Authority for Partnership Projects invites for South Jahra Labor City

Affordable housing for 20,000 male bachelor expats

Kuwait Authority for Partnership Projects (KAPP) in collaboration with Kuwait Municipality has invited local and international companies/consortia and the companies listed in the Kuwait Stock Exchange to submit Statements of Qualification (SOQ) for ‘South Jahra Labor City’ in accordance to Law No. 116 of 2014 Regarding Public Private Partnerships and its bylaws (PPP Law). KAPP stated in an announcement published in the official gazette ‘Kuwait Al-Youm’ yesterday that Kuwait Municipality will be responsible for providing an obstacle free project site, as well as being responsible for providing all infrastructure connections up to the site boundaries including water, electricity, sewage, and roads. The project company will handle all aspects of design, finance, build, operate, maintain and eventually, the transfer of the venture. KAPP also declared that the project will be procured based on a design, finance, build, operate, maintain and transfer model in accordance with the PPP Law. Thus ,a public joint stock company is to be established for the venture (the “Project Company”) as Kuwait Municipality will be the contracting Public Entity with the Project Company. KAPP added, the term of the agreement with Kuwait Municipality will be 40 years including a maximum period of three years for design, finance and construction of all infrastructure assets.

The Project Company will be incorporated as a Public Joint Stock Company in which the successful investor will hold at least 26 percent of the shares. South Jahra Labor City Project will consist of several integrated components including residential areas, commercial and neighborhood services, community services, and municipal and utilities services ,with a total land area of 1,015,000m2. KAPP indicated that the primary objectives of the Project are to improve the living conditions and standards of low-income expatriates by providing adequate and affordable housing for 20,000 male, bachelor, expatriate laborers.

KAPP concluded that companies and consortia will be pre-qualified according