Preferred bidder Al Futtaim Carillion (AFC) has agreed with the client that the work will now be carried out by the contractor already working on the adjacent marine contract.
Al Futtaim Carillion (AFC) had been announced in February as the preferred bidder for two projects for Meraas, a Dubai-based holding company. One of these projects is a £225m mixed-use development on the Dubai Creek waterfront. It has since become apparent, the company said, that the development is highly dependent on an associated major marine works contract. AFC has therefore agreed with Meraas that the work should be carried out by the marine works contractor.
AFC will continue to focus on delivering other major projects for Meraas, which has a substantial pipeline of projects in Dubai. These include the second major project for Meraas that was announced on 25 February 2015, namely the £155m, 'La Mer' development at Jumeirah in Dubai. This project involves the construction of a mixture of top-end retail and public-facility buildings, together with substantial external landscaping to create over 1km of beach-themed frontage.
Carillion chief executive Richard Howson said: ''While AFC is naturally disappointed not to be delivering the waterfront development for Meraas, given the risks involved due to the growing dependence of this development on an associated marine works contract, it makes sense for these risks to be borne by, and under the control of, one contractor. We have a strong relationship with Meraas and we look forward to delivering the La Mer development, together with the Avenue Phase II project and further major projects that Meraas has in its pipeline in Dubai."
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