The six prospective bidders are Oman Shapoorji Construction Company, Galfar Engineering & Contractingand Al-Turki Enterprises, all local, India's Larsen & Toubro, Cyprus-based Joannou & Paraskevaides and the local/UK Carillion Alawi. The civils contract is worth about RO 15 million ($38.5 million) and mechanical and electrical (M&E) work will account for RO 3 million-4 million ($7.7 million-10.3 million). The scheme is known as the villa number 1 project.

The palace is the second major royal scheme ongoing in the sultanate. Enabling work has begun on a $100 million-150 million ceremonial route through the old town of Muscat (MEED 16:4:04).