in achieving the UAE’s clean energy ambitions, while also paving the way for other similar projects to be launched in the country and across the MENA region.

Under development by the Emirates Waste to Energy Company, a joint venture between Bee’ah, the country’s leading environmental management company, and Masdar (Abu Dhabi Future Energy Company), the Sharjah Waste-to-Energy Facility will divert more than 300,000 tonnes of municipal waste away from landfill sites each year when it begins operations in the fourth quarter of 2020.

Not only will the facility contribute to Sharjah’s effort to meet its “zero waste-tolandfill” target, but it will also contribute to the UAE’s commitment to deliver on its 2021 goal of diverting 75% of solid waste away from landfills.

The plant will also support the country’s aim of creating a low-carbon economy by displacing 450,000 tonnes of CO2 emissions per year.

The problem of dealing with household trash, otherwise known as municipal solid waste (MSW), is not unique to the UAE. More than 2 billion tonnes of MSW are generated globally each year. The World Bank reports that with rapid population growth and increased urbanisation, annual waste generation is expected to increase by 70% from 2016 levels to 3.4 billion tonnes in 2050.

In low-income countries, as much as 90% of waste is disposed in unregulated dumps or openly burned, creating serious health, safety and environmental issues.

With the world’s ongoing waste crisis and the challenges involved in managing it safely and effectively, many countries, including those in

the GCC, are recognising the potential of waste to energy. The waste-to-energy model helps to address common issues such as excessive landfilling, the reuse of waste landfills, the high cost of waste collection and management, and the need to develop more sustainable power sources.

The Sharjah WTE Facility under development

by Emirates Waste to Energy Company will use proven grate-based waste-to-energy technology for the first time in the UAE. The processed waste produces heat, which drives an electrical turbine.

With a total capacity of 30 megawatts (MW), the plant will supply electricity directly to the grid and energise an estimated 28,000 homes.

The flue gas of the waste processing will be environmentally treated before being released into the atmosphere, while the byproducts, such as bottom ash and fly ash, will make useful construction materials.

The WTE facility forms a core part of the UAE’s roadmap for sustainable waste management, while demonstrating that energy and waste challenges are connected.

Designed to meet the strictest environmental standards and comply with the European Union’s Best Available Techniques, the WTE facility will help to diversify power generation sources in the UAE, as well as reduce the reliance on landfills in traditional waste management.

The successful completion of the project by the end of 2021 will also further raise the profile of Sharjah as an investment destination.

Bee’ah and Masdar moved ahead with the plant after securing financing commitments from a consortium including Abu Dhabi Fund for Development (ADFD) and Abu Dhabi Commercial Bank (ADCB).

The 20-year term loan deal of $162m was the first of its kind in the region, bringing local and international banks together to finance the project on a non-recourse basis, illustrating the strength of the investment community’s confidence in the potential of sustainable waste management solutions in the UAE. In conclusion, the world-class partnership between Masdar and Bee’ah has set a precedent for a successful model of a 100% UAE venture, which has created a platform to replicate similar projects based on our combined extensive capabilities to help other countries and city authorities to solve their waste management issues.

Hamza al Jefri is GM, Waste to Energy at Masdar.

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LOUISE RODRIGUES AQUILA

The alternative workforce

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he alternative/contingent workforce is a commonly-used practice across the globe today, with around 30% of the existing working population made up of freelancers, consultants, temps and contractors.

Deloitte’s ‘2019 Global Human Capital Trends’ report states that this situation is now mainstream. For years, many considered contract, freelance and gig employment to be ‘alternative work’, options supplementary to full-time jobs. Today, this segment of the workforce has grown and gone mainstream even as talent markets have tightened, leading organisations to look strategically at all types of work arrangements in their plans for growth.

The market has grown very competitive; world-wide, companies are looking to reduce overheads while maximising revenue. Now is an interesting time for freelancers to receive even greater exposure in the UAE employment market, particularly with forward-thinking organisations who wish to benefit from flexible operations. The alternative workforce is known to increase business efficiency, agility and flexibility.

It also costs less and turns traditionally fixed employment expenses into variable costs.

As is recognised in the construction industry, quantity and type of resource does not stay constant throughout the course of a project – and for this reason, project work naturally lends itself to flexible workforce arrangements, in terms of time and resources. The smart (and lean) businesses tend to pull in their best people to suit the project stages – to open, deliver, close and operate a project exactly as required.

Accessing the alternative workforce is a great place to explore top talent while considering business cost parameters. This enables you to resource a project with experienced and skilled personnel while maintaining fluctuating workload levels throughout the MEConstructionNews.com | July 2019

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COMMENT

business year. Freelancing offers a flexible alternative to fixed resources, in terms of: Efficiency • Teams grow and shrink on a needs basis • Supports lean business models • No unallocated resources Expertise • Critical and specialist skills for particular projects/project stages • Fast-track projects – requiring a team to hit the ground running • Complex projects – experienced team with a proven delivery history and those who can re-strategise projects to make them work Budget certainty • Pay-as-you-go approach, so you can plan your project skills to suit the project budget and risk • Reduction of employment overheads Time • Flexible term contracts • Short mobilisation/demobilisation Location • Can bring in skill set from overseas as required • Relocation for duration of contract Long-term relationships • Relationships are built within the industry, over repeat assignments • Teams with a proven track record for delivery can hit the ground running on new projects • Teams that know each other perform better The Deloitte report further says that for organisations that want to grow and access critical skills, managing alternative forms of employment has become critical.

It has been reported that HR teams support the idea of sourcing an alternative workforce. However, over a third of HR teams are currently not involved in selecting freelancers. Thus, a focus on HR recruitment strategies and policies to facilitate the growing number of freelancers needs to be explored.

Acknowledging that there is a change in employment trends will give the employers of tomorrow an edge in packaging work in more appealing ways, to attract the best talent.

There are various reports explaining the gig economy and culture. It is a difficult demographic to source accurate numbers on, because there are so many modes of operation (self-employed, part-time, side hustle, online support, etc). The gig economy has been reported to be preferred by 75% of millennials and gen Zs, who want to work for themselves in the future (while they currently ‘gig’ in their existing employment).

Thus, traditional-minded recruitment and HR teams may need to explore these July 2019 | MEConstructionNews.com

Now is an interesting time for freelancers to receive even greater exposure in the UAE employment market, particularly with forward-thinking organisations who wish to benefit from flexible operations” strategic avenues for sourcing talent on future projects. Investigating alternative workforce modes today helps organisations plan and prepare us all for the future.

Traditional routes of employment and recruitment are already becoming the road less travelled, out of choice – and the high-level data seems to speak for itself. Freelancing professional skills are available on the market across almost every industry right now, from accountancy to healthcare, from law to media.

How is your business planning for future workforce trends? Do you already hire freelancers? Has this changed the way you think about your organisation’s future?

Louise Rodrigues is a project management consultant at Aquila.

DEAN CLIFFORD

GREAT MARLBOROUGH ESTATES

Building Dubai’s future heritage

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rom the top of the Burj Khalifa to the ground floor of the Burj al Arab, Dubai is the place where architects have raced for new heights and ideas. Buildings here have topped the lists for reasons to visit Dubai and have transformed this Middle Eastern city into a

pinnacle of post-modernity in the sand dunes.

As Dubai already owns the tallest building in the world, what is the country’s next step in modern design? With tourism thriving, Dubai has the opportunity to expand into alternative design, such as projects that reflect traditional Middle Eastern architecture. International property developers and architects here can preserve heritage through modern design that delivers continuity across generations.

Architecture and urban design anywhere in the Middle East can preserve the region’s distinctive design features. Global urban hub London has its traditional Victorian and Georgian townhouse styles, while Middle Eastern destinations have famous elaborate domes, vaults and arches. As international contemporary cities pursue their modern developments, sustaining historic design certainly presents great value, financially and culturally.

London showcases its commitment to connecting modern architecture to the past by revamping historic sites to progress into the next generation. Take the Royal College of Surgeons, an educational hub originally built in the early 1800s with classic details such as a portico and pillars. After the college was destroyed in the second World War, the site was completely rebuilt and is now being reinvented to become a modern and flexible facility that still embraces its historic façade.

Revitalising architecture designs from the past is well underway in Dubai too, with the unique Al Seef project located on the iconic creek perfectly encapsulating this style. The project incorporates traditional Middle Eastern design from chandals to pergolas, along with characteristics associated with an aged building such as water marks, caulking and bulging. A key example of contemporary architecture showcasing traditional and beautiful design, Dubai is already leading the way in architecture that embraces heritage and modernity, and the trend looks set to continue.

It cannot be dismissed that in today’s London, the race to build the next innovative landmark shapes the urban landscape. In the 50s and 60s, London architecture witnessed a Brutalist movement driven by a utopian approach to housing, with architects and city planners seeing themselves as enablers of a fundamental shift in human behaviour. These ‘villages in the sky’ were designed to replace the previously underdeveloped regions of the Victorian era and encourage a change in the way we live our lives, but many were often lower density than the buildings they replaced and have since fallen into disrepair.

COMMENT

Of course, there are plenty of developers who continue to embrace historical architectural styles that have defined the city. The homes we are building in Regent’s Crescent also embrace the classical history of London’s Georgian architectural style. They have been built to replicate the original Georgian design destroyed during World War II, while creating modern luxurious interiors for today.

Dubai’s outstanding traditional Middle Eastern architecture continues to present vast opportunities for exceptional design. This, in congruence with the already spectacular chic and innovative look that has encapsulated the city, will propel Dubai to even greater prominence and esteem in terms of global architectural reputation. History, events and people are already reflected in the urban landscape in Dubai, with Byzantine and Roman influences expressed in ornaments and architectural forms. A modern interpretation of traditional influences such as the Middle Eastern arch is translated in the Atlantis Hotel on the Palm in Dubai, and is now a symbol of traditional vernacular architecture.

Major modern urban centres all look to blend the new and old, but Dubai has the chance to be the leader in architectural modernity with a traditional Middle Eastern twist. Even in the modern race for architectural development, urban design should take the time to hold on to its past.

Dean Clifford is director at Great Marlborough Estates.

Dubai’s outstanding traditional Middle Eastern architecture continues to present vast opportunities for exceptional design. This, in congruence with the already spectacular chic and innovative look that has encapsulated the city, will propel Dubai to even greater prominence and esteem in terms of global architectural reputation”

PHILLIPA GRANT AESG

Designing for Net-Zero

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25 parties have now ratified the Paris Agreement of COP 21, aiming to limit the global temperature increase this century to below 2 degrees Celsius.

In spite of the Agreement, the Intergovernmental Panel on Climate Change (IPCC) forecasts a temperature increase of 2.5 to 10 degrees over the next century.

Cities are responsible for over 70% of global greenhouse gas (GHG) emissions. Half of the world’s current population lives in urban areas, and this is expected to increase by an additional 1.3 billion people between 2011 and 2030. This increase in occupants will result in an additional 80bn sqm of new or rebuilt building stock by 2030. The evidence now available demonstrates the clear need for a transformational shift from both the public and private sector towards net-zero buildings, if we are to achieve the COP 21 2-degree target.

For new construction, net-zero is not only considered achievable but has now been demonstrated within a range of differing climates. In the Middle East, net-zero buildings are now under development, including the new DEWA HQ, the Bee’ah HQ and the Sustainability Pavilion for Expo 2020.

In order to design to net-zero, the sustainability aspirations of a project must be established at the outset. Stakeholder engagement and buy-in, including that of the client, design team, contractor, operator and occupants, is critical to successful delivery.

This should occur at the pre-concept stage of the project and continue through to construction and operation. Smart planning, combined with the correct application of advanced technologies, can result in simplified pathways to achieving net-zero.

Passive design measures are the most cost-effective way to reduce energy demand and heating/cooling loads.

Computational design methods allow an

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automated, iterative approach to design, ensuring the building form is optimised in response to local climatic conditions.

Through the use of computational design in the early stages of the design process, labourintensive manual assessments of the performance of proposed design solutions are eliminated, and near-instantaneous assessments allow thousands of alternative solutions to be explored within similar timeframes. Computational design can inform a wide range of design decisions – building massing and orientation, glazing ratio, openings for natural ventilation and daylight, external shading, etc. By addressing these factors at the outset, building energy loads can be significantly reduced at no additional cost.

Active design measures should also be carefully considered when designing for netzero. As higher-cost items, systems should be carefully considered for applicability, operation and maintenance, and ease of use before being applied to a project. Aside from highly efficient systems, smart sensors can be used to allow a building to respond to occupants’ needs, thus becoming a dynamic ‘living’ building as opposed to a static object.

With buildings typically consuming two to five times more energy than predicted at the design stage, feedback loops through data analytics provide an important link to continually improve and refine a building’s performance, as well as to inform future design decisions. Smart sensors and building data analytics allow instantaneous reaction to issues during the operational stage, as well as informing planning for proactive, preventative maintenance programmes.

Many performance-related building issues during the operational stage are due to a lack of technical understanding of a building by the facility operators. This arises from a communication breakdown between the design-construction and construction-operation stages of the project.

Through more integrated design and construction processes, including sufficient supervision by the consultants up until building completion, combined with a soft-landing approach, this communication gap can be filled.

The long-term benefits of more integrated development include both resource efficiency and occupant satisfaction, and can be felt throughout the lifespan of a building. While incurring additional up-front costs, the operational costs saved by a high-performance building ultimately outweigh any capital investment.

Phillipa Grant is head of Energy and Sustainability at AESG. MEConstructionNews.com | July 2019

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CASE STUDY

Drone technology

Immersive solutions to rebuilding postquake Christchurch NEW ZEALAND

Aurecon’s Camilla Gibbons, Christchurch Ground Engineering team leader, reveals how immersive and drone technologies were used to rebuild a cliff-side community in New Zealand, highlighting their scope and capabilities July 2019 | MEConstructionNews.com

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he use of immersive technologies like 3D mapping, augmented reality (AR) and virtual reality (VR) in the construction industry is on the rise. Not only do the tools improve communications and safety, they also offer distinct advantages, from capturing realtime data from hazardous job-sites to distilling complex information into visuals that are easy to experience and comprehend.

Big Project ME spoke with Camilla Gibbons, Christchurch Ground Engineering team leader at Aurecon, to find out how the global engineering and infrastructure advisory

CASE STUDY

isolated from Christchurch if the main road into Sumner, situated below the cliff, was cut off.”

A temporary solution was implemented to lessen the risk for road users – ballasted, double-stacked high shipping containers were placed in the highest-risk areas, providing a protective barrier from rockfall. The New Zealand government, however, needed a feasible long-term solution which a traditional slope remediation solution could not provide. The removal of an estimated 53,000m3 of soil and the reworking of 70,000m3 of rock was eventually agreed on, with most of the debris to be reused in the reserve for cliff collapse protection works.

To aid in the safe execution of this complex task, Land Information New Zealand (LINZ) commissioned Aurecon as the key advisor for all engineering services – civil, geotechnical, structural and surveying.

FLYING HIGH Aurecon proposed and led a remediation project which entailed the removal of virtually all landslide debris from the site and the creation of a catch ditch and rock bund for risk reduction, primarily for the main road users. To enable construction work underneath the damaged cliff and on the unstable land, its project team engineered a unique, cutting-edge smart technology that combined laser scanning of company helped rebuild a cliff-side community after the Christchurch earthquakes in New Zealand.

In 2010 and 2011, Christchurch was shaken by a series of devastating earthquakes. As a result, Deans Head, a cliff-side residential area in Sumner, was left in a badly cracked and unstable state, and identified as having a high potential for future landslides. Some 25m of the Deans Head cliff edge had already fallen off the 80m-high, 350m-long cliff.

“The potential aftershocks and rainfall meant that risk remained high for further cliff collapse and landslides,” says Gibbons. “The community and its 7,000 residents faced the possibility of being

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We dropped the 3D models created from UAV footage and 2D drawings into AR and viewed them using Microsoft’s HoloLens technology. The process of drone to photogrammetry to interrogation of models using HoloLens was an industry first”

Eyes in the sky UAVs were used to laser scan the cliff face, with the data used to feed into 3D models for the redevelopment of the community.

Danger zone The community and its residents were at risk of being isolated from Christchurch if the main road was cut off due to an earthquake.

80M Height of

the Deans Head cliff MEConstructionNews.com | July 2019

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CASE STUDY

the cliff with photogrammetry created from data gathered using unmanned aerial vehicles (UAVs).

This innovative procedure is the first of its kind used in New Zealand to evaluate ground volume changes. For volume measurements, Aurecon used the UAVs and 3D models. For visualising and tracking the project’s progress, it incorporated AR and VR technology.

“We arranged weekly flights with 3DR Solo and DJI Phantom 4 UAVs to collect site data, capturing over a thousand aerial 4K high-resolution images per flight,” Gibbons explains.

“The images were then processed with Autodesk ReCap and pix4d photogrammetry software into a weekly 3D complex terrain model. We even managed to bring what our engineers were seeing via their drone to a desk in the LINZ office in real time.”

July 2019 | MEConstructionNews.com

To further enhance the accuracy of the 3D models from 300mm to 50mm, Aurecon incorporated ground control point data. Finally, comparisons were made with each 3D model from the previous week, to calculate the volume removal progress against earthmoving contractor estimates.

The project’s progress was viewable and trackable using VR headsets.

“We dropped the 3D models created from UAV footage and 2D drawings into AR and viewed them using Microsoft’s HoloLens technology. The process of drone to photogrammetry to interrogation of models using HoloLens was an industry first.”

VISUALISING PROGRESS Using an online viewer and simple VR headsets, Aurecon enabled clients to see the models in a relatively

7,000 Number of residents in Sumner

Working together Several engineers could interrogate the models at once, allowing them to pick up features that had not been noticed before.

Tracking progress The project team kept track of progress on-site by constantly viewing and tracking the 3D model on VR headsets.

immersive environment. The experience was enhanced with the introduction of Microsoft’s HoloLens, which enabled the viewing of the models on multiple headsets in AR. “What was nice about the use of AR and VR was that several engineers could interrogate the models at once, allowing them to pick up features that had not been noticed previously,” Gibbons says. “Health and safety hazards could be discussed prior to visiting the site, and it was also used to predict workflow clashes or logistical issues prior to works starting.”

Ultimately, the project’s success reconnected communities in Christchurch, providing them with a new future and relief from threats of isolation posed by landslides, cliff collapses and rockfalls, Gibbons concludes.

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EXPERT VOICE

ALEC

When will the industry get back to basics?

UNITED ARAB EMIRATES

Barry Lewis, ALEC’s managing director, asks when the construction industry will change its ways July 2019 | MEConstructionNews.com

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he current trading environment is not sustainable for any of the stakeholders, and the developers are struggling to fund and deliver quality on time and move product. Designers are unable to deliver a complete and fully coordinated design, or be compensated for continual change and revalidation of their design. Main contractors are being procured on the basis that they are given complete and coordinated designs, but with contracts and specifications

that conflict with that premise, and are used to dump the omissions and shortfalls on main contractors and the supply chain.

The joint procurement strategies allow client procurement teams to appoint subcontractors and suppliers who are not necessarily aligned contractually or commercially, or financially capable of delivering the scope they are being appointed for, let alone carry the financial burden of variations and time extensions to contracts that are not administered in a timely manner.

FOR MORE INFORMATION Please visit the ALEC website at: www.alec.ae

There are a few bad habits within the market at the moment, and one has to ask whether they are delivering the intended outcomes.

Why appoint designers to deliver a design without giving them visibility of the budget?

Are joint procurement strategies delivering real value? Are project structures set up in such a way that there are clear roles and responsibilities between parties?

Who on each project team is authorised to make decisions?

Are the risks of proceeding with works on-site prior to

full authority approval clearly understood and provided for?

Is there a clearly mapped out and understood change management strategy in place which ensures that no change is issued without the client signing off on the real time and cost associated with it? Is the project’s intended programme realistic?

Are the intended contractors and suppliers technically and financially capable of delivering to the required specifications and quality on time?

These questions are fundamental to a successful project for all stakeholders.

As an example, the following scenario is unfortunately a norm within the market. Projects are being held to ransom at the moment, from a time perspective, as a result of the procurement of provisional sums against the base design exceeding the budget.

The net result of this overrun is an additional design and value engineering process that has no contractual base within the contract, but has a potentially catastrophic impact on authority approvals. This is not necessarily embraced by the lead designer, as it is in conflict with their base design and specification. The additional review amounts to a variation that is not normally considered, puts completion time in question, and often has far-reaching implication on other trades.

This process of value engineering and procurement essentially puts the project into a tailspin. The real time and cost impacts associated with the resulting delay, compared to the perceived additional value of this process, far exceed the marginal buying gains achieved through this endeavour.

When it becomes clear that the marginal commercial benefit has been overtaken by uncertainty, delay and the associated costs, no one is

Based on the current state of affairs, one has to ask when construction industry stakeholders will sit down together and address key issues in the construction sector. Failing this, there is a high probability that more and more contracts will have significant delays� prepared to decide or deal with the issue that now sits outside the contract. The contract then deteriorates into a letter-writing war around concurrency arguments, to try and pin the contractor for the non-contractual process it was forced to follow.

Based on the current state of affairs, one has to ask when construction industry stakeholders will sit down together and address key issues in the construction sector.

Failing this, there is a high probability that more and more

47

contracts will have significant time delays and financial stress, and be en route to litigation.

From experience, I know dialogue between the key stakeholders is always the best way to deal with any issue.

By getting back to basics and having them take ownership of their key roles within the delivery chain, we will be able to eliminate bad habits that don’t bring value and ensure that ultimate outgoing costs become the focal point. We will avoid having renegade parties within the various processes derail projects without consequence.

The key roles of the stakeholders can be defined as: 1. Developers: Make timely decisions and ensure that payments are made on time.

2. Designers: Own the designs and be responsible for all aspects of them.

3. Main contractors: Manage and deliver the works in accordance with the agreedupon schedule on time and to the right quality.

To get back to basics, each key stakeholder needs to focus on their key roles, processes and responsibilities, and to empower the key individuals within their teams to deliver on their obligations. Provided there is a high level of trust and dialogue between the parties to deliver on their obligations, and by removing all the nonvalue-adding bad habits that are generating no value, true out-turn cost and value must become the focal point.

The greatest opportunity we currently face in our industry is to create environments that result in overall team success.

We will then be building long-lasting relationships that result in repeat business between stakeholders. This is the dream that drives us on a daily basis, in order to deliver high-end complex projects.

MEConstructionNews.com | July 2019

PROJECT INTELLIGENCE, TENDERS & SUPPLY CONTRaCTS IN ThE MIDDLE EaST

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TENDERS

Project tracker

Top tenders WPR1511-U

Abu Dhabi – Al Ain Hyperloop Link Project BUDGET $6,000,000,000 TERRITORY Abu Dhabi CLIENT Abu Dhabi City Municipality (Abu Dhabi) ADDRESS Salam Street, P.O. Box 263, Abu Dhabi TEL (+971-2) 678 8888 FAX (+971-2) 677 4919 WEBSITE www.dpm.gov.abudhabi DESCRIPTION Construction of a hyperloop link between two cities STATUS New Tender SPECIALIST CONSULTANT Hyperloop Transportation Technologies (USA) TENDER CATEGORIES Public Transportation Projects TENDER PRODUCTS Metro WPR610-U

Sharjah International Airport Expansion Project BUDGET $400,000,000 TERRITORY Sharjah CLIENT Sharjah Airport Authority ADDRESS Sharjah International Airport, P.O. Box 8 TEL (+971-6) 558 1111 FAX (+971-6) 558 1167 / 558 0449 EMAIL info@sharjahairport.ae WEBSITE www.sharjahairport.ae DESCRIPTION Carrying out expansion of an international airport to increase capacity

from 8m passengers a year to 18m passengers a year PERIOD 2022 STATUS Current Project MAIN CONSULTANT Aeroports de Paris International – ADPi (Dubai) PROJECT MANAGER Parsons International Ltd (Dubai) MASTER PLAN CONSULTANT Bechtel (International) Company Limited (Dubai) SUB-CONTRACTOR Bin Ladin Contracting Group (Sharjah) SPECIALIST CONTRACTOR Metito Emirates LLC (Sharjah) TENDER CATEGORIES Airport, Construction & Contracting TENDER PRODUCTS Airports Development & Management WPR2994-O

Felix Pharmaceutical Plant Project – Salalah BUDGET $365,000,000 TERRITORY Oman CLIENT Felix Pharmaceutical Industries (Dubai) ADDRESS Al Garhoud, Near RTA

WPR3288-O

Al Araimi Walk Project – Barka

Headquarter, Dubai Building Co-operative Society, Dubai TEL (+971-4) 250 0183 / 250 0185 FAX (+971-4) 250 0171 EMAIL info@felixpharma.com WEBSITE www.felixpharma.com DESCRIPTION Construction of a pharmaceutical plant PERIOD 2021 STATUS Current Project MAIN CONSULTANT Al Manarah Engineering Consultancy (Oman) DESIGN CONSULTANT Al Manarah Engineering Consultancy (Oman) TENDER CATEGORIES Industrial & Special Projects TENDER PRODUCTS Pharmaceutical Manufacturing Plants

BUDGET $300,000,000 TERRITORY Oman CLIENT Al Raid Group of Companies (Oman) ADDRESS P.O. Box 234, Muttrah PC 114, Oman TEL (+968) 2456 6557 / 2456 4477 FAX (+968) 2456 7492 EMAIL alraid@alraidgroup.com WEBSITE www.alraidgroup.com DESCRIPTION Construction of a shopping, entertainment and touristic development PERIOD 2020 STATUS Current Project MAIN CONTRACTOR Unique Contracting Company (Oman) TENDER CATEGORIES Construction & Contracting, Hotels, Leisure TENDER PRODUCTS Hotel Construction, Retail Developments WPR4027-SA

DoubleTree by Hilton Madinah Hotel Project BUDGET $100,000,000 TERRITORY Saudi Arabia CLIENT Hilton Worldwide (Dubai) ADDRESS Dubai Internet City, Bldg.

15, Office 101-111, P.O. Box 500200 TEL (+971-4) 391 5100 FAX (+971-4) 391 6790 WEBSITE www.hiltonworldwide.com DESCRIPTION Construction of a hotel comprising 242 guestrooms PERIOD 2022 STATUS New Tender TENDER CATEGORIES Construction & Contracting, Hotels TENDER PRODUCTS Hotel Construction

MEConstructionNews.com | July 2019

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TENDERS

Middle East tenders UAE WPR4244-U

Al Wathba Residential Tower Project – Barsha Heights BUDGET $20,000,000 TERRITORY Dubai CLIENT Al Wathba National Insurance Company (Abu Dhabi) ADDRESS Al Wathba National Ins Bldg, Najda Street, P.O. Box 45154, Abu Dhabi TEL (+971-2) 600 54 40 40 FAX (+971-2) 677 6628 EMAIL wathba@emirates.net.ae WEBSITE www.awnic.com DESCRIPTION Construction of a residential tower comprising 4 basements, a ground floor, a podium, 25 floors and a roof PERIOD 2021 STATUS New Tender MAIN CONSULTANT Federal Engineering Consultant (Dubai) TENDER CATEGORIES Prestige Buildings TENDER PRODUCTS High-rise Towers, Residential Buildings

lower podiums, 3 upper podiums, a ground floor, 17 additional floors which include a health club, 5 mid-rise towers, 9 lower towers, 7 upper towers and 2 penthouses.

PERIOD 2021 STATUS New Tender MAIN CONSULTANT Bureau of Excellence in Architecture & Design (BEAD) – Abu Dhabi TENDER CATEGORIES Prestige Buildings TENDER PRODUCTS Residential Buildings

SAUDI ARABIA WPR4400-SA

Prince Sattam Park Project BUDGET $10,700,000 TERRITORY Saudi Arabia CLIENT High Commission for Riyadh Development (HCRD) – Saudi Arabia ADDRESS P.O. Box 94501, Riyadh 11614, Saudi Arabia TEL (+966-1) 488 3331 FAX (+966-1) 482 9331 EMAIL info@arriyadh.com WEBSITE www.arriyadh.com

WPR2320-U

Maryah Residential Tower Project BUDGET $60,000,000 TERRITORY Abu Dhabi CLIENT Private investor (Abu Dhabi) DESCRIPTION Construction of a residential building comprising 3

July 2019 | MEConstructionNews.com

DESCRIPTION Construction of a park PERIOD 2021 STATUS New Tender MAIN CONSULTANT Omrania & Associates Architecture & Engg Consultants (Saudi Arabia) TENDER CATEGORIES Agriculture & Irrigation, Construction & Contracting TENDER PRODUCTS Gardens/Parks Development & Maintenance WPR2710-SA

DoubleTree by Hilton Hotel Project – Jizan BUDGET $35,000,000 TERRITORY Saudi Arabia CLIENT Hisham AlMousa Real Estate Group (Saudi Arabia) ADDRESS Altkosisy Street,

Riyadh 1163, Saudi Arabia TEL (+966) 7466 4774 EMAIL info@ hishamalmousagroup.com WEBSITE www.heshamgroup.com DESCRIPTION Construction of a hotel building consisting of 8 floors and including a business centre, meeting rooms, a health club and luxury restaurants PERIOD Dec 2020 STATUS Current Project MAIN CONSULTANT Arab Engineering Bureau (Oman) TENDER CATEGORIES Construction & Contracting, Hotels TENDER PRODUCTS Hotel Construction

OMAN WPR2077-O

The Pearl Muscat Project BUDGET $25,000,000 TERRITORY Oman CLIENT ERA Real Estate (Oman) ADDRESS Hay Al Mina, P.O. Box 612, Muscat PC 114, Oman TEL (+968) 2460 0828 FAX (+968) 2460 2246 EMAIL info@eraoman.com WEBSITE www.eraoman.com DESCRIPTION Construction of a building comprising 2 basements, a ground floor and 6 floors, and a penthouse, offering a variety of spacious and luxurious finished one-, two- and three-bedroom apartments, including recreational facilities such as adult and kids swimming pool, garden play area, and a jogging track around the property for tenants, with each building having a changing room for males and females on the first floor PERIOD 2019

TENDERS

STATUS Current Project MAIN CONSULTANT Nadan Engineering Consultancy (Oman) MAIN CONTRACTOR Atlantic Construction LLC (Oman) TENDER CATEGORIES Construction & Contracting, Leisure & Entertainment TENDER PRODUCTS Residential Buildings, Retail Developments

EGYPT WPR4371-E

Etapa Square Project

WPR3275-O

Movenpick Hotel Project – Al Mawaleh BUDGET $16,000,000 TERRITORY Oman CLIENT Golden Group Holding (Oman) TEL (+968) 2460 0335 / 2460 3611 FAX (+968) 2460 0335 / 2460 2766 EMAIL info@ggcoman.com WEBSITE www.ggcoman.com DESCRIPTION Construction of a 4-star hotel offering 250 hotel rooms, 115 serviced apartments, restaurants and meeting rooms PERIOD 2021 STATUS New Tender MAIN ARCHITECT F&M Middle East Engineering Consultancy LLC (Oman) MEP CONSULTANT F&M Middle East Engineering Consultancy LLC (Oman) TENDER CATEGORIES Construction & Contracting, Hotels, Leisure & Entertainment TENDER PRODUCTS Hotel Construction

KUWAIT ATR231-K

South Jahra Labour City Project TERRITORY Kuwait

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CLIENT Kuwait Municipality ADDRESS P.O. Box 10, Kuwait City TEL (+965) 2244 9001 / 2244 9002 EMAIL helpdesk@kmun.gov.kw WEBSITE www.baladia.gov.kw DESCRIPTION Development of a labour city, including commercial, residential, neighbourhood and community facilities STATUS New Tender DESIGN CONSULTANT Shems International Consultants (Kuwait) PROJECT MANAGER Projacs International (Kuwait) TENDER CATEGORIES Construction & Contracting TENDER PRODUCTS Commercial Buildings, Community Development, Residential Buildings

BAHRAIN WPR2661-B

Infrastructure Works Project – Al Bareh BUDGET $5,000,000 TERRITORY Bahrain CLIENT Diyar Al Muharraq WLL (Bahrain) ADDRESS P.O. Box 5070, Manama, Bahrain TEL (+973) 7733 3444 FAX (+973) 7733 3445 WEBSITE www.diyarhomes.bh DESCRIPTION Execution of infrastructure works within a residential project PERIOD 2019 STATUS Current Project MAIN CONSULTANT SSH International Consultants (Bahrain) MAIN CONTRACTOR Cebarco Bahrain WLL (Bahrain) TENDER CATEGORIES Construction & Contracting, Power & Alternative Energy, Roads/ Bridges & Infrastructure, Sewerage & Drainage, Water Works TENDER PRODUCTS Infrastructure

BUDGET $85,000,000 TERRITORY Egypt CLIENT City Edge Developments (Egypt) ADDRESS Arkan Plaza Building 4, 6th Floor, El Sheikh Zayed, Giza Governorate, Egypt EMAIL cityedgedevelopments.com DESCRIPTION Construction of a mixed-use development PERIOD 2021 STATUS Current Project MAIN CONSULTANT El Gabaly Architects (Egypt) TENDER CATEGORIES Construction & Contracting, Hotels, Leisure & Entertainment TENDER PRODUCTS Commercial Buildings, Hotel Construction, Mixed-use Developments WPR4401-E

Polypropylene Plant Project – Alexandria TERRITORY Egypt CLIENT Sidi Krier Petrochemicals Company (Sidpec) – Egypt ADDRESS KM 36 Alexandria/Cairo Desert Road El-Amerya, El-Nahda Territory, Alexandria, Egypt TEL (+20-3) 477 0131 EMAIL info@sidpec.com DESCRIPTION Construction of a polypropylene plant with a capacity of 450,000 tonnes a year PERIOD Dec 2021 STATUS New Tender FEED CONSULTANT Jacobs Engineering Group Inc (UK) TENDER CATEGORIES Industrial & Special Projects TENDER PRODUCTS Chemical Plants

MEConstructionNews.com | July 2019

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PROGRESS REPORT

Project Updates

Ithra Dubai provides update for Deira Enrichment Project UNITED ARAB EMIRATES

Developer reveals plans for phased handover by end 2019 and early 2020

I

thra Dubai, a master developer wholly owned by Investment Corporation of Dubai (ICD), has revealed its progress report for Phase 1 of the Deira

July 2019 | MEConstructionNews.com

Enrichment Project, as well as its plans for phased handover by the end of 2019 and early 2020.

Out of a total of 13 districts, 12 are under execution in Phase 1 of the Deira Enrichment Project (DEP), which consists of more than 47 mixed-use buildings. All are at different stages of completion, with one district being used as a logistics base for the rest of the project.

The total value of what is currently under construction is $1.08bn.

Ithra Dubai is planning a staggered handover process, starting from the

85% District

Three current completion Green spaces Ithra Dubai said that green spaces will be a key essence of the DEP, presenting a sense of softness and greenery to the urban landscape.

end of 2019. The first to be handed over will be District Three, currently at 85% completion. This will be followed

by District 11, which will include 21 office units, 25 retail units and 94 hotel keys and serviced apartments operated by Super 8. District 13 is the Gold Souk extension and is at 65% development. Districts 1 and 2 are at 65% and 75% completion respectively, the developer added.

Ithra Dubai added that while it is providing modernised solutions, it is also keen to maintain the traditional aspects of the Deira neighbourhood.

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