Sorouh Real Estate is to tender the main construction contract for the second phase of its Watani residential project next week, according to a source at the local developer.

Sorouh has signed an agreement with the Abu Dhabi Urban Planning Council (UPC) to develop two large residential developments, Watani and Shamkha, for local Emiratis in Abu Dhabi.

The AED5.4bn ($1.4bn) Watani development, which is located next to Abu Dhabi Golf Club, will contain 1,372 residential villas, 40 low-rise apartment buildings, a shopping mall, four mosques, and other community and healthcare facilities.

The development will cover a total area of 1.8 square kilometres.

The project will be developed in three phases, with the final phase expected to be completed by December 2012.

Work has started on the first phase, which includes the construction of 303 villas, and is set for completion in August 2011.

Local contractor Pal Technology has been awarded the construction contract for the buildings and infrastructure work on the first phase.

Two consultants have been appointed for the first phase of the Watani project. The local PMDC is in charge of design review and supervision of infrastructure.

The local Ewan Architectural & Engineering Consultancy is the consultant for the construction of the villas.

The tender for the main construction contract for the second phase, which involves the construction of 400 villas, will be issued next week, says a Sorouh source. The estimated completion date for the second phase is March 2012.

The third phase will involve the construction of the remaining villas and apartments. No date has been set for the tendering of the construction contract, but it will be in the near future, says Sorouh.

Sorouh has also launched plans for another large residential project in Abu Dhabi.

The AED15bn Shamkha development, which will be located northeast of Abu Dhabi city, will contain 6,453 residential units, 14 local and grand mosques, nine schools, offices, four health clinics and community centres.

The project will cover a total area of 12 million sq m.

The local office of KEO International Consultants is currently working on the masterplan for the development. The designs are expected to be completed by the end of the year.