Sun 25-10-2020 16:31 PM
ABU DHABI, 25th October, 2020 (WAM) -- As part of the Abu Dhabi Government's efforts to support the emirate's real estate sector and public-private partnership initiatives, the Abu Dhabi Executive Committee directs the development of a public-private partnership framework to implement capital projects in the emirate.
In this context, ADQ, holding company with a broad portfolio of major enterprises, spanning key sectors of Abu Dhabi's diversified economy, and Aldar signed a memorandum of understanding, MoU, under which Aldar will take over the development and management of government capital projects with a total value of approximately AED 30 billion, the largest of which is the Riyadh City project and the Baniyas North project as well as other projects in Al Ain and Al Dhafra regions, which will together include more than 25,000 land and villas for UAE Nationals and associated infrastructure.
Aldar will also have management oversight of Musanada’s projects to ensure consistency of existing government capital infrastructure projects. Musanada currently has a large pipeline of active projects ranging from education, healthcare, infrastructure, social services, and facilities management.
Aldar expects to complete taking over the management of the government projects before the end of this year, ensuring that all existing projects, which are scheduled to be delivered over the next five years, will continue to be developed.
Mohamed Hassan Al Suwaidi, Chief Executive Officer, ADQ, said, "Aldar’s real estate sector leadership and strong track record will ensure the continued development of a range of highly important Government projects in Abu Dhabi. In particular, the agreement marks significant progress toward the delivery of major infrastructure and national housing schemes across the emirate. Importantly, it aligns commercial and strategic operations in the sector."
Talal Al Dhiyebi, Chief Executive Officer, Aldar Properties, said, "We have proven over many years our ability to successfully deliver a range of major residential, commercial and infrastructure projects on behalf of the Government of Abu Dhabi. The transaction, which is fully aligned with our business development strategy, will significantly support future profit growth."
Aldar’s ‘In-Country Value’ programme, ICV, will ensure that the majority of contracts are prioritised towards local contractors, consultants, suppliers - including SMEs - to ensure as much as possible is reinvested into the local economy. At the same time, Aldar will ensure the development of these projects is aligned to the Company’s sustainability objectives, especially with regards to environmental standards, materials procurement and workers’ welfare.