UAE’s $44b contract awards second-highest in GCC in ’13
dubai — A total of $44 billion worth of projects were awarded in the UAE in 2013, with more than 60 per cent of the awards in the construction (real estate) sector, Meed Projects announced at its first-quarter update briefing held in Dubai.
“The UAE was second only to Saudi Arabia’s $66 billion,” said Julian Herbert, director of Meed Projects. “Not only is this a 37 per cent increase on the 2012 awards, but over $10 billion worth of projects have resumed construction activity during 2013,” Herbert said.
The oil sector was the second most active with just over 21 per cent ($9 billion) of awards followed by the transport sector with eight per cent ($3.5 billion).
Some of the major contracts awarded during the first quarter of this year include The Address Residence Fountain Views at Down- town Dubai for approximately $1 billion; Zakum Oil Lines replacements phase one for $ 885 million; Tasameem Real Estate’s mixeduse development on Al Reem Island for $705 million; Iris Mist at Dubai Maritime City for $500 million; and Meydan Heights South at the Mohammed bin Rashid City for $400 million, to name a few.
Other major awards expected during the rest of 2014 include District One at Mohammed bin Rashid City, Meraas’ Dubai Theme Park and Ipic’s Fujairah Refinery Phase 1. The total value of project awards for the UAE in 2014 will be just shy of $50 billion, which is 10 per cent higher than 2013.
Comparing the first quarter of 2014 against the same quarter in 2013, the total value of contracts was just over $700 million higher than the first quarter of 2013. In both periods the construction sector saw most of the awards with 64 per cent in 2013 compared to 68 per cent in 2014.
“Based on much improved market sentiment and the level of contracts already awarded this year, 2014 is set to be another bumper year for the construction sector,” Herbert told the audience.
Based on much improved market sentiment... 2014 is set to be another bumper year
Julian Herbert