UAE construction sector returns to form
12 October 2023
This package on the UAE’s construction sector also includes:
> Dubai starts construction of Expo Valley
> Emaar appoints contractor for Creek Harbour project
> Arada awards Jouri Hills Dubai construction contract
> Contractor appointed for Damac Hills developments
> Consultant appointed for $8.17bn Azizi Venice project
> Abu Dhabi tenders Mid Island Parkway packages

On 20 September, hundreds of people queued to buy property on Dubai’s Palm Jebel Ali. The rush to purchase units on the project, which stalled in 2008, is the latest sign of a return to form for the UAE’s construction sector.
The buoyant market conditions have prompted major UAE real estate developers to restart halted long-term projects.
In the past year, government-controlled developer Nakheel has released details of new masterplans for Palm Jebel Ali and the offshore islands it has reclaimed off the Deira Corniche, known as Dubai Islands.
Both developments are more high-end, low-rise developments that better reflect the dynamics of the post-pandemic market.
Nakheel also restarted the construction works on its Palm Beach towers project in Palm Jumeirah. Previously known as Palm Gateway, the project was rebranded and relaunched in October 2022.
Construction stopped in 2019 after structural concrete work had been completed for about 10 levels of the towers.
Indian contractor Shapoorji Pallonji will deliver the project.
Emaar Properties also announced the comeback of Dubai Creek Tower. The scheme made no significant progress after concrete pile cap works were completed in 2018.
First launched in 2015, the project was billed as the world’s tallest man-made structure, surpassing the height of Dubai’s Burj Khalifa. The project is being redesigned, which is expected to be completed by the first quarter of 2024. Construction is slated to begin in the second half of 2024.
Towering ambitions
The favourable market conditions have led another Dubai-based private developer, Azizi Developments, to restart plans to construct what it said would be the world’s second-tallest tower.
The plan to restart work on the rebranded AED3bn ($817m) 122-storey Entisar Tower project received a boost when Azizi purchased a plot of land on Sheikh Zayed Road next to World Trade Centre Metro Station 2 from Meydan.
UK-based Atkins worked on the tower's design for Azizi Developments after an original design was prepared for Meydan by Dubai-based AE7.

Demolition at the Dubai Pearl site in 2023, viewed from the MEED office in Dubai Media City
After two aborted attempts, development is expected to start again at the Dubai Pearl site, located north of Dubai Media City close to the Palm Jumeirah.
The construction work on the project stalled after the global financial crisis of 2008-09. The structures erected for the previous project have been demolished this year.
Dubai Holding, which now owns the land, has held a design competition and is in the final stages of selecting the winning architect. Local project management firm North 25 is overseeing the design competition.
Market overview
With more than $356bn-worth of private real estate developments and public building and housing programmes planned or under way, the UAE is the region’s second-biggest construction projects market, after Saudi Arabia.
After a dismal performance in 2020 due to the Covid-19 pandemic and economic downturn, the construction sector is on course for a strong comeback.
In 2021, contract awards worth about $10bn were recorded, an increase of 13.5 per cent over the previous year.
Continuing the same momentum, 2022 also grew by about 50 per cent to reach the $15bn mark, further increasing investor confidence.
According to data from regional projects tracker MEED Projects, the $17bn-worth of contract awards in 2023 has already surpassed the full-year total achieved in 2022.
The prospects for the rest of this year are promising. Nearly $8bn of contracts are already at the bid evaluation stage, and another $2bn are at the main contract bid and prequalification stages.
Projects pipeline
Renewed work opportunities for construction companies are presented by the restart of projects and new announcements in the UAE.
Real estate schemes dominate the country’s list of future projects.
In July, Emaar announced The Oasis project, which covers a total land area of more than 9.4 million square metres close to Dubai Investments Park. The $20bn project involves building over 7,000 residential units along with water canals, lakes and parks. It will also include the development of a 150,000 sq m retail area.
In October, Azizi Developments unveiled the Azizi Venice project in Dubai South. The AED30bn ($8.17bn) mixed-use development will offer over 30,000 residential units, including 100 mid-rise apartment complexes, 400 villas, two five-star hotels and an opera house.
Early this year, Mohamed Alabbar launched the $3.5bn Ramhan Island project off the coast of Abu Dhabi. The development will consist of 1,800 villas, 1,000 residences, a hotel and a marina. The project is being developed through Eagle Hills Development Company.
In July, Aldar Properties and the Abu Dhabi Housing Authority announced the AED8bn ($2.2bn) Balghaiylam Abu Dhabi residential project.
The project is scheduled to be completed by 2026 and will include 1,743 housing units. It is part of the Abu Dhabi government’s plan to employ public-private partnerships (PPPs) to provide affordable housing for its citizens through real estate schemes developed by approved developers.
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Algeria opens bidding for water treatment plant15 April 2026

State-owned Cosider Pipelines, part of Algeria’s public infrastructure group Cosider, has issued a tender for the construction of a demineralisation plant in In Salah in Algeria.
The contract covers the design, supply, installation, testing and commissioning of a plant with a treatment capacity of 62,000 cubic metres a day (cm/d).
The tender is open to local and international companies specialising in the design and construction of demineralisation and reverse osmosis desalination plants.
The bid submission deadline is 26 April.
The project will be located at In Salah, a key industrial area in southern Algeria, where treated water supply is important for both municipal and industrial use.
Cosider said that individual bidders must demonstrate that they have completed at least one reverse osmosis demineralisation or desalination plant with a capacity of 20,000 cubic metres a day or more.
They must also show an average annual turnover of at least AD1bn ($7.7m) for their five best years over the past decade.
For consortium bids, all partners must share full responsibility for the contract, while the lead company must meet the technical and financial requirements.
Recent projects
In 2023, MEED reported that Riyadh-based water utility developer Wetico had won two contracts to develop water desalination plants in Algeria.
Societe Algerienne de Realisation de Projects Industriels (Sarpi) awarded the contract for the El-Tarf desalination plant, while Entreprise Nationale de Canalisations (Enac) is the client for the Bejaja facility.
Both plants were commissioned in 2025, each with a production capacity of 300,000 cm/d.
Separately, Wetico was the main contractor on a third plant commissioned last year. The Cap Dijinet 2 seawater desalination plant in Boumerdes province covers 18 hectares and also has a capacity of 300,000 cm/d.
Like many countries, Algeria is facing pressure on resources due to longer and more frequent droughts. Seawater desalination is seen as a key driver of the government’s strategy to guarantee drinking water supply.
According to previous reports, the government is planning to build up to six additional plants by 2030.
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WEBINAR: UAE Projects Market 202615 April 2026
Webinar: UAE Projects Market 2026
Tuesday, 28 April 2026 | 11:00 GST | Register now
Agenda:
- Overview of the UAE projects market landscape
- 2025 projects market performance
- Value of work awarded 2026 YTD
- Impact of the Iran conflict on the projects market and real estate, assessing supply chain disruptions, material cost inflation and war risk premiums
- Key drivers, challenges and opportunities
- Size of future pipeline by sector and status
- Ranking of the top contractors and clients
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- Short and long-term market outlook
- Audience Q&A
Hosted by: Colin Foreman, editor of MEED
Colin Foreman is editor and a specialist construction journalist for news and analysis on MEED.com and the MEED Business Review magazine. He has been reporting on the region since 2003, specialising in the construction sector and its impact on the broader economy. He has reported exclusively on a wide range of projects across the region including Dubai Metro, the Burj Khalifa, Jeddah Airport, Doha Metro, Hamad International airport and Yas Island. Before joining MEED, Colin reported on the construction sector in Hong Kong.https://image.digitalinsightresearch.in/uploads/NewsArticle/16401868/main.gif -
Saudi Landbridge finds its moment in Gulf turmoil15 April 2026
Commentary
Yasir Iqbal
Construction writerThe strategic case for the Saudi Landbridge has never been more urgent. SAR’s appointment of Spain’s Typsa as lead design consultant, reported by MEED this week, is more than a procurement milestone. After two decades of delays, it reflects how the long-deferred project has become a strategic necessity.
The conflict reshaping the Middle East has made that necessity more immediate. Red Sea transits are costly and unpredictable. The Strait of Hormuz carries risk no insurer can fully price. Saudi Arabia’s most valuable exports, including crude oil, refined products, petrochemicals and industrial goods, move almost entirely by sea through routes that are no longer reliably secure.
The kingdom sits between two coastlines with no rail link connecting them. That gap is now an economic exposure.
The $27bn project addresses it directly. More than 1,500 kilometres of track, anchored by a 900km railway between Riyadh and Jeddah, will provide direct freight access from King Abdullah Port on the Red Sea, with upgrades to the Riyadh-Dammam line and a new connection to Yanbu.
Together, they create what Saudi Arabia has never had: a continuous land corridor linking Gulf industrial ports to Red Sea export terminals, entirely within its own borders.
The commercial implications are substantial. Aramco’s downstream output, Sabic’s chemicals, and the manufacturing clusters of Jubail and Yanbu gain flexible access to both coasts.
Exporters targeting Europe and the Americas load at Jeddah; those serving Asia pivot east to Dammam by rail, on demand, without Hormuz risk or Red Sea freight surcharges.
No neighbouring economy has that optionality. The network also underpins a broader economic ambition. Connecting Jeddah, Riyadh, Dammam, Jubail, Yanbu, King Abdullah port and King Khalid airport by rail positions the kingdom as a genuine logistics corridor between East and West.
With design now under way and construction tenders expected imminently, the Landbridge is closer to reality than at any point in its troubled history. Regional disruption did not create this project. But it has made the argument for it unanswerable.
MEED’s April 2026 report on Saudi Arabia includes:
> COMMENT: Risk accelerates Saudi spending shift
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> BANKING: Testing times for Saudi banks
> UPSTREAM: Offshore oil and gas projects to dominate Aramco capex in 2026
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> POWER: Wind power gathers pace in Saudi Arabia
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> CONSTRUCTION: Saudi construction enters a period of strategic readjustment
> TRANSPORT: Rail expansion powers Saudi Arabia’s infrastructure pushTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/16401567/main.png -
Indian firm selected for Saudi sewage treatment project15 April 2026

Saudi Arabia’s National Water Company is understood to have recently selected Indian contractor VA Tech Wabag as its preferred bidder for a contract to expand a sewage treatment plant (STP) in Al-Majmaah in Riyadh Province.
The engineering, procurement and construction (EPC) package for the Al-Majmaah STP has an estimated value of $65m.
The scope includes the construction of sewage treatment plant units, a pumping station and an effluent surplus line. It also covers the installation of a Scada system, supervisory control systems and associated facilities.
As MEED understands, six bids were submitted last year, including from local firms Alkhorayef Water & Power Technologies, Al-Rafia Contracting, Civil Works Company, Saudi Sdn Water & Energy and Washnah Trading & Contracting.
The project forms part of Saudi Arabia’s broader push to expand treatment and reuse infrastructure under Vision 2030, particularly across the Riyadh region.
MEED recently revealed that NWC had awarded an EPC contract for the latest phase of its long-term operations and maintenance sewage treatment programme.
The contract to build and upgrade sewage treatment plants with a combined capacity of about 440,000 cubic metres a day was awarded to a consortium led by China’s Jiangsu United Water Technology.
Elsewhere, a joint venture of Kuwait-based Heavy Engineering Industries & Shipbuilding and Wabag is awaiting the formal contract award for phase two of Kuwait’s Doha seawater desalination plant project.
The firms submitted the lowest bid of $373.2m for the project last year.
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SAR extends phosphate rail track deadline15 April 2026

Saudi Arabian Railways (SAR) has extended the bid submission deadline to 26 April for a multibillion-riyal tender to double the tracks on the existing phosphate transport railway network connecting the Waad Al-Shamal mines to Ras Al-Khair in the kingdom’s Eastern Province.
The new tender – covering the second section of the track-doubling works and spanning more than 150 kilometres (km) – was issued on 9 February. The previous bid submission deadline was 15 April.
The new tender follows SAR receiving bids from contractors on 1 February for the project’s first phase, which spans about 100km from the AZ1/Nariyah Yard to Ras Al-Khair.
The scope includes track doubling, alignment modifications, new utility bridges, culvert widening and hydrological structures, as well as the conversion of the AZ1 siding into a mainline track. It also includes support for signalling and telecommunications systems.
The tender notice was issued in late November, with a bid submission deadline of 20 January 2026.
Switzerland-based engineering firm ARX is the project consultant.
MEED understands that these two packages are the first of four that SAR is expected to tender for the phosphate railway line. Other packages expected to be tendered shortly include the depot and systems packages.
In 2023, MEED reported that SAR was planning two projects to increase its freight capacity, including an estimated SR4.2bn ($1.1bn) project to install a second track along the North Train Freight Line and construct three new freight yards.
Formerly known as the North-South Railway, the North Train is a 1,550km-long freight line running from the phosphate and bauxite mines in the far north of the kingdom to the Al-Baithah junction. There, it diverges into a line southward to Riyadh and a second line running east to downstream fertiliser production and alumina refining facilities at Ras Al-Khair on the Gulf coast.
Adding a second track and the freight yards will significantly increase the network’s cargo-carrying capacity and facilitate increased industrial production. Project implementation is expected to take four years.
State-owned SAR is also considering increasing the localisation of railway materials and equipment, including the construction of a cement sleeper manufacturing facility.
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