Developers nervous about taking on traffic risk
Abu Dhabi’s Department of Transport (DoT) is planning to develop two automated multi-storey car parks as public-private partnership (PPP) projects and is due to receive bids on 10 November.
The two car parks will be developed in different locations and will cost around $90m to develop. They will feature automated technology which parks and retrieves the car for customers.
|Abu Dhabi transport projects|
|Abu Dhabi metro||7,000|
|Source: MEED Projects|
The 10 November deadline comes following a delay in the scheme and change in the bidding process. The DoT had asked for uncommitted bids by 15 October, but now requires committed bids by the November deadline.
At a meeting with potential bidders in mid-October, the DoT also said that under the terms of the project, the private sector developer would be responsible for traffic risk on the project. This could hit the appetite for some contractors to bid on the scheme.
A source involved in bidding for the project says, “We are not willing to take the risk of attracting customers into a paid for car park when most of the other parking space in Abu Dhabi is available for free.”
The DoT has already prequalified five bidders for the project, including the local Midein Holding, Kuwait’s Arabian Capital Investment and Capital Company, Kharafi National, Implenia of Switzerland, and Aktor Concessions of Greece.
A further six multi-storey car parks are planned for Abu Dhabi by the DoT, although it is unclear if these will be under a PPP programme or paid for upfront.
Dubai’s Roads & Transport Authority (RTA) is also looking at developing car park projects under its recently launched PPP programme. Responses to the request for expressions of interest for the RTAs first PPP scheme, to develop water transportation along the coastline of Dubai, are due on 18 November (MEED 22:10:10).
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