Abu Dhabi: Real estate developer Aldar Properties has signed a new Memorandum of Understanding (MoU) with ADQ, the Abu Dhabi based holding company, which will see Aldar taking over the management and development of government capital projects.
The projects, which are worth Dh30 billion, include developments such as Riyadh City, the Baniyas North Project, and other projects in Al Ain and Al Dhafra regions.
The newly announced public-private framework will also see Aldar having management oversight on Abu Dhabi General Services Company, Musanada, with the aim of ensuring consistency across existing government capital infrastructure projects.
Aldar expects to complete taking over the management of the government projects before the end of this year, ensuring that all existing projects, which are scheduled to be delivered over the next five years, will continue to be developed.
“Aldar’s real estate sector leadership and strong track record will ensure the continued development of a range of highly important government projects in Abu Dhabi," said Mohammad Hassan Al Suwaidi, chief executive officer.
"The agreement marks significant progress toward the delivery of major infrastructure and national housing schemes across the emirate. Importantly, it aligns commercial and strategic operations in the sector," he added.
Aldar will complete taking over the management of the government projects before the end of this year, ensuring that all existing projects, which are scheduled to be delivered over the next five years, will continue to be developed.
"We have proven over many years our ability to successfully deliver a range of major residential, commercial and infrastructure projects on behalf of the Government of Abu Dhabi," said Talal Al Dhiyebi, chief executive officer, Aldar Properties.
"The transaction, which is fully aligned with our business development strategy, will significantly support future profit growth," he added.
Aldar’s In-Country Value programme will also mean that the majority of contracts are prioritised towards local contractors, consultants, suppliers - including SMEs - to ensure as much as possible is reinvested into the local economy.