UAE capital Abu Dhabi is strengthening its status as a cultural hub in the region and as a powerhouse of sustainability with several eye-catching and world-leading projects under way. Gulf Construction takes a look at these key developments covering tourism, real estate, renewables and transport.
01 August 2023
Abu Dhabi is rapidly emerging as a cultural powerhouse, having recently opened key destinations and with a new wave of world-class museums, galleries, and performance venues under construction to transform the city’s skyline and its reputation as a tourist destination. The emirate also remains focused on its sustainability credentials and continues to power ahead in the renewables sector with the fourth unit of its nuclear plant in the final stages of commissioning and two mega solar power projects in the offing.
Early this year, the emirate officially launched the Abrahamic Family House, a new centre for learning within the Saadiyat Cultural District. The new cultural landmark was designed by Sir David Adjaye, an award-winning Ghanaian-British architect, and epitomises the values of harmonious coexistence and understanding shared between the Abrahamic faiths of Judaism, Christianity and Islam, through three main buildings – a mosque, a church, and a synagogue all on one site.
Work is now well in progress on four museums in the Saadiyat Cultural District – the Zayed National Museum, Guggenheim Abu Dhabi Museum, the Natural History Museum and Teamlab Phenomena Abu Dhabi (see Page 14).
On the entertainment side, Abu Dhabi marked the opening in May of SeaWorld Yas Island, Abu Dhabi, spanning 183,000 sq m and offering entertainment and education themed around marine life. The attraction has been developed by Abu Dhabi’s leading creator of immersive destinations and experiences Miral in partnership with SeaWorld Parks & Entertainment and is the latest addition to Yas Island’s portfolio of theme parks and attractions, including Warner Bros World Abu Dhabi, Ferrari World Abu Dhabi, Yas Waterworld and CLYMB Abu Dhabi.
In the transport sector, the emirate saw the completion of the UAE national rail network, an ambitious project which will give a major boost to industrial trade. The main line extends from Ghuweifat on the Saudi border to the northern emirate of Fujairah and currently operates as a freight line. Passenger service is yet to be launched.
The next major transportation landmark that is eagerly awaited is the Midfield Terminal Complex at Abu Dhabi International Airport which, according to industry sources, is slated to open coinciding with UAE’s National Day on December 2.
Etihad Rail
Freight services are fully operational on the 900-km UAE national rail network that links the seven emirates.
According to Etihad Rail Chairman Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, the mammoth project involved “11 contractors, 25 consultants, and 28,000 specialists who worked on the project clocking 133 million working hours as well as 40,000 approvals from 180 government agencies.”
The fleet of the most modern freight trains in the region, comprising 38 locomotives and more than 1,000 wagons, has a capacity of 60 million tonnes of all types of goods annually.
The railway network, which passes through a variety of geographical terrains, included the construction of 593 bridges and crossings of all types and nine tunnels with a total length of 6.5 km.
According to Etihad Rail, it took 120 million cu m of excavation work to complete, to ensure the highest levels of vehicular traffic flow on the railway network.
Airport & Ports
Work is nearing completion on the state-of-the-art Midfield Terminal Complex, which is expected to be inaugurated this year. The 700,000-sq-m Midfield Terminal, which has been designed in the X-shape, can accommodate nearly 45 million passengers per year. According to its designer Kohn Pedersen Fox (KPF), the X-shape provides the greatest programmatic efficiencies enabling the terminal to extend to 49 gates, accommodating 59 aircraft at any one time.
Meanwhile, a AED4-billion ($1.08 billion) expansion of Abu Dhabi’s key Khalifa Port was inaugurated in December last year, boosting its area from 2.43 sq km to 8.63 sq km, with the addition of the new South Quay along with Khalifa Port Logistics, and Abu Dhabi Terminals.
The quay wall too has been significantly extended from 2.3 km to 12.5 km. It now provides 21 berths and offers a range of bespoke services for key strategic industries, positioning it among the global elite of deep-water ports.
Future plans for the port include increasing its handling capacity to 15 million TEUs per year, and general cargo handling capacity to 25 million tonnes by 2030.
Social Housing
Abu Dhabi continues to accord high priority to the welfare of its citizens and, in line with this, the Abu Dhabi Executive Council has allocated around AED85.4 billion for setting up integrated residential neighbourhoods across the emirate over the next five years.
The project scope includes development of 76,000 new homes as well as plots of land for citizens by 2028. These residential neighbourhoods will feature several key amenities and leisure facilities including public parks, schools and mosques, as well as plenty of green spaces.
The government has also joined hands with the private sector to spearhead its social housing ambitions. Among its latest initiatives is Balghaiylam, an AED8-billion residential development launched in the north-east of Yas Island by Abu Dhabi Housing Authority (ADHA) in partnership with Aldar Properties. Unveiled last month and scheduled to be completed by 2026, the project will offer 1,743 high-quality ready-built homes and access to a broad range of facilities for citizens of Abu Dhabi (see UAE Focus).
Apart from high-quality housing, the Balghaiylam residential project includes schools, mosques, retail and F&B outlets, sports centres, community gardens, playgrounds and parks, and an equestrian centre.
In addition, in line with the emirates social housing priorities, work has begun on the third phase of Al Falah housing project, coming up on a 2.1-million-sq-m area at an investment of over AED1.92 billion.
The development will feature 899 residential villas and amenities as well as plots of land for commercial and community facilities. The project’s first and second phases have already provided citizens with 4,857 homes since 2012, according to the Abu Dhabi Executive Council.
Power & Water
Abu Dhabi is pioneering efforts in the renewable energy sector and among the landmark developments in this sphere is the Barakah Nuclear Energy Plant, where the fourth and final unit recently began operational readiness preparations.
Once commercially operational, Unit 4 will raise the plant’s generation capacity to 5.6GW, equivalent to 25 per cent of the UAE’s electricity needs, delivering more than 40TWh of clean electricity per year, according to Emirates Nuclear Energy Corporation (Enec).
Commercial operations of Unit 3 began earlier this year, when it joined Units 1 and 2 in generating 30TWh annually.
The Barakah Plant has already had a transformational impact on the UAE’s energy landscape, spearheading the rapid decarbonisation of the UAE’s power sector and over the winter months, the plant met up to 48 per cent of Abu Dhabi’s requirements with zero-carbon electricity.
Enec Managing Director and CEO Mohamed Ibrahim Al Hammadi said: “In the UAE’s Year of Sustainability, we are demonstrating how nuclear energy can have a real, rapid and transformative impact on decarbonising the power sector. Every year since 2020, we have added another unit to deliver 10TWh of 24/7, emissions-free power to the grid.”
Abu Dhabi is also focusing on harnessing solar power to boost its renewable energy mix. The emirate currently hosts the world’s largest stand-alone operational solar plant at Sweihan (Noor Abu Dhabi) with a total capacity of 1.2 GW and more than 3.3 million of solar panels on one site. Owned and operated by Sweihan PV Power Company (SPPC), the plant started its commercial operations in 2019, supplying Abu Dhabi with clean energy through a long-term power purchase agreement with the Emirates Water and Electricity Company (Ewec).
Ewec is now developing two other major solar photovoltaic (PV) independent power projects (IPP): the massive 2 GW Al Dhafra project, which is targeted to be launched before the COP28 summit later this year; and Al Ajban, which is in the tenders stage.
The Al Dhafra Solar PV IPP is being developed by Abu Dhabi National Energy Company (Taqa) and Masdar – alongside partners EDF and JinkoPower. Ewec will be the plant’s off-taker.The record-breaking project, located some 35 km from Abu Dhabi city, will be the world’s largest single-site solar power plant, using approximately 3.5 million solar panels to generate enough electricity for 160,000 homes across the UAE. It will mitigate 2.4 million tonnes of carbon dioxide annually. The plant will deploy the latest in crystalline, bifacial solar technology, which will deliver electricity to the highest efficiency, enabling the plant to provide more power by using both the front and back of panels.
Meanwhile, on the new 1.5 GW Al Ajban solar IPP, Ewec has announced that four major utility developers have submitted proposals for the development of the project. These are Saudi-based Acwa Power; French utility major EDF Renewables, Japan’s Marubeni Corporation and a consortium with China’s Jinko Power and Japan’s largest power generation company Jera as partners.
Al Ajban Solar PV will make Abu Dhabi home to three of the largest single-site solar power plants. Once commercially operational, it will generate enough electricity to power 160,000 homes across the UAE and is expected to reduce Abu Dhabi’s CO2 emissions by up to 2.4 million tonnes per year. Additionally, Al Ajban Solar PV project plays a pivotal role in enabling Ewec to achieve its strategic plans of raising Abu Dhabi’s solar power generation capacity to 7.3 GW by 2030 and supplying 60 per cent of Abu Dhabi’s total power demand from renewable and clean energy sources by 2035.
Moving forward, Ewec said the proposals will undergo a detailed technical and commercial evaluation process to select the best proposal. The awarding announcement and the execution of the power purchase agreement are expected by Q4, it added.
Real Estate
Real estate sector in Abu Dhabi is witnessing an upsurge in demand over the past year. Abu Dhabi’s Department of Municipalities and Transport (DMT) announced last month that foreign direct investment (FDI) in the individual category within the emirate’s real estate sector has soared to AED834.6 million during the first half of 2023, achieving a record growth rate of 363 per cent compared to the corresponding period last year.
As per DMT data, the five regions that topped the list in terms of the highest shares of FDI by individuals are Saadiyat Island (34 per cent), Yas Island (28 per cent), Al Jurf (12 per cent), Al Reem Island (11 per cent), and Al Shamkha (eight per cent),.
A mega development is taking shape between Yas Island and Saadiyat Island: the AED12-billion Jubail Island masterplanned development. The project has marked several milestones and launched new components over the past year including The Souk, a hub connecting the six villages, a marina community and Marsa Al Jubail, while the ground has been broken on another community Jubail Terraces.
Owned by Jubail Island Investment Company (JIIC) and developed and managed by Lead, Jubail Island will be home to an idyllic collection of six residential village estates (see Page 17).
Another striking development is planned for Hudayriyat Island. Its developer Modon Properties recently unveiled the masterplan for the project. The mega integrated development spreads over 51 million sq m (equivalent to 53.8 per cent of Abu Dhabi Island) and its appeal lies in its distinctive natural environment and prime location. The masterplan will add 53.5 km of coastline to the city’s landscape, including 16 km of beaches.
The development comprises high-end residential communities with panoramic views of Abu Dhabi city and the waterfront, from its elevated position on and surrounding two hill communities, 45-m and 50-m high, respectively.
In addition to the unique residential offerings, Hudayriyat will offer elite sports facilities including Surf Abu Dhabi and Velodrome Abu Dhabi, the largest urban park in the emirate, a wide range of commerce, and leisure amenities, and a 220-km-long network of cycle tracks.
Hudayriyat Island is already home to Bab Al Nojoum glamping resort, Marsana Beach, OCR Park, Trail X, Bike Park, 321 Sports, and other offerings.
Over the next 18 months, Modon Properties will be focusing on the enabling infrastructure for Phase One of the project.
Meanwhile, leading developer Bloom Holding has announced major success with the development and sales of its fully integrated and all-inclusive residential community, Bloom Living, where enabling work has been launched on its second phase (see Page 20).
Other projects being developed by Bloom Holding include Bloom Gardens, located on the Eastern Mangrove Corniche in Abu Dhabi. The masterplanned gated community project saw the handover of its first phase, the 181-unit Aldhay earlier this year.
Aldhay was completed six months ahead of its scheduled handover date, which was set for the third quarter of 2023, adding spacious two to five-bedroom townhouses to the existing 457 villas and townhouses at Bloom Gardens.
Meanwhile, Abu Dhabi’s leading developer Aldar Properties is pushing ahead with plans for at least four key projects – The Sustainable City – Yas Island; Reeman Living, a freehold residential development; The Source, a residential community in the heart of Saadiyat Island, and Saadiyat Lagoons, a community exclusively for UAE nationals. This is in addition to its partnership with Abu Dhabi Housing Authority to develop the AED8-billion Balghaiylam residential development.
The Sustainable City – Yas Island is being built in partnership with Diamond Developers to cash in on the growing demand for eco-friendly living options. It will feature hundreds of condominiums and townhouses that will be powered by clean renewable energy and equipped with biodomes, solar panels and battery-charged communal vehicles.
According to Aldar, work on the project will begin shortly, with first handovers likely in Q4 2025. The first phase comprises 512 units.
Early this year, Aldar launched Reeman Living in the Al Shamkha neighbourhood. Spread across five low-rise buildings, the residential buildings comprise studios, one-, two-, and three-bed apartments that have been designed to achieve a two-Pearl rating, as per the Estidama sustainability rating system.
This follows the launch late last year of Saadiyat Lagoons – a nature-inspired residential community surrounded by stunning mangroves and overlooking the Arabian Gulf – exclusively for UAE nationals.
The first phase of the integrated development features 207 villas – available in four-, five- and six-bedroom layouts. The community has been designed with a series of residential clusters in three zones and each zone will feature homes with distinct architectural styles, it stated.
Work on Saadiyat Lagoons is expected to begin in Q2 next year, with handovers expected in mid-2026.
In June, Aldar Properties announced the launch of the second building at The Source, a residential community that redefines wellness-inspired living in the heart of Saadiyat Island. The Source II follows on from the sell-out of the first building at ‘The Source’, a community specifically designed with residents’ holistic health and wellbeing at its core. The initial offering experienced huge interest from overseas buyers with all 204 units sold within days of launch.
The latest development comprises 148 modern residential units, designed to complement Saadiyat Island’s cultural and natural surroundings.
Among other developments, Masdar City – the sustainability-focused technology and innovation hub in Abu Dhabi – broke ground on the region’s first net-zero energy shared living and working facility. The Link, a 30,000-sq-m sustainable community, will comprise four low-carbon buildings with event spaces as well as retail options, recreational facilities, and outdoor plazas. The Link is designed to meet several high-level sustainability standards such as Leed Platinum, WELL Gold, 4 Pearl PBRS Estidama, and LEED SmartPark Silver.
Leading UAE construction company Dutco has been signed up as the main contractor, while Edge is the designer of The Link.
Also being built at Masdar City is the Masdar City Square (MC2) project, which will include Abu Dhabi’s first net zero energy office building on completion. The MC2 development will have a gross floor area of 50,000 sq m and include seven single and multi-tenant office buildings and a parking facility.
Other major developers active in the Abu Dhabi market include Q Properties, a unit of UAE-based investment group Q Holding, which has launched the third phase of Reem Hills, a luxury residential community featuring five clusters of 593 luxurious units on Reem Island.