Construction & Real Estate

RAK: In with the new

This year's Cityscape - the annual gathering of leading real estate figures in the UAE and beyond - seemed to attract an inordinate amount of attention from the international media, largely because the turbulent path of Dubai's real estate market has become one of the more prominent narratives of the global financial crisis. And while the event may have been a much more subdued affair for Dubai developers, compared to last year's excesses, Ras Al Khaimah (RAK) actually exhibited a higher profile than in years past, a sign of the emirate's gathering economic momentum. Bereft of the glitzy launches and impressive project models that dominated the event during the boom years, this year the focus was on current - rather than new - projects. Within this context, RAK developers were able to showcase their raft of current undertakings in the property sector in a bid to heighten regional interest in the emirate. Notably, RAK Investment Authority (RAKIA), Rakeen and Al Hamra Real Estate joined forces in a 400-sq-metre exhibition pavilion, the offerings of which spanned residential, commercial, industrial and touristic segments of the property industry. The tripartite group also featured in a seminar entitled "RAK: Emerging Emirate on the Move." (source: OBG)

Kuwait plans to spend US$63bn on mega projects

Kuwait plans to spend 18 billion dinars (US$63 billion) over the next four years on 250 massive projects. The projects are included in a four-year program approved by the cabinet this month and will be sent to parliament. Sources did not name any project but Kuwait, awash with cash from oil revenues, has been planning a new business hub dubbed Silk City as well as a new modern harbor, a railway and metro system. The plan that runs from the current 2009/2010 fiscal year until 2012/2013 will focus on boosting the private sector s role in the domestic economy. Kuwait’s private business accounts for just a quarter of gross domestic product.

Qatar's Barwa Real Estate merges three units

Qatar's Barwa Real Estate Co said it had merged three of its units to create a new firm called Waseef. The new entity will combine Barwa Real Estate Management, Barwa Maintenance Service Management and Barwa Hotels & Resorts. "The new company will reinforce its services to customers and facilitate contracting with service providers." Barwa said.

Wassit University proposes 4 projects for investment

The president of Wassit University said it has put forward four projects for investment in the province, adding that local, Arab and international companies are welcome to join the bidding. "The projects have been proposed in coordination with the investment commission in the province," Jawad al-Moussawi said. The projects include the establishment of a specialized hospital, a residential compound, a socio-cultural center and an agricultural investment project, Moussawi noted. The engineering department in the university will conduct a feasibility study for the projects in cooperation with the local investment commission, he added.

Mideast buyers returning to London fold

As the global recession has slowly begun to ease, new figures have shown that Middle Eastern investors have become the main foreign buyers in the UK’s commercial real estate market at a time when it is just beginning to show signs of recovery. The latest reports from key London estate agents show that while lower oil prices have dampened the overall appetite among Arab investors for overseas transactions, during the first half of 2009, they refocused attention on London, their traditional overseas base, snapping up prime assets with prices that were at their lowest in the last quarter of a century.

Syria: In demand

With demand for both commercial and residential space, Syria's real estate sector is experiencing substantial growth, with a number of large-scale projects under construction and in the pipeline. However, with a shortage of available properties for new home and office purchases, property value has risen disproportionately to spending levels, and access to sufficient mortgage financing is resulting in many Syrians being priced out of the market. While some of the region's largest developers have announced ambitious projects across the country, a number, such as Kuwait's Al Kharafi Group, have experienced delays due to bureaucratic hurdles and complex legislation surrounding borrowing and deed titles. (source: OBG)

Atconz in US$100m Iraq real estate project

Iraq is becoming the new emerging real estate investment market of the Middle East, led by a groundbreaking residential project in the northern Kurdish region, according to a development company about to start work there. New Zealand company Atconz Real Estate Development, is building a 1565 unit residential compound in a suburb of Erbil, capital of the Kurdish region. Called New Azadi and near Ankawa, the project has a budget of US$100 million and is licensed by the Kurdish regional government. Atconz, which is exhibiting at Cityscape Dubai (stand number 7E45) to promote the project and seek partners for further development throughout Iraq, is expected to begin construction by the end of year and complete in three years.

Egypt eyes Malaysian development model

Egypt is keen to harness Malaysian expertise in drawing up master plans for development along the Malaysian model similar to that in Malaysia's new administrative capital of Putrajaya and the Iskandar project, the main southern development corridor in southern city of Johor Baharu, International Trade and Industry Minister Mustapa Mohamed said. An MoU to that effect was signed between parties from both countries when he led a mission to the Middle East in October, he said. "Malaysia was represented by a housing development company with experience in development in both the areas," he told reporters after opening a function at Universiti Teknologi Mara (UiTM) Kelantan. Mustapa said the Egyptian government intended to develop a new township based on the Malaysian model in one of its cities.

BG Egypt to invest up to US$3bn next year

BG Egypt, a subsidiary of BG Group, plans to invest up to US$3 billion on Phase VIII of its West Delta Deep Marine Concession (WDDM) by mid-2010, a company official said. "We're coming up on Phase VIII, a fairly large project, somewhere between 24 and 32 new wells and that's a project we are planning to sanction - six to nine months from now," said Sami Iskander, BG Group's executive vice president for Africa, Middle East and Asia. The onshore project is a "fairly large investment, anywhere between US$2 billion to US$3 billion. [It's] very dependent on getting the partners and everyone on board," he said.