Gulf Construction Online

Bahrain Review

The Four Seasons hotel and the CIH tower ... under construction at Bahrain Bay.

Bay watch

01 January 2013

As the finishing touches were being put to the bulk of the infrastructure works around Bahrain Bay last year, the $2.5-billion masterplanned waterfront community continued to attract some of the big names in the hospitality industry. Work is now progressing well on schedule on the current tally of hotels including the Four Seasons, JW Marriott Manama and Wyndham Grand Manama as well as the headquarters of Al Baraka Banking Group within the prestigious development in Manama.

An artist’s impression of the Four Seasons hotel.

As one of the first masterplanned mixed-used waterfront communities, Bahrain Bay is gradually gaining popularity as an ideal location for the leisure industry, thanks to the fact that the development is already a home to three internationally-renowned hotel brands, says Abdulla Al Doseri, deputy CEO of Bahrain Bay Development, in an exclusive interview with Gulf Construction.

“As our partners continue to explore business opportunities, room for other hospitality groups is a distinct possibility, in addition to the investor interest Bahrain Bay continues to attract from all quarters,” he says.

Masterplanned by the US-based Skidmore, Owings & Merrill, Bahrain Bay comprises a combination of residential, commercial, retail, tourism and community facilities and public amenities located on reclaimed land across the Bahrain World Trade Centre and Bahrain Financial Harbour in the heart of Bahrain’s capital city. And leading this vision towards reality in creating a metropolis for the 21st century is Al Doseri, who has been part of the project since its inception in 2006.

All land parcels are now provided with roads, sewage, water, electricity, district cooling and ICT capabilities, with the developer now finalising infrastructure works around the project, concluding end of defects activities and other planned works, including putting into service pump stations, the north water tank, street lighting and traffic lights.

Al Doseri ... leading the vision.

Much of the streetlighting has been completed and signalised junctions are in operation. Planning of the hard and soft landscaped areas for various parts of the development is well under way. Work on these areas is intended to start in the second quarter of this year to be ready in time for the scheduled completion of the projects of third-party developers, namely the Wyndham Grand hotel by Cooperation Investment House, the new headquarters of the Al Baraka Banking Group and the iconic Four Seasons hotel.

Mace, which has been engaged as project manager on the development since 2007, is handling completion of infrastructure works.

The development reached a major milestone last March with the opening of its portals to the public following the completion of a key section of the North Manama Causeway that links the Al Fateh Highway and the King Faisal junction to Bahrain Bay.

“This new route, which has enabled the general public to have a first-hand view of the progress of works at Bahrain Bay, has greatly facilitated the movement of construction traffic into Bahrain Bay, reducing the dependency on temporary causeways,” Al Doseri says. “With works progressing on the projects of our third-party developers, the new road access allows the easy flow of workers and material to the development.”

The CIH tower ... construction is revealing its twisting structure (below).

Also in March last year, the first phase of the King Faisal Highway upgrade – also known as the Northern Detour Road – was completed and opened to traffic, which has increased the capacity of the road in both the eastbound and westbound directions.

Meanwhile, the project’s 220-kV substation, located next to the Paragon district cooling plant, and the two off-site 66 kV substations, are expected to see full completion and be in service by the second or third quarter of this year. Cabling is largely complete through the North Manama Causeway utility corridors, and cable energisation is scheduled ahead of the substation being put into service, says Al Doseri.

Similarly, temporary water connections provided by the Electricity and Water Authority (EWA) are currently servicing the development, with permanent connections in the form of a 600-mm-diameter water main along the North Manama Causeway utility corridors due for completion in the near future.

Parallel to this, the removal of the two temporary causeways linking Bahrain Bay with the corniche are planned in 2013 on completion of the water main and the installation of the 220-kV cable through Bridge Two. This will subsequently allow access by waterborne transport from the east of Bahrain Bay through the deepest channel under the North Manama Causeway. Dredging activities to clear channels to and within the canal are progressing in anticipation of the removal of the seaward bund, he indicates.

“As such,” Al Doseri says emphatically, “the progress of works at Bahrain Bay has not only remained on schedule but, in fact, gained momentum last year (2012). The three third-party developers have continued to adhere to their schedule, thanks to realistic programming.”

Third-party developers

Bahrain Bay has become home to some leading names in the international hospitality as well as the regional commercial sectors. Projects that house these facilities are fast moving towards completion and include:

• Cooperation Investment House (CIH) Tower, home to the Wyndham hotel: Occupying a strategic location within the iconic twisting CIH tower, the Wyndham Grand Manama will face the Bahrain World Trade Centre and is just a short distance from Bahrain Financial Harbour, thus making it well placed to cater to business as well as leisure travellers.

“This is considered to be a fantastic setting and a great property for this distinguished collection. As each Wyndham Grand hotel takes in some of the flavour of its destination, its modern, cosmopolitan setting will be reflected in the hotel along with historical Bahraini influences,” Al Doseri comments.

The CIH tower will house the first Wyndham Grand property in Bahrain, following the signing of an agreement by Cooperation Investment House with the leading international hospitality chain to manage its prestigious landmark building at Bahrain Bay.

“The vision is to create the best tourist and business destination by combining the Wyndham brand’s authentic hospitality and high quality service with modern corporate office space in one magnificent development at a prime location,” Al Doseri says.

The Wyndham Grand Manama will cover 14 floors of the 50-storey CIH mixed-use development and comprise more than 260 spacious guest rooms ranging from 46 to 120 sq m in size and five food and beverage outlets. The five-star hotel, which is expected to open by the end of 2013, will also feature 500 sq m of meeting space, a 900-sq-m ballroom on the building’s top floor offering stunning sea views, indoor and outdoor infinity swimming pools and separate health clubs for men and women.

The North Manama Causeway ... key link.

The distinctive CIH tower, which has four basement levels, is already revealing its unique “spiralling” structure at its site on the South Island. Work on the superstructure has now reached its 29th level and is scheduled to be ‘topped out’ in April. With the podium structure having been completed in early 2012, cladding works have commenced at ground level.

• Four Seasons: Construction works started at full throttle on the Four Seasons hotel, following the award of the main contract for its construction and fit-out to Six Construct of Belgium in 2011. The two main hotel “piers” are currently at the 23rd storey level and upon completion, the architecturally iconic 43-storey structure will offer 260 guest rooms and boast a penthouse-level “Sky Pod” restaurant and conference facility commanding views across the Arabian Gulf. Other amenities include a hi-tech business centre, versatile meeting and event rooms, a multi-use ballroom and banqueting hall, a health club and swimming pool as well as several fine dining venues. The development is anticipated to open in Q2 of 2014.

• Al Baraka Group: Early April 2012 saw the pouring of the raft slab while by October the roof slab of this nine-storey twin-tower was poured. The project is on schedule for full completion in the second half of this year, according to the Al Baraka Group (ABG).

The JW Marriott hotel (below) ... ground works in progress.

One of several institutions to headquarter their operations at Bahrain Bay, the ABG chose the development as a foundation of its global expansion. Composed of two office towers (Buildings A and B), the development will have approximately nine levels above ground plus a mezzanine level, with an approximate gross floor area (GFA) of 22,221 sq m in addition to four basement levels with an approximate GFA of 16,318 sq m to accommodate 365 cars and other facilities. When completed, the site will boast one of the deepest underground car-parks in the country, to comply with Bahrain Bay’s strict urban planning guidelines to ensure minimal congestion.

The two towers share a common podium and ground plaza level, while the upper floors are linked by a bridgeway. Tower A will be leased out while Tower B will house the headquarters of ABG bank. The office tower will comprise administrative offices while the podium levels will consist of banking and retail areas, and a VIP reception area.

• JW Marriott: Another third-party developer Khaleej Capita is now progressing with ground works and piling on its commercial tower, which will house the JW Marriott Manama, Bahrain Hotel.

The construction of the five basements and the 50-storey superstructure on the North Island of Bahrain Bay is expected to commence shortly with completion earmarked for 2016. The five-star hotel, which will be managed by Marriott international’s world-class luxury hotel brand JW Marriott, will have 274 rooms and suites and 102 residences; an executive lounge with ocean views; one casual and five specialty restaurants; four lounges, including a lobby lounge and bar, a pool bar, quiet bar and rooftop lounge/bar; and 17,119 sq ft of meeting space. Recreational facilities will include a health and leisure club and spa, indoor and outdoor pool, tennis and squash courts.

The JW Marriott Manama Bahrain Hotel will be the first JW Marriott property in Bahrain and the fifth JW Marriott hotel in the Middle East and Africa (Africa) region.

Meanwhile, the developer has continued to exert efforts to attract international interest in the project by keenly participating in regional and international events such as MIPIM in Cannes France. Last year, Bahrain Bay Development – the only Bahrain firm to represent the country’s real estate sector at MIPIM – celebrated its sixth year as an exhibitor at the event held from March 6 to 9, 2012.

“The Bahrain Bay pavilion attracted a high volume of delegates interested in investment and joint venture opportunities and received a number of requests for follow-up meetings with potential investors who want to engage with projects in the region,” says Al Doseri, who plays a pivotal role in showcasing and promoting Bahrain Bay as well as Bahrain at such prestigious gatherings.

Bahrain Bay also participated as a gold sponsor at the MIPIM Asia 2012 held at the Hong Kong Convention Centre from November 7 to 9, 2012. In addition to MIPIM, Bahrain Bay ensures its presence at exhibitions such as Cityscape and AHIC (Arabian Hotel Investment Conference), both in Dubai, UAE, as property events such as these are an ideal platform for meeting key decision makers as well as the international press, he says.

Challenges

Bahrain Bay has managed to make commendable progress despite the many political and economic challenges faced by the region, thanks to the developer’s commitment to the project and the partnerships it has struck both with the public sector and third-party developers.

Al Baraka Group headquarters ... work is progressing apace (below).

Al Doseri, who takes serious charge in delivering Bahrain Bay’s commitment, elaborates: “In this day and age, no industry or market is devoid of challenges and Bahrain is no exception. At times, Bahrain Bay’s unbroken record of progression since its launch is taken for granted but it’s important to recognise that our continued forward momentum throughout various national and international hurdles is a tribute to not only Bahrain Bay’s solid corporate foundations but also its partners. The companies we have chosen to ally ourselves with have shown an equal amount of resilience and commitment to ongoing growth and without them we would not be considered the region’s leading mixed-use waterfront development.”

The work that has been completed on the project to date demonstrates the commitment to Bahrain Bay by all parties involved. “We are encouraged by the progress of our partner developments and how effectively they are managed in the current environment, thanks to the dedication of our partners, shareholders and team members who truly are our driving force,” says Al Doseri.

In order to demonstrate such commitment and intention, Al Doseri says it was essential to show effective and transparent processes, as sub-developers, lenders, lawyers and the third-party developers who will occupy the property would want to see concrete evidence of excellence in management and due diligence by the masterplan owner.

“This led to the concept of the Technical Interface Agreement (TIA) by Bahrain Bay and the Central Planning Office of Bahrain’s Ministry of Works which we can proudly claim has set the standard for the management of the complex interface between large-scale private sector masterplans and the government agencies involved in permitting, programming and delivering support to our third-party developers,” he says. “Following the success of the TIA, Bahrain Bay established a Technical Interface Office (TIO) as an exclusive resource to our third-party developers. This structure has brought efficiency and clear lines of communication between multiple stakeholders. Added to that, Bahrain Bay has maintained excellent and productive relationships with the approving authorities who clearly respect the approach Bahrain Bay has.”

Economical impact

Bahrain Bay, as a masterplanned development, provides developers and contractors with a bright opportunity for the foreseeable future. The fully serviced approach to land sales and the systems in place for dealing with local authority approvals (through the TIO) means that land sales can be turned into live developments in a smooth and expeditious manner, he says. Bahrain Bay’s proactive policy and good relations provide added value to developers and their contractors alike. This added value translates simply into jobs and a resultant boost to the economy, according to Al Doseri.

“This year is set to provide an upturn in the economy and add to Bahrain’s stability. Bahrain Bay, with its current developments, is at the forefront of developing a bright future for the Bahrain Bay community. With a continuing investment programme, Bahrain Bay will become a destination of choice for investors and the public. Ample green areas, civic amenities, walks and playgrounds will start to emerge to complement the three hospitality projects and the two major office developments that will be completed in 2013 and 2014,” he concludes.