Contractors submit proposals for Dubai Properties framework agreements
17 January, 2018 | By COLIN FOREMAN
Dubai Properties has received proposals from contractors for framework agreements that will cover construction work on the local developers’ upcoming projects.
The proposed framework agreements will be used for a wide range of projects that vary in scale and include apartment buildings, villas, hotels and infrastructure.
Once a pool of firms has been selected, Dubai Properties will then select companies to work on individual projects when needed.
Consultants across a variety of disciplines are also signing up to framework agreements with Dubai Properties.
According to regional projects tracker MEED Projects, Dubai Properties has $230m of projects in the pre-execution phase together with $1.8bn of projects that are on hold and could be revived. The developer has $4.2bn of projects in the execution phase. Major projects Dubai Properties has developed in the past include Business Bay, Culture Village and Jumeirah Beach Residence.
The move to establish a framework agreement with contractors is a departure from the traditional method of tendering used by most developers in Dubai and highlights the growing risks that developers face when procuring construction services.
The supply chain has struggled with severe cash flow constraints due to late payment and certification in recent years and some firms are now unable to deliver projects.
Related Posts
Completed in 2008, Palm Jumeirah stands out as one of Dubai’s most iconic real estate developments. The palm-shaped archipelago stretches over 560 hectares of reclaimed land and is now home ...
READ MORE
Environmental, social and governance (ESG) principles are influencing investor decisions in the GCC real estate market, says Mashreq Bank
The Covid-19 pandemic has reiterated the need to address concerns surrounding ...
READ MORE
On 23 May, Abu Dhabi’s Department of Culture issued guidelines to hotels in the emirate for the reopening of restaurants, bars, beaches, pools and gyms.
The announcement marked the start of ...
READ MORE
This article is a part of a series from the Dubai Real Estate Forum held by MEED and Mashreq on 22 March in Dubai
Global alternative investment firms are keen to ...
READ MORE
The process of transformation is already underway in the regional construction industry with Covid-19 accelerating the need for this change
Already facing severe cash-flow challenges after five years of recession in ...
READ MORE
Clients are struggling to get competitive pricing on large, technically challenging projects
Disagreements over terms and conditions between contractors working on the Tower at Dubai Creek Harbour scheme and the project owner ...
READ MORE
Force majeure claims are providing new insights into how the regional construction sector’s behaviour must change
The rapid spread of the Covid-19 illness has led to an unprecedented ripple effect on the ...
READ MORE
Ever since the global financial crisis hit the region in 2008, real estate developers in the UAE have been exploring alternative funding methods to deliver their projects.
Export credit funding backed ...
READ MORE
Lowered productivity during the second and third quarters of 2020 will add to the financial pressures faced by builders in the region
The GCC’s construction industry could face extreme time and ...
READ MORE
Real estate activity in the sector is helping the emirate emerge as an independent tourism and hospitality powerhouse
This article is the first in a series that captures key highlights from ...
READ MORE
Case Study: Palm Jumeirah- Redefining real estate development
Sustainable finance shapes the future of GCC real
CONNECT SERIES: A new model for hospitality
Dubai investors seek quality real estate stock
CONNECT SERIES: Re-engineering construction in the GCC
Strained market conditions mean contractors are shying away
Covid-19 sparks contract issues
Export credit works both ways
The long summer ahead for GCC contractors
Ras al-Khaimah carves out its identity
17 January, 2018 | .By COLIN FOREMAN
