Saudi government fund to tender Jubail housing complex in June

19 May 2010

Project to build 696-units estimated to be worth $300m

Saudi Arabia’s General Organisation for Social Insurance (Gosi) is planning to issue a tender in June this year for the main construction contract of a 696-unit housing complex at Jubail Industrial City.

According to officials at Gosi, the project was conceived as one of the industrial city’s few mid- to high-income housing developments and, as such, will contain four or five different styles and sizes of private villa.

Gosi is hoping to break ground on the project six months after the contract is awarded, according to an official close to the project.

While the budget for the project is unclear, market prices in Saudi Arabia’s Eastern Province suggest an estimated value of around $300m.   

The development at Jubail Industrial City development is one of four ongoing Gosi projects.

The government agency awarded contracts totalling SR312m ($83m) for the design, execution and supervision of 207 housing units in Riyadh’s diplomatic quarter in April. A joint venture of local contractors Seder Contracting Group and al-Redwan Contracting was awarded the construction contract while the local office of the Architectural Centre for Architectural and Engineering Consultation was awarded the design work (MEED 5:5:10).

According to the source, contractors are mobilising personnel onsite and construction is due to start imminently. The project is due for completion by August 2012.

Foundation work finished in early-April on Gosi’s Olaya Towers project, also in Riyadh. The estimated $268m project comprises four towers and is being built by the local Nesma & Partners Contracting Company. Zuhair Fayez Partnership Consultants is managing the project, which is scheduled to be complete in the first quarter of 2012.

The largest of the Gosi projects is its six-tower Granada Oasis mixed-use development in Riyadh. The estimated $407m project is being built by the local al-Latifia Trading & Contracting, with the local Omrania and Associates serving as project manager. Granada Oasis is planned for completion in the last quarter of 2011.

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