{"id":16958,"date":"2016-06-18T22:37:21","date_gmt":"2016-06-18T15:37:21","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/?p=16958"},"modified":"2016-06-18T20:40:45","modified_gmt":"2016-06-18T13:40:45","slug":"dhabi-contracting-moves-into-property-development","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/dhabi-contracting-moves-into-property-development\/","title":{"rendered":"Dhabi Contracting moves into property development"},"content":{"rendered":"


\nDhabi Contracting is moving into the property development market in an attempt to diversify its revenue stream as contractors’ margins come under pressure in the capital.The company, which has a turnover of Dh6 billion and a workforce of more than 6,500, is embarking on three major new development projects in which it will build an apartment block by Al Raha Beach, a residential building at Saadiyat Marina and a hotel at Ruwais in the Western Region of Abu Dhabi.Bishoy Edward, the chief operating officer of the 33-year-old contracting company, said margins have come under pressure in Abu Dhabi over the past two years, with current tender bids coming in approximately 20 per cent lower than they were two years ago, when there was a greater abundance of work. Undertaking its own development work not only keeps its staff busy, but also allows it to build efficiently and generate recurring income, he said.”Being a contractor gives me an advantage. I know how much this [building] will cost me. If a contractor tells me it is going to cost Dh100 million, then I know that I can build it for Dh50m,” Mr Edward said.Piling and foundation works are under way at the apartment block at Al Raha Beach, which will contain 120 units over 11 floors.A 13-storey apartment block is also being built in the Saadiyat Marina district, close to New York University Abu Dhabi, and the company is in talks with the university about a lease deal for the entire building.”Most Saadiyat students and teachers are currently living in other places, so it would be good for them and good for us,” Mr Edward said.He said that he was keen for both projects to start as soon as possible, especially as the supply of new homes in Abu Dhabi remains low, despite demand holding up. “If I start very quickly, then I can finish quickly and then there will be less competition around end-users,” Mr Edward said.Dhabi Contracting’s third project is a five-star hotel that will be built in Ruwais and operated as an Anantara hotel by Thailand’s Minor Hotels Group. Hotel demand in that area far outstrips supply, with the 1,200-room Danat Hotel regularly booked out by employees of the state-owned Abu Dhabi National Oil Company and contractors, he said.The design phase of the beachfront hotel, which will also have partially submerged apartments with clear floors showing water underneath, has just been completed by the consultancy Aecom. Alongside these projects, the contractor is still busy on others that include a Dh3bn contract to deliver 663 new villas and 20 mosques at a purpose-built community in Ruwais. It is also looking to diversify through new subsidiaries. In recent years it has launched an in-house mechanical, electrical and plumbing arm that now employs about 700 staff, a security business, a fire safety consultancy and a testing and certification arm.Dhabi Contracting is not the only contractor shifting gears to cope with the pressure on margins.Speaking at the recent Meed Construction Leadership Summit, Pierre Sironval, the managing director of the contractor Six Construct, said that market conditions remain tough for contractors. “It’s a fact that there is less volume in the market, so the margins are tighter.”He said that his company had decided to focus on its core areas of competence, which are major civil engineering and marine works.”We reduced the volume on the building side because there is quite heavy competition, mainly in the UAE and in Qatar,” Mr Sironval said.mfahy@thenational.aeFollow The National’s Business section on Twitter
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\nSource : thenational.ae
\nRead more…Dhabi Contracting moves into property development<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Dhabi Contracting is moving into the property development market in an attempt to diversify its...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-16958","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-4pw","jetpack-related-posts":[{"id":125297,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/abu-dhabi-based-aldar-invests-1-08-million-in-two-social-contracting-projects-within-maan\/","url_meta":{"origin":16958,"position":0},"title":"Abu Dhabi-based Aldar invests $1.08 million in two social contracting projects within Ma\u2019an","date":"March 18, 2022","format":false,"excerpt":"\r The projects include $735,000 for a family counselling services project by the Abu Dhabi Early Childhood Authority (ECA), as well as an allocation of $353,900 to support the beneficiaries of the Programme for Upskilling and Employment of Emiratis\r \r Source : arabianbusiness.com\r Read more...Abu Dhabi-based Aldar invests .08 million\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i2.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2022\/03\/Aldar-and-Maan-MoU-1000x667-1.jpg?fit=1000%2C667&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":22271,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/mamsha-al-saadiyat-residential-district-in-abu-dhabi-starts-to-rise\/","url_meta":{"origin":16958,"position":1},"title":"Mamsha Al Saadiyat residential district in Abu Dhabi starts to rise","date":"August 8, 2016","format":false,"excerpt":"\r The Tourism Development & Investment Company (TDIC) has confirmed that the construction of Mamsha Al Saadiyat, the first residential development within the Saadiyat Cultural District in Abu Dhabi, is well under way.The project was awarded in April of this year to a joint venture between San Jose Contracting and\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":13226,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hidd-al-saadiyat-marina-construction-begins-in-abu-dhabi\/","url_meta":{"origin":16958,"position":2},"title":"Hidd Al Saadiyat marina construction begins in Abu Dhabi","date":"May 16, 2016","format":false,"excerpt":"\r Construction of a marina at Abu Dhabi's Hidd A Saadiyat development has commenced, and is expected to be completed next year.The private marina is set to feature a pedestrian walk, 110 berths for boats of different sizes and will be directly linked to the beach.\"Our continued collaboration with leading\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":47327,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/damac-awards-dh1-4-billion-in-contracts-in-first-two-months-of-2017\/","url_meta":{"origin":16958,"position":3},"title":"Damac awards Dh1.4 billion in contracts in first two months of 2017","date":"March 9, 2017","format":false,"excerpt":"\r Damac Properties has awarded 121 construction contracts in the first two months of the year with a combined value of Dh1.4 billion.The developer said that the awards include main contract packages at five of its sites - Akoya Oxygen, Damac Hills, Aykon City and at two new towers in\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":57466,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/increased-activity-may-lead-to-rise-in-construction-inflation\/","url_meta":{"origin":16958,"position":4},"title":"Increased activity may lead to rise in construction inflation","date":"June 10, 2017","format":false,"excerpt":"\r The recovery that is already under way in the UAE's construction sector is likely to lead to an inflation in costs in what has been a fairly moribund sector for the past two years, according to an analyst.David Clifton, regional development director at Faithful + Gould, said there are\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":57468,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/inflation-in-construction-likely-to-grow-as-capacity-shortages-bite\/","url_meta":{"origin":16958,"position":5},"title":"Inflation in construction likely to grow as capacity shortages bite","date":"June 10, 2017","format":false,"excerpt":"\r The recovery that is already under way in the UAE's construction sector is likely to lead to an inflation in costs in what has been a fairly moribund sector for the past two years, according to an analyst.David Clifton, regional development director at Faithful + Gould, said there are\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/16958"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=16958"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/16958\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=16958"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=16958"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=16958"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}