The Dubai Properties' Villanova project involves building of villas and townhouses
Arabtec unit wins Dh1bn contract for Dubai residential community
Arabtec Holding, the UAE’s top-listed contractor, said on Thursday its wholly-owned subsidiary Arabtec Construction has won a Dh1.025 billion contract from Dubai Properties to build a residential community in the emirate.
The contract for Villanova Amaranta and La Quinta involves the construction works for villas and townhouses, Arabtec said in a statement to Dubai Financial Market, where its shares are traded. Emirates Falcon Electromechanical Company, another subsidiary of Arabtec, will carry out the mechanical electrical and plumbing works for the project, it said without giving the value of the contract.
“We continue to onboard [take] new projects through the ‘4- Gate Work Winning Process’, which is designed to selectively win work that has the ability to deliver successful outcomes which will continue to support the [Arabtec] Group to capitalise on the positive long-term outlook for the construction and engineering sector in our core geographic markets,” Arabtec chief executive Hamish Tyrwhitt said.
The project works are expected to begin immediately with an overall duration of 28 months. Villanova is located off Emirates Road in Dubai and is a short drive away from Business Bay area. It displays influences of Mediterranean architecture with the use of columns, arches, textured facades and slanted roofs.
Arabtec which has struggled to maintain profitability in the last two years amid a slowdown in construction sector has bounced back this year. The company posted its third consecutive quarterly profit for the three months ended September 30. Net profit rose to Dh18m in the third quarter of 2017 compared to a loss of Dh226m in the same period last year.
The company, which is assessing further divestments and options of integrating its operating units, has won a number of deals this year.
Its wholly-owned subsidiary Target Engineering Construction Company in November won a Dh950m contract to build the second phase of Emaar’s Forte residential project in Downtown Dubai. Target has already been appointed to build the first phase of the project by Emaar – the UAE’s biggest publically-traded real estate developer – through a Dh196m contract awarded in September.