The total value of projects under construction in Dubai equates to USD53.6bn, with a further USD337.2bn in the planning stage. These are significant amounts of investment for most mature economies, but for an emerging market such as Dubai, they are extraordinary figures which provide evidence of Dubai’s increasingly diversified economy.
This is according to Deloitte and MEED Project’s new report, “The Dubai Construction Pulse”, which analyses the construction market across a range of sectors. The new report will offer a year by year review of the construction industry – focusing on current activity and future pipeline of projects, thus mapping changes in development volumes by USD spend and contract awards.
Key findings of the report include:
“Despite regional security concerns and wider macro-economic turbulence, Dubai continues at pace with significant project awards in Q1 2016, including the Palm Gateway Towers, Phase II of the Atlantis Resort and Dubai Creek Harbour to name but three”, said Ben Hughes, director at Deloitte Corporate Finance Limited, regulated by the Dubai International Financial Center.
“The Dubai construction market is proving resilient in the face of falling oil prices,” says Ed James, Director of Content & Analysis at MEED Projects. “Notable contracts awarded in the first month of 2016, such as the $840 million second phase of the Atlantis Hotel on Palm Jumeirah, Nakheel’s $380 million Palm Gateway Towers, the $370 million ICD Brookfield Place, and Wasl’s $190 million Mandarin Oriental Hotel, show that developers are confident in the market’s long-term prospects. As a result, companies involved in project development can feel quietly optimistic for the year ahead in the emirate, even if activity elsewhere in the region slows down.”
Other areas explored in the report include the transport and the Energy/Resources sectors.