UK builder wins $353m deal to extend Dubai Mall

Emaar Properties awards contract to Balfour Beatty to create Fashion Avenue extension
UK builder wins $353m deal to extend Dubai Mall
By Andy Sambidge
Fri 21 Mar 2014 11:27 AM

UK-based construction firm Balfour Beatty on Friday announced it has won a £214 million ($353 million) contract from Emaar Properties to build an extension to The Dubai Mall.

The contract has been awarded to its Dubai-based joint venture, Dutco Balfour Beatty, the builder said in a statement.

The contract for expansion works to the Dubai Mall, the world’s largest shopping mall, six years after Dutco Balfour Beatty completed its original construction, involves construction of a new Fashion Avenue in between the existing Dubai Mall and the world’s tallest building, the Burj Khalifa.

The extension will allow the Mall to increase its annual capacity to over 100 million visitors.

At its peak, the project will employ over 2,000 operatives in the region and is due for completion in early 2016.

Balfour Beatty CEO Andrew McNaughton said: “The Middle East is a growth region for the Group and we are very pleased to continue our partnership with Emaar Properties on the development of downtown Dubai which builds on the original construction of the Dubai Mall.

"Dutco Balfour Beatty will also provide additional access bridges, parking facilities, and coordination with new and existing tenants."

The statement said BKGulf will provide mechanical and electrical services on the project as part of a joint working agreement with Dutco Balfour Beatty.

It will use its in-house pre-fabrication facility to manufacture mechanical, electrical and plumbing modules off site, creating cost and time savings and improving safety in the heavily built-up area, the statement added.

Last week, Emaar Properties announced plans to list its shopping malls and retail subsidiary, marking one of the largest public offerings in the region since 2008.

Subject to market conditions, Emaar said it will list up to 25 percent of the Emaar Malls Group equity through a secondary offering of shares.

The Dubai Mall, Emaar's flagship shopping and entertainment destination, welcomed over 75 million visitors in 2013, driving a sales boost of 26 percent.

Footfall at the mall rosed by 15 percent last year, with an average monthly visitors totalling 6.25 million.

The mall's 1,200 plus retail outlets recorded a 26 percent rise in sales during 2013 compared to the previous year.

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