Dubai real estate boosts construction
10 April 2024
This package on Dubai's construction and transport sectors also includes:
> Consultant appointed for Rixos downtown project
> Dubai approves $10.9bn PPP pipeline
> Delano resort to open in Bluewaters Dubai
> Dubai RTA completes construction on four road schemes
> Nakheel and Meydan become part of Dubai Holding
> Dubai developer launches $136m Meydan project
With more than $475bn-worth of private real estate developments and public building and housing programmes planned or under way, the UAE is home to the region’s second-biggest construction projects market, after Saudi Arabia.
The UAE’s construction market is heavily dominated by Dubai real estate developments, with schemes worth over $323bn in execution or the planning phase.
Growing demand for property in Dubai, combined with a resilient economy, has brought optimism to the emirate’s real estate market. As the market develops further, a broader range of opportunities is expected to emerge for both local and international contractors.
The buoyant real estate market complements the recently launched Dubai Economic Agenda 2033 (D33), which aspires to generate up to AED32tn ($8.7tn) over the next 10 years and double the size of the emirate’s economy.
Dubai is working closely with the private sector to realise these plans. In March, Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, Crown Prince of Dubai and chairman of the Dubai Executive Council, approved an AED40bn ($10.9bn) public-private partnership (PPP) pipeline. The new PPP projects portfolio covers 10 fundamental sectors from 2024 to 2026.
In another move to bring efficiency to the real estate market, Dubai fully merged local real estate bodies Nakheel and Meydan to operate under the single entity of Dubai Holding Group.
Construction
After a dismal performance during the Covid-19 period, Dubai’s construction sector gained momentum in 2023. Contracts worth more than $35bn were recorded, an increase of 102% over the previous year.
Boosted further, 2024 has witnessed contract awards worth $4.3bn so far.
This includes an AED2.6bn ($708m) contract agreement between local real estate developer Mag Property Development (Mag) and China Energy Conservation & Environment Protection Group Tiehan to construct Mag’s Keturah Creekside Resort in Dubai.
Danube Properties also awarded an estimated $380m contract to build its Viewz 1 & 2 residential towers project at Jumeirah Lake Towers.
Another major contract win this year was the estimated $240m contract awarded to Naresco Contracting by Deyaar Developments for its Mar Casa project at Dubai Maritime City.
Transport
Dubai’s infrastructure development plans are guided by the Dubai 2040 Urban Master Plan policy, which aims to improve residents’ quality of life by cutting journey times. Its launch referenced studies indicating that the emirate’s population will reach 5.8 million by 2040, up from 3.3 million in 2020.
In line with the master plan, Dubai’s Roads & Transport Authority (RTA) has undertaken several major schemes to develop the emirate's public infrastructure. The most significant is the $4bn extension of the Dubai Metro. The RTA has set a deadline of mid-May for consortiums to submit their bids for the contract to design and build Dubai Metro’s new Blue Line.
The RTA also recently awarded three significant road contracts totalling AED1.7bn ($468m) to help ease traffic in key areas of Dubai.
In October last year, it awarded an AED689m ($187.5m) contract to Turkish Gunal Construction for the Hessa Street improvement project. This was followed by another AED332m ($90m) contract to Beijing-headquartered China Civil Engineering Construction Corporation (CCECC) to upgrade Umm Suqeim Road from Al-Khail Road to Sheikh Mohammed Bin Zayed Road and an AED700m ($190m) contract to Dubai-headquartered Wade Adams for the Al Khail Road improvement project.
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Exclusive from Meed
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Dubai seeks consultants for drainage projects6 February 2026
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The request for qualifications (RFQs) was issued by the municipality’s Sewerage and Recycled Water Projects Department (SRPD).
The bid submission deadline is 26 February.
The first scheme under the package is TF-16-C1, which involves upgrading and rehabilitating the stormwater system east of the Dubai Canal.
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READ THE FEBRUARY 2026 MEED BUSINESS REVIEW – click here to view PDFSpending on oil and gas production surges; Doha’s efforts support extraordinary growth in 2026; Water sector regains momentum in 2025.
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Modon tenders Ras El-Hekma construction contracts
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Abu Dhabi-based developer Modon Holding has tendered several contracts as part of the first phase of development at Ras El-Hekma, a planned new city on Egypt’s Mediterranean coast.
MEED understands that the tenders were issued in January.
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DP3 assets: covering 146 residential villas, 590 three-bedroom townhouses, 356 four-bedroom townhouses, a mall and other associated works.
Bids due on 23 February.
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DP7 assets: 120 five-bedroom villas, 230 seven-bedroom villas, 284 branded residential units and other infrastructural works.
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Modon has accelerated development works at Ras El-Hekma this year. In January, MEED reported that Modon Holding had awarded a E£15bn ($316m) contract for the construction of a project at Ras El-Hekma.
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In September, MEED reported that Modon Holding had tendered contracts for the infrastructure works for the first phase of the Ras El-Hekma project.
As part of the first phase, Modon plans to develop more than 50 million square metres (sq m), including hotels and a marina.
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Last year, Abu Dhabi-based holding company ADQ appointed Modon Holding as the master developer for the Ras El-Hekma project.
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Chinese firm wins Ceer automotive supplier park deal
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