By Gavin Gibbon
Jebel Ali Dubai World Central (DWC) site to cost between $2-4bn
Dubai is to build the largest ever Expo site at Jebel Ali Dubai World Central (DWC) ahead of hosting the event in 2020 at a cost of between $2-4bn.
And Cynthia Corby, audit partner, construction industry leader, Deloitte Middle East, revealed ‘secondary infrastructure spend’ will be upwards of $8bn, and will include construction opportunities in the transport, hospitality, retail and commercial sectors.
She said: “With Dubai winning Expo 2020 we will see renewed confidence in the already improving construction industry. In a market that relies upon confidence and optimism, this is a much-needed stimulus to create momentum for a renewed development and economic cycle.”
Dubai’s Roads and Transport Authority (RTA) has revealed that they will fast-track a $1.36bn expansion of Dubai Metro’s Red Line to connect to DWC.
And Emaar Properties have announced that it has signed a memorandum of understanding with DWC to develop a massive (13.63mn m2) golf-centred residential estate adjacent to the area surrounding the Expo 2020 site.
In the company's report: 'Expo 2020: A game changer for Dubai', Corby said: “These are the first of many announcements regarding large-scale projects being planned in the wake of the Expo win.
“It only takes a quick analysis of the impact of an expected additional 20mn international visitors over a six-month period to see that significant investment in hospitality and retail infrastructure will be required.”
It is estimated that up to 30% of the potential 300,000 jobs created by Expo 2020 will be in the construction sector alone.
The government has also announced that all new and existing construction projects are going to be fast- tracked to be ready for 2020.
However, Jesdev Saggar, managing director, Infrastructure and Capital Projects, Deloitte Corporate Finance Limited, urged a level of caution as the Emirate continues its recovery from the economic crisis that enveloped the world in 2009.
He said: “Dubai has been dealing with the close out of its financial obligations over the downturn years and the lessons learnt during the close out of these obligations would be usefully applied to avoid this pressure as the government is to embark on funding future infrastructure to meet the demands of hosting a global event.
“While challenging, that does not mean that it cannot be done, these challenges can be met with the right planning and coordination of spend across all the authorities.
“Expo, like any major event is all about coordination and planning and its success or failure will be a result of how well the authorities unite to capitalise on its potential.”For all the latest construction news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
These tag lines are getting a bit boring. Biggest, fastest, largest tallest etc etc.
Personally I believe that Dubai as a city and a hub has arrived and is a successful model and does not need to lean on these soundbites of biggest, tallest etc.
Let's try to change the game with Expo making it the most successful, the most sustainable, the most inovative, the most visited - a game changer for World Expos.
World Expo has lost it appeal because it was a concept created in the mid 1800s and is less relevant today as the online revolution allows inventors to reach customers and funders over the internet.
Dubai has the opportunity to reform what is an outdated format that is the World Expo - let's hope that we can all focus on this instead of just having the largest site.
Let's hope that this does not end up as just a real estate project with no plan for what happens to it after 2020.
They should get Palm Jebel Ali going again so they can market plots to hotel and business groups during the Expo..
After all the hoo-haa of the last few months you would have thought the second coming was upon us. Unfortunately it has been sold to the population as if it is going to be a goldmine opening. For all the usual sycophantic "kudos to the wise...."..... etc, the reality is that this is just a large trade show in 6 years time. 'But everyone will want to come to Dubai!!!!" - Why? How many Expo fans from the UAE are going to the next Expo in 2015? Know where it even is?!