Cityscape Dubai 2006, the world’s largest international B2B real estate event, has witnessed a surge of interest from Kuwaiti-based companies. Driving the real estate confidence are the multi-billion dollar development plans already announced by the government and one spectacular project still on the drawing board, which has whetted the appetite of both regional and international investors and developers.
According to Rohan Marwaha, Group Development Director for Cityscape, “As it is confidence in the Kuwaiti real estate sector is sky-high. The size of Kuwait’s budget surplus in the 2005/2006 fiscal year was US$ 23.8 billion and the government has amassed a total surplus of over US$ 54 billion over the past seven years. To date, the number of Kuwaiti companies attending has doubled year-on-year and the amount of exhibition space reserved has grown by 150%.”
With commerce in mind, a key component of Kuwait’s masterplan is the seaport on the island of Bubiyan. Earlier this year the government gave the go-ahead to capitalise a development company to the tune of US$ 4.15 billion that will build the marine facilities. Bubiyan’s significance is that it would become a world-class feature serving the whole region including Iran and eventually Iraq. The island, the size of Bahrain, commands the maritime channel that gives access to the southern Iraqi port of Umm Qasr.
Bubiyan, the largest of the emirate’s nine islands, will house a container port, a free trade zone and oil storage facilities. It would be served by rail links to Kuwait and beyond. The scale of the island means that it could also accommodate residential developments, with undeveloped areas earmarked as nature reserves.
Failaka is another Kuwaiti island destined for development, this time the focus is on tourism. The aim is to transform the 43 square kilometre island into a major tourism destination featuring 20 hotels and recreation facilities at a development cost of US$ 3.3 billion. Through forward-thinking government initiatives, the private sector will also be given the opportunity to invest in the project.
However one project could eclipse any development programme ever seen before in the Middle East. Madinat Al Hareer, or ‘City of Silk’ so called due to it’s location on the historic Silk Route which linked Europe and China could be home to the highest structure in the world. The British publication Architects' Journal recently revealed plans by the Kuwaiti government to construct a 250-storey, 1,001-metre-tall building. The kilometre-high structure would anchor the planned community of Madinat Al Hareer, a proposed 700,000-residential complex due for completion sometime after 2030. Dubai’s Burj Dubai, currently plans to be the world’s tallest at around 705 metres, when completed in 2008 although so far the exact height has been kept a closely-guarded secret.
According to Paul Clerkin of Archiseek.com, no drawings of the proposed mega-development have been released publicly, but London-based architect Eric Khune has said that he and his associates are working with Kuwaiti officials to blueprint the record-breaking structure. Global engineering consultants Atkins are also leading a consortium involved in high-level presentations to Kuwaiti government authorities.
Under the master plan, its planned components include a number of business centres for trade and finance, a cultural city featuring galleries and museums, an environmental city with wildlife resorts, parks and lakes, along with residential areas. The city would be linked to Kuwait City by a causeway across the bay.
“Kuwait’s development projects are well planned and diversified. Tourism, retail, residential, trade and industry all benefit and with Kuwait’s current population estimated to be less than 2.5 million, half of which are non-nationals, developers and investors will be watching the situation very closely,” added Marwaha.
To date key industry players, Emaar Properties, Nakheel, Tanmiyat Group, Aldar Properties, City of Arabia and Dar Al Arkan have signed up as platinum sponsors, with The Commercial Real Estate Co., Tameer and Saraya Holdings taking gold sponsor status. Silver sponsors include Sviluppo Lazio, Bahrain-based RealCAPITA and Mawared.
The three-day exhibition and conference attracts key investors, property developers, architects and designers amongst others. Cityscape Dubai 2006, as in previous years will feature the hugely successful Cityscape conference, which this year has over 75 internationally acclaimed speakers who will give over 25 presentations as well as dedicated workshops devoted to specific industry issues. The coveted Cityscape Architectural Review Awards will also be distributed during a glittering gala dinner, these international awards are keenly contested and the 300 entries received last year are sure to be surpassed this year.
© 2006 Al Bawaba (www.albawaba.com)
