Construction industry boom times back

Construction industryImage Credit: Supplied

Although echoes of the Expo 2020 bid win announcement have gradually died down as 2013 drew to a close and the first half of 2014 sped by, the construction industry remains on track – with off-plan properties beginning construction work in earnest, and previously stalled projects reactivated since late last year up until the last few months.

In May, it was reported in Business Monitor’s Q2 2014 report that projects amounting to $212 billion are currently under construction in the UAE, with only about $25.3 billion in the tendering or pre-tender stage. Then in July, one Gulf News report mentioned that “Contracts worth $15 billion were awarded in the first six months of the year for projects valued at more than $30 million in the UAE’s civil construction sectors,” this quoted from a report by the Middle East Economic Digest (MEED).

The next few years leading up to Expo 2020 will surely be busier ones for the construction sector as, aside from numerous ongoing mega developments like Etihad Rail, Mohammed Bin Rashid City, the Dubai Creek Extension project, Dubai Canal, Abu Dhabi Airport expansion works, Al Maktoum International Airport in Dubai World Central (DWC) and the Dubai Tram, related construction work meant to address the Expo infrastructural requirements are expected to reach over $9 billion – an estimate which does not include “…the host of developments planned or announced by the public and private sector to support the event.”

It is expected that the total expenditure for the building of the Expo 2020 venue at DWC Jebel Ali will cost anywhere from $2 to 4 billion, with 438 hectares of space dedicated to accommodate 247 participants and the estimated 25 million visitors coming to Dubai for the event. With this come the construction of the Expo Village and the expansion of the Dubai Metro red line into DWC.

Handy Hints
• Ongoing projects include Etihad Rail, Dubai Canal and others
• Projects worth $212 billion currently under construction in UAE
• Expo infrastructural needs are expected to reach over $9 billion

See related story: The UAE construction industry revitalized

Source: Claire Dangalan, Special to Properties
The writer is a freelancer


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