Dubai Technology, e-commerce and Media Free Zone Authority signed on 20 October a AED 400 million ($108.9 million) Islamic loan agreement with Dubai Islamic Bank (DIB) to finance new construction projects at Dubai Internet City (DIC - MEED 10:11:00, Cover Story).
The musharaka financing facility, valid for 15 years, will be available in two tranches. Under the first phase, DIB will provide up to AED 190 million ($51.8 million), which will be used to finance the construction of five new buildings and office blocks. The remaining AED 210 million ($57.2 million) will be used at a later stage.
In May, the local Al-Hashemi Consultants was appointed as consultant for a project to build four new low cost office blocks at DIC. Project costs are estimated at AED 60 million ($16.3 million) and the scheme will take 10 months.
The five-storey office blocks will be built over a total area of 35,000 square metres. The project includes civil, mechanical, and landscaping works (MEED 18:5:01).
The total cost of the DIC development is about $400 million. The project is being implemented in phases. Phase 1 involved the construction of four buildings, each four storeys high. The UK's WS Atkins was the consultant (MEED 18:8:00; 18:2:00).
The authority plans to double the built-up area in the next phase.
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