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Having made such a massive contribution to the modern development of the UAE, Al Habtoor Engineering Enterprises continues its regional expansion with a $400 million contract to build five new hotels in the Qatari capital, Doha.

By: Ben Smalley


  Investment in Qatar’s infrastructure and industry is reaching fever pitch as the Gulf emirate continues its drive to become a significant regional player. With the world’s third largest natural gas reserves and one of the highest per capita incomes in the world, Qatar is a small country with big ambitions.

  Since the turn of the millennium, the government has assigned $25bn of public finance to upgrade the national infrastructure. As well as new roads, sewerage plants and a $750m expansion programme for Doha International Airport, the plans include numerous prestige projects designed to enhance Qatar’s cultural identity and promote foreign investment.

  As part of the ongoing development, the Al Rayyan Tourism Investment Company has announced plans to build five new hotels to cater to the growing number of tourists and business travellers visiting the country, and the $400 million construction and fit-out contract was recently awarded to Al Habtoor Engineering Enterprises - part of the Al Habtoor Group.

  Al Habtoor Engineering Enterprises has established an unrivalled reputation in the UAE construction sector through landmark projects like the Sheikh Rashid Terminal Concourse at Dubai International Airport. The company has also built many of Dubai’s most famous hotels – the 321 metre high Burj Al Arab, the Shangri-la (both completed as a Joint Venture with Murray & Roberts), the 600-bedroom Jumeirah Beach Hotel, the Metropolitan Palace Hotel and the Dusit Dubai to name but a few.

  As part of the Dubai-based company’s regional expansion, construction projects have also been undertaken in Lebanon and Egypt, but this latest contract marks the company’s largest venture outside the UAE, and its first in Qatar.

  Project Director and Area Manager for Qatar Operations, Nasr A. Nasr, says he sees huge potential in the emerging Gulf state’s construction and real estate sector.

  “Al Habtoor Engineering Enterprises has never worked in Qatar before, but we have been studying the market for some time with an eye to suitable commercial opportunities,” he explains.  “Qatar, and particularly Doha, is on the threshold of the scale of expansion that Dubai found itself in ten years ago and there are opportunities for companies such as ours to apply the discipline learnt in Dubai to this new demand for infrastructure and building development.

  “Al Habtoor Engineering Enterprises brings to the Qatar market expertise in design/redesign and build, fast-track construction methods, fine-tuned procurement, project management skills, logistics management and an unblemished record in similar projects throughout the UAE.”

  The Qatar contract involves constructing five hotels as part of the expansion of Doha City Centre, the capital's most popular shopping destination, with project sites on the west and east sides of the existing mall.

  “There are three five-star hotels & two four-stars, namely two Marriott hotels, one Shangri-la, one Merweb and one Renaissance hotel,” Nasr explains. “The project is divided into two areas, with one phase consisting of the two Marriott hotels, which covers a total built-up area of 160,000 square metres and 48-storeys in height. The other phase consists of three hotels covering an area of 260,000m2 to a similar height, in addition to two rooftop helipads.

  “Both phases have a similar build-up of three basement levels, six podium levels and then towers emerging through the podiums. The external envelopes will be fully glazed curtain walling, with all leisure, pools and entertainment areas located at ground level.”

  Nasr is no stranger to completing high profile hotel projects on budget and on time. He was Project Director for the construction of the AED 400 million Shangri-la complex on Dubai’s Sheikh Zayed Road, which marked the Hong Kong-based chain’s first hotel in the Gulf.

  But this latest project, which also includes a Shangri-la, will present new challenges for Nasr and his team due to its massive scale, with five hotels under construction at the same time. Work began on site in April and the contract duration for the entire project is 24 months.

  “The project is definitely unique and constitutes a new challenge as we first had to overcome all the obstacles associated with establishing an area office, including the logistics of relocating staff, housing, labour accommodation, procurement and transport of materials from the UAE,” Nasr explains.

  “However Al Habtoor, under the directives of our Chairman and Managing Partner, have succeeded in overcoming all the initial obstacles. We are established, set and ready to break new ground and prove our reputation for excellence and quality construction in the state of Qatar.”

  Another first for the project is the introduction of a Guaranteed Maximum Price (GMP) attached to the value of the contract, which Nasr says represents a new approach to contracting in the region.

  “This pioneering initiative will not only ensure the smooth implementation of the entire project from the start, but will also result in all parties concerned working as a team,” he says.

  The hotel podiums will have a direct link to the existing shopping mall, with construction features including RCC structure, external cladding with glazed curtain walling systems, MEP services, conveying systems and soft and hard landscaping.

  “This project faces a challenging timescale for completion which will pose tremendous thrust on planning, procurement and execution,” Nasr says. “This engineering marvel is the biggest project awarded to Al Habtoor Engineering Enterprises outside the UAE. It will be one of the landmark projects in Qatar, adding another masterpiece to the architecture of Doha.”

  Looking to Qatar’s future, annual liquefied natural gas (LNG) production has already reached 18m tonnes and is expected to rise to 27m tonnes this year. If it can achieve its goal of 36m tonnes by 2008, Qatar will outstrip Indonesia as the world’s largest LNG exporter, and the revenues from the 650,000 barrels per day of crude oil it’s currently pumping will become an added bonus rather than an economic mainstay.

  With such economic growth taking place, along with Qatar’s desires to invest in economic diversification and boost the country’s appeal to foreign investors, Nasr predicts a bright future for Al Habtoor Engineering Enterprises in Qatar’s continuing development.

   

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