Firms win more Dubai Canal construction deals

29 February 2016

Ambitious project is now well advanced

Dubai’s Roads & Transport Authority (RTA) has awarded two more construction contracts on its Dubai Canal project.

The local/Belgian Bel Hasa Six Construct has been awarded an estimated AED400m ($109m) deal for the final section of excavation, and the local Wade Adams Contracting has been awarded an estimated AED300m contract for infrastructure work.

A contract for the construction of a multi-storey car park structure has been tendered.

The Dubai Canal project involves the construction of a waterway linking Dubai Creek with the Gulf extending from Sheikh Zayed Road, passing across Safa Park and Jumeirah 2, and terminating at the Gulf near the southern end of the Jumeirah Beach Park.

The project is now well advanced. In 2013 and 2014, the RTA awarded construction deals for the three main packages on the Dubai Canal scheme.

Traffic diversion

Turkey’s Gunal was awarded a deal to build a 16-lane bridge that will take traffic on Sheikh Zayed Road across the canal. The first section of the bridge opened for traffic in January this year.

Beijing-based China State Construction Engineering Corporation won the AED384m phase two deal, which includes the construction of bridges across the Al-Wasl and Jumeirah Beach roads above the Dubai Water Canal, enabling the passage of 8.5-metre-high yachts. It also involves the construction of a bridge leading to the proposed peninsula to the south of Jumeirah Park.

Bel Hasa Six Construct won the AED802m ($218.3m) phase three contract, which includes drilling the water canal and building footbridges and marine transit stations. The works also entail building the sides of the canal.

A joint venture of US-based Parsons International and the UK’s Halcrow – now part of US-based CH2M – is the consultant for the project. Parsons is responsible for construction supervision of the first two packages related to the roads and bridges, while Halcrow will be responsible for the third package of canal excavation and marine works.

The RTA is managing the Dubai Water Canal infrastructure work on behalf of the local Meydan Group and Meraas Holding. The two developers plan to build real estate schemes on either side of the new waterway.

Canal Gate Tower

One of the schemes planned by Meraas and Meydan is the Canal Gate Tower, which will be built on the banks of the canal on Sheikh Zayed Road. The tower is a mixed-use development that will span across more than 3.5 million square feet and feature 468 apartments, 470 service apartments and 617 hotel rooms, as well as more than 400,000 sq ft of retail space and 735,000 sq ft of commercial office space.

Another planned scheme is a shopping mall that will straddle the canal with an enclosed multi-level retail bridge that will contain shops, restaurants and entertainment venues.

In February, Dubai developer Damac Properties launched a new mixed-use scheme with six towers at Dubai Canal called Aykon City.

 Aykon City

Aykon City

Aykon City

It will comprise an 80-storey Aykon Hotel and Residences, a 63-storey Damac Maison Serviced Hotel Residences, a 60-storey apartment tower, a 65-storey office tower and two 30-floor ultra-luxury residential towers, according to the statement from the company.

The project sales value is AED7.4bn and construction is due to start before the second half of the year, with a completion date of 2021.

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