Kuwait signs $4B deal with South Korea to build new smart city

Published May 11th, 2016 - 02:00 GMT
The new city  is set to house 25,000 residential units. (Shutterstock)
The new city is set to house 25,000 residential units. (Shutterstock)

The governments of South Korea and Kuwait will jointly build a new city - The South Saad Al Abdullah New City -  40 km west of the centre of Kuwait at an estimated cost of $4 billon, said a report.

The city, which will be spread over a 59 km area, is set to house 25,000 residential units, reported Pulse News. The Kuwaiti government will also purchase unsold land and houses once the city is completed, and the two parties will ensure government-level cooperation in mapping out new city policies and exchanges of knowhow and experience, said the report.

Kang Ho-in, Minister of South Korea’s Land, Infrastructure and Transport (MOLIT), and the Kuwaiti Minister of State for Housing Affairs Yasser Hassan Abul signed a MoU to cooperate on the development of the new smart city.

Besides this, Korea Land and Housing Corporation (LH) inked another agreement with the Public Authority for Housing Welfare (PAHW) of Kuwait in connection with the project.

Under the deal, LH will draw up a comprehensive plan and conduct feasibility analysis in creating the city, and together with PAHW set up a special purpose vehicle to jointly invest and build the development.

The SPV company will be in charge of designing, construction and operation of the city, it added.




Copyright 2019 Al Hilal Publishing and Marketing Group

You may also like