Dubai's Burj Al Alam project had suffered from delays in payments from investors but was still on track for completion in 2012, according to director of projects for developerFortune Group.
Speaking to Arabian Business on Sunday Colonel Syed Muhammad Shahid admitted that the AED 5bn ($1.36bn) development had been affected by delayed installments of payment from clients funding the development.
However, the project, which will be the the world’s tallest commercial tower at 501 metres, was still on track for completion in three years time. An announcement on the main contractor for the development would be made in one and a half to two months, Shahid added.
Grocon, Besix, Samsung Engineering and Arabtec Construction were on the shortlist to be named the main contractor, he said.
“As far as the announcement of the main contractor is concerned it will take some time because for a project of such a magnitude it takes months to straighten out queries and clarifications before things take the final shape,” he said.
Speaking about the commercial construction sector in Dubai generally, Shahid said: “Keeping in view the prevailing financial situation everyone knows that clients are delaying the payment of installments because of which a slow progress in all matters may be expected.”
Middle East Foundations started construction work on the shoring and anchoring for the project five months ago, Shahid said.
The 108-storey structure, which has been designed by Nikken Sikkei in the shape of a crystal flower, will be located in the Business Bay area.
US-based Parsons Brinckerhoff has been named project manager for the scheme.