meed-logo

line1 line2 line3
SIGN IN / REGISTER

Hospital boost for Jordan construction

5 June 2023

This package on Jordan's construction sector also includes:

> Egis selected for Jordan hospital project
> Jordan's largest construction project to move onsite
> Hill wins work on Saudi-backed hospital project in Jordan
> PIF to invest $24bn in six Mena countries

 

Jordan’s construction sector will get a major boost this year as the country’s largest project prepares to move onsite over the summer after the first phase of its masterplan has been finalised.

The $400m hospital project is being developed by the Saudi Jordanian Fund for Medical and Educational Investments Company (SJFMEI) on a build-operate-transfer (BOT) basis.

For the hospital project, SJFMEI appointed US-based Hill International in partnership with the local sub-consultant Dar al-Omran to provide project construction management services last year. The project team is now preparing to tender construction contracts.

“We have completed the first phase of the masterplan,” Said Mneimne, senior vice-president of Hill International, told MEED in an interview.

“This summer, we will appoint a contractor for the enabling works. We will then appoint a contractor for the foundations and the structure,” he added.

The scale of the project is a challenge for Jordan’s construction sector, and an international engineering, procurement and construction (EPC) contractor may be needed to deliver the project.

“We have not yet decided what the contracting strategy will be,” Mneimne said. 

The project involves the construction of a university hospital with 330 beds, 72 outpatient clinics, a children’s hospital, and a medical school with a total capacity of 600 students and a projected annual intake of 100 students.

The project also includes five medical centres of excellence focused on disciplines such as cardiology, oncology, neurology, gastroenterology and orthopaedics. There will also be four scientific research centres in genomics and precision medicine, stem cells and regenerative medicine, health systems and public health, and bioinformatics.

The built-up area is estimated at 110,000 square metres. It will be located on the airport road, near the Ghamadan area on the outskirts of Amman.

A joint venture of Lebanon’s Dar al-Handasah (Shair & Partners) and Perkins & Will was appointed for the engineering design and supervision services.

SJFMEI is a wholly owned subsidiary of the Saudi Jordanian Investment Fund (SJIF). Saudi Arabia’s Public Investment Fund (PIF) owns 95 per cent of the fund, while Jordanian banks hold the remaining 5 per cent.

Ownership of the project will be transferred to the Jordanian government after the end of the investment period.

The hospital is the largest active standalone project in Jordan, according to regional projects tracker MEED Projects. The second-largest project is the estimated $228m King Hussein Bridge Terminal and Freight Yard project, which is at the prequalification stage.

Disappointing decade

Major projects are needed after a disappointing decade for Jordan’s construction sector. 

Data from MEED Projects shows a fluctuating trend in the value of construction and transport contracts awarded in Jordan over the past 10 years.

In 2013, the total value stood at $1.429bn. A sharp rise in 2014 to $2.475bn marked the peak of contract awards during the period.

A steep fall was witnessed in the subsequent years, with the total value plunging to just $662m in 2015, a dramatic decrease of nearly 73 per cent from the previous year. This downward trajectory continued, with the value plummeting further to a record low of $79m in 2020 amid the global economic disruption caused by the Covid-19 pandemic.

A closer look at the data indicates periods of minor recovery, notably in 2017, when contract awards rose to $866m, following a particularly poor performance in 2016 at just $159m.

Despite these rebounds, the overall trend illustrates a declining construction and transport sector in Jordan, with the years 2021 and 2022 recording values of $32m and $86m, respectively, a stark contrast to the highs of 2013 and 2014.

The fluctuating values in contract awards reveal the industry’s volatility over the past decade, linked to regional instability, economic downturns and global disruptions including the Covid-19 pandemic.

https://image.digitalinsightresearch.in/uploads/NewsArticle/10914437/main.gif
Colin Foreman

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Saudi Arabia plans Mecca transit-oriented development

    22 October 2025

    Saudi Railway Company (SAR) has signed an agreement with local investment firm Riyad Capital to establish a real estate fund to develop a mixed-use, transit-oriented project in Mecca.

    The project will span more than 90,000 square metres in the Al-Rusifah district, near the Haramain high-speed railway station in Mecca.

    The development is estimated to cost more than SR6bn ($1.6bn).

    Riyad Capital operates through four business lines: asset and wealth management, brokerage, corporate investment banking and securities services.

    In an official statement, the company said its real-estate portfolio spans three continents and is valued at more than $6bn.

    UK-based analytics firm GlobalData expects Saudi Arabia's construction industry to grow by 4% in real terms in 2025, supported by investments in the housing, energy and transport infrastructure sectors.

    The commercial sector is estimated to grow by 3.7% in real terms in 2025 and to register an average annual growth of 3.7% from 2026 to 2029, supported by the government’s Vision 2030 plan. Under that plan, the government aims to attract 150 million tourists annually and add 320,000 hotel rooms by 2030.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/14920539/main.jpg
    Yasir Iqbal
  • Contractors prepare Riyadh Expo infrastructure bids

    21 October 2025

     

    Fourteen firms have been invited to bid for the contract to undertake the initial infrastructure works at the Expo 2030 Riyadh site.

    Saudi Arabia’s Expo 2030 Riyadh Company (ERC), tasked with delivering the Expo 2030 Riyadh venue, floated the tender for the project’s initial infrastructure works in September, as MEED reported.

    The firms invited to bid include:

    • Shibh Al-Jazira Contracting (local)
    • Hassan Allam Construction (Egypt)
    • El-Seif Engineering Contracting (local)
    • Al-Ayuni Investment & Contracting (local)
    • Kolin Construction (Turkiye)
    • Al-Yamama Trading & Contracting Company (local)
    • Saudi Pan Kingdom (local)
    • Unimac (local)
    • Mapa Insaat (Turkiye)
    • Yuksel Insaat (Turkiye)
    • IC Ictas / Al-Rashid Trading & Contracting (Turkiye/local)
    • Mota-Engil / Albawani (Portugal/local)
    • Almabani / FCC Construction (local/Spain)

    The overall infrastructure works – covering the construction of main utilities and civil works at Expo 2030 Riyadh – will be split into three packages:

    • Lot 1 covers the main utilities corridor
    • Lot 2 includes the northern cluster of the nature corridor
    • Lot 3 comprises the southern cluster of the nature corridor

    ERC issued the tender for infrastructure package Lot 1 on 21 September and has set deadlines of 26 October and 9 November for submission of technical and commercial bids, respectively.

    ERC is expected to award the contract for the Riyadh Expo infrastructure package in December.

    MEED previously reported that ERC was expected to issue the tender for some of the infrastructure packages in September.

    In July, US-based engineering firm Bechtel Corporation announced it had won the project management consultancy deal for the delivery of the Expo 2030 Riyadh masterplan construction works.

    The masterplan encompasses an area of 6 square kilometres, making it one of the largest sites designated for a World Expo event. Situated to the north of the Saudi capital, the site will be located near the future King Salman International airport, providing direct access to various landmarks within Riyadh.

    Countries participating in Expo 2030 Riyadh will have the option to construct permanent pavilions. This initiative is expected to create opportunities for business and investment growth in the region.

    The expo is forecast to attract more than 40 million visitors.

    The Public Investment Fund (PIF), Saudi Arabia’s sovereign wealth vehicle, launched ERC in June as a wholly owned subsidiary to build and operate facilities for Expo 2030.

    In a statement, the PIF said: “During its construction phases, Expo 2030 Riyadh and its legacy are projected to contribute around $64bn to Saudi GDP and generate approximately 171,000 direct and indirect jobs. Once operational, it is expected to contribute approximately $5.6bn to GDP.”

    READ THE OCTOBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Private sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking

    Distributed to senior decision-makers in the region and around the world, the October 2025 edition of MEED Business Review includes:

    > AGENDA 1: A new dawn for PPPs
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/14912102/main.jpg
    Yasir Iqbal
  • Consultants bid for New Smart City Salalah design

    21 October 2025

     

    Twenty local and international engineering firms have purchased the tender documents for providing the detailed design of Oman’s New Smart City Salalah development.

    Oman’s Ministry of Housing & Urban Planning (MHUP) released the tender on 12 October. MHUP has set a deadline of 20 November for firms to submit their bids for the contract.

    The firms that have purchased the tender documents include:

    • Royal Haskoning (Netherlands)
    • Muscat Engineering Consulting (local)
    • Parsons Corporation (US)
    • Design Group Engineering Consultants (local)
    • Khatib & Alami (Lebanon)
    • Tusker Engineering Consultancy (local)
    • F&M Middle East (local)
    • Al-Abraj Consulting Engineers & Architects (local)
    • Dar SSH (Kuwait)
    • WSP (Canada)
    • Renardet SA (Switzerland)
    • Almanarah Engineering Consultancy (local)
    • Isag Consulting Engineers (local)
    • CID Gulf (local)
    • Archplan International (Egypt)
    • National Engineering Office (Pakistan)
    • Salalah Engineering Consultancy (local)
    • Meridian Engineering Consultancy (local)
    • Hayma Engineering Consultancy (local)
    • AAW Partners (local)

    The 7.3-square-kilometre scheme is masterplanned by US-based design studio Sasaki.

    The development will offer over 12,000 residential units, accommodating 60,000 residents across four neighbourhoods. It will also include 3,500,000 square metres (sq m) of open space and parks, 200,000 sq m of retail and hospitality space, 100,000 sq m of cultural space and amenities, two new hospitals and integrated transport links. 

    This project is part of the sultanate’s RO33bn development pipeline under Oman Vision 2040.

    The construction works on the project are set to commence early next year, with 5,827 residential units planned for the first phase.

    Oman released the project masterplan details in March this year.

    The statement added: “The project plans are part of the Greater Salalah Structural Plan that aims to increase the liveable capacity of Salalah, which is expected to reach a population of 674,000 by 2040.”

    New Smart City Salalah is the latest addition to the sultanate’s portfolio of high‑profile upcoming real estate schemes, which include Sultan Haitham City, Al-Khuwair downtown, Al-Thuraya and the Oman mountain destination.

    GlobalData forecasts the Omani construction industry to expand at an annual average growth rate of 4.2% from 2025 to 2028. Growth in the country will be supported by rising government investments in renewable energy and transport infrastructure, in addition to the housing sector, as part of the Oman Vision 2040 plan.

    READ THE OCTOBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Private sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking

    Distributed to senior decision-makers in the region and around the world, the October 2025 edition of MEED Business Review includes:

    > AGENDA 1: A new dawn for PPPs
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/14911963/main.jpeg
    Yasir Iqbal
  • Wood leadership change holds promise for future

    20 October 2025

    Commentary
    Indrajit Sen
    Oil & gas editor

    UK energy engineering consultancy Wood Group’s announcement of a new CEO taking charge later this year is a positive signal, indicating the company is positioning itself for the future.

    The announcement also suggests that the proposed takeover of Wood by Dubai-based Dar Al-Handasah Consultants Shair & Partners Holdings (Sidara) is nearly a done deal. Wood’s board has already accepted a $292m conditional takeover bid from Sidara, with a shareholder vote scheduled for 12 November expected to be a formality.

    New ownership would naturally initiate a strategic reset and establish new priorities and goals. Iain Torrens, currently Wood’s interim group chief financial officer, will take over as CEO from Ken Gilmartin and lead the company towards these new goals.

    Despite financial difficulties in recent years, Wood has been largely successful in winning key consultancy and engineering contracts on critical oil and gas projects in the Middle East and North Africa (Mena) region. This year alone, the company has secured project contracts in Iraq, Kuwait, Oman, Qatar, Saudi Arabia and the UAE, as well as in other international markets.

    Wood’s track record of delivering major Mena energy projects, combined with its strong regional presence, is the key factor that attracted Sidara, and the reason it has been pursuing an acquisition for the past two years.

    In addition to the takeover bid, Sidara has offered to assume $1.6bn of Wood’s debt and inject $450m in cash into the company, demonstrating its confidence in Wood’s capabilities.

    With a new owner committed to addressing the company’s financial challenges and a new CEO preparing to take the helm, Wood appears poised to enter a period of renewed stability and growth.

     Wood takeover could boost Sidara profits

    https://image.digitalinsightresearch.in/uploads/NewsArticle/14906715/main.gif
    Indrajit Sen
  • Neom omitted from Saudi pre-budget statement

    20 October 2025

    Commentary
    Colin Foreman
    Editor

    The pre-budget statement issued by Saudi Arabia’s Ministry of Finance on 30 September provided valuable insight into how the economy will develop in 2026.

    The headline figures show that expenditure is set at SR1.313tn ($349bn) in 2026, compared to revenues of SR1.147tn, resulting in a deficit of approximately SR166bn, or around 3.3% of GDP.

    For the gigaprojects programme, a key detail was which projects were mentioned in the statement, as this implies that these are considered strategic and will continue to receive backing during a period many expect to be defined by reprioritisation.

    Four of the official gigaprojects – Roshn, Red Sea Global, Diriyah and Qiddiya – are mentioned multiple times throughout the document. Neom, however, is not mentioned. All five were referenced in the 2025 pre-budget statement.

    Neom’s omission from the pre-budget statement comes at a pivotal time for projects in Saudi Arabia. While project priorities have not been officially communicated, it is widely believed within the construction sector that event-driven projects – including Expo 2030 Riyadh and the Fifa World Cup 2034 – will be prioritised.

    Although the Asian Winter Games is scheduled to be held at Neom’s mountain resort, Trojena, in 2029 – and had previously been assumed to be a priority – reports over the summer suggested the event may be postponed to 2033, with South Korea or China potentially stepping in to host the 2029 edition.

    Other priority projects are expected to include transport and social infrastructure, as well as developments in and around Riyadh, including Diriyah, Qiddiya and projects led by Roshn.

    MEED’s October 2025 special report on Saudi Arabia includes:

    > COMMENT: Riyadh strives for sustainable growth
    > GOVERNMENT: Riyadh confronts rising regional chaos
    > ECONOMY: Riyadh looks to adjust investment approach
    > BANKING: New funding sources solve Saudi liquidity challenge
    > OIL & GAS: Aramco turns attention to strategic projects
    > GAS: Saudi Arabia and Kuwait accelerate Dorra gas field development
    > POWER: Saudi Arabia accelerates power transformation
    > WATER: Transmission projects drive Saudi water sector growth
    > CONSTRUCTION: Saudi construction pivots from gigaprojects to events
    > TRANSPORT: Infrastructure takes centre stage in Saudi strategy
    > DATABANK: Saudi Arabia maintains growth momentum

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/14906273/main.gif
    Colin Foreman