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Francis Ho
Senior Associate, King & Spalding LLP

2010: A Modernising Odyssey*

Guest writer Francis Ho predicts what legislative developments we can expect to see in the United Arab Emirates over the year.
18 Jan 2010

Urban evolution

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Undertaking multibillion-dollar civic projects to help develop Abu Dhabi into an international business magnet and tourist destination, Aldar Properties' Talal Al Dhiyebi reveals the firm's outlook for 2010.


“With close to 50,000 workers involved, this project required logistical organisation of a military precision”
-Talal Al Dhiyebi

As Abu Dhabi undertakes its 2030 Urban Structure Framework, which has been developed by the Urban Planning Council to optimise the city's development, infrastructure has become an increasingly essential part of the transformation. In essence, Plan Abu Dhabi 2030 sets out a roadmap for sustainable urban evolution to create a socially cohesive and economically sustainable community that preserves the Emirate's unique social heritage. And as Aldar is Abu Dhabi's leading property development, management and investment company, the plan and its guiding principles are central and critical to the entire development process.

Talal Al Dhiyebi, Director of Planning and Infrastructure for the firm, explains that creating developments that are truly integrated and 'future-proofed' means that infrastructure considerations for 2030 and beyond, "must be at the very heart of what we do". And to that end, Aldar's approach to planning and developing infrastructure involves high quality real estate, catering for a wide range of customers, across the spectrum of property types and sizes, for the long-term benefit of Abu Dhabi. "We are committed to delivering communities - integrated and sustainable developments that meet the demands of a growing and developing population," says Dhiyebi. "In terms of specific infrastructure planning, this is very much a part of the detailed Master Planning carried out on our developments. Aldar ensures that its infrastructure is in line with the latest sustainability and Estidama guidelines. And this is done by utilising the latest management tools to ensure that the level and quality of the infrastructure is equipped to handle future expansion."

With experience that spans every type of project, from commercial and cultural to retail and residential, Dhiyebi explains that working on such a variety of development projects is a challenge in itself, particularly given the sheer scale of some of the projects. At Yas Island, for example, Aldar recently delivered all the elements required for the inaugural Formula 1 Abu Dhabi Grand Prix, including Yas Marina Circuit, Yas Marina and seven hotels plus all the infrastructure requirements to cater to not only the first stage of the project but also future elements that will include the world's first Ferrari theme park, the Middle East's first Links golf course, and beyond that commercial and residential developments.

As part of this project, Aldar delivered a major section of a new highway connecting Yas Island to the heart of Abu Dhabi and was responsible for the delivery of a 23 kilometre section that including 22 highway bridges, 17 entry/exits and four underpasses, as well as a light rail transit bridge in preparation for the future transport requirements of Yas Island. "Delivering to a fixed deadline and coordinating the sheer volume of people working on the project was the main challenge we faced," reveals Dhiyebi. "With 68 different contractors and close to 50,000 workers involved, this project required logistical organisation of a military precision - keeping communication channels open was vital in this process."

Beyond project delivery, Aldar is working to improve and innovate approaches to project management as well as ensure that the region's cultural heritage is maintained in the face of all the new developments. "We have expanded our project teams to include all stakeholders from an early stage in order to fully engage them throughout the entire design process," explains Dhiyebi. "Project managers attend corporate level strategic planning sessions in order to get acquainted with the organisation's long-term goals and understand how to implement these at the project level." 

Dhiyebi goes on to explain that the culture of the UAE plays an integral part in the planning of all Aldar developments, and that the company works closely with the Abu Dhabi Authority for Culture and Heritage (ADACH) to ensure that the cultural aspects of the development are integrated at the master planning stage through a Preliminary Cultural Review (PCR) process. The redevelopment of Central Market is an excellent example of how Aldar integrates UAE heritage with architecture into a modern development, says Dhiyebi. "The site is historically and culturally important, being the location of the original Abu Dhabi souk and this permeates through all elements of the redevelopment; this is particularly true of the new souk, which embodies the heritage and architecture of the original, albeit in a modern setting. Examples of this lie in the ornate external mashhrabea screens, creating a powerful visual impact, whilst serving a practical cooling effect; the colonnades with spill out areas for tenants; central squares that bring a meeting point and sense of community to the local area; a strong mix of tenants arranged to provide concentrated uses; winding internal streets to enhance the sense of discovery; roof gardens, high ceilings, ornate timber, bronze finishes and water features."

Tightening the belt

While no-one has been immune to the global economic crisis, Abu Dhabi was and is particularly resilient. Dhiyebi believes that the underlying economic strength of the emirate has been a major factor, but as the leading developer in Abu Dhabi, the visionary approach to urban development that is Plan Abu Dhabi 2030, means that the organisation are working towards long-term strategic goals. "Despite the economic crisis our mission remains the same: Aldar has a mandate to build the nation and that means focusing on creating communities where local emirates and expatriates alike can create their lives and those of their families," states Dhiyebi. "Aldar is a flexible business that responds rapidly to changing market demands and as such this has led us to adapt some of our development to cater to a broader range of customers, allowing for easier access to property ownership for new segments of the population."

Dhiyebi goes on to explain that the company's strong position allows it to meet all current and potential further commitments as well as chart a clear and confident course through the prevailing turbulence, whilst actively preparing for future success. Indeed, back in April 2009, Aldar CEO, John Bullough, said that it would be around six to nine months before any major improvement would be seen in the market. While Dhiyebi doesn't wish to make predictions on the state of the market he does concede that Abu Dhabi will continue to remain attractive because of the underlying financial strength of the economy, the planned and controlled approach to development and the plan for diversification away from oil dependency.

"Abu Dhabi has always been a great believer in infrastructure projects and with the comprehensive development programme in place - Abu Dhabi 2030 - many infrastructure projects have already been launched such as the Sheikh Khalifa Freeway, Yas Southern Tunnel, Salam Tunnel, Al Raha Beach Interchanges, Mid-Field Terminal at Abu Dhabi International Airport and the new port at Khalifa Port & Industrial Zone - and we can expect to see many more in the years to come," says Dhiyebi.

Sustainability and innovation

While Aldar is continuing to roll out a high number of projects, the continuing objective is to create sustainable communities that meet the needs of current and future generations, and balance economic, environmental and social requirements. And as an increasing number of companies are championing the importance of sustainability, Dhiyebi explains that Aldar is continuing in it's quest to bring a green focus into its design and development processes and reduce the environmental impact of large infrastructure projects.

Dhiyebi goes on to reveal that Aldar are endeavouring to incorporate the principles of sustainable development throughout the key stages of development; from conceptual master planning, through to detailed design and onto operation and management of assets and facilities. "We recognise that this is a labour and time intensive process, but we feel we are starting to see the fruits already," he says, before adding, "For example, through our formalised Development Control Process we are engaging Aldar's multi-disciplinary teams to ensure technical, commercial, environmental and social aspects are taken into consideration at each development stage. We are also supporting the Urban Planning Council's Estidama initiative and seeking to use the draft guidelines that they developed to inform our design, where possible."

There is no doubt that sustained innovation is also critical to the industry's growth and development, particularly when improving green concepts, yet many firms are understandably wary of unproven techniques and approaches. Not so at Aldar. Dhiyebi says that innovation in infrastructure is essential to creating development that will stand the test of time. And, using Yas Island as an example, says that the implementation of world-class and environmentally friendly infrastructure systems not only benefits the operation of current facilities, such as the hotels and Yas Marina Circuit, but also the future phases that will open over the coming years. 

"For example at our Yas Island development we have installed two state-of-the-art systems to benefit both current and future users. The first is a natural gas network that consists of an intricate 28 kilometre network of polyethylene and steel pipelines with a future capacity in excess of 60,000 m3/hr to cater for all current and future developments on Yas Island." Indeed, the clean burning natural gas is used to supply energy for cooking and hot water and is the preferred fuel of choice for the many new restaurants now open at the island's seven hotels, says Dhiyebi. The system will also cater to residents at Aldar's Al Raha Beach development following the completion of an extension.

The second state-of-the-art system is an Envac vacuum waste handling system, explains Dhiyebi. Waste is transported at an average speed of 75 km/h through a sealed underground network of pipes to a central collection point, located approximately three kilometres away, where it is sorted automatically. As well as the environmental benefits of waste separation and recycling at source, the Envac system can also help reduce traffic volume, provide a cleaner living and working environment and reduce operational costs.

"This is the first vacuum waste handling system in the world to service a major motorsports circuit - the system can handle up to 30 tonnes of waste per day, deposited at any one of the 36 inlet points currently located within the Yas Marina Circuit paddock, Yas Marina and the seven hotels. As with the gas network, the Envac system has been designed to cater for all future phases of the Yas Island project."

While there is no doubt that Yas Island was Aldar's most high profile project in 2009, the developers have also delivered projects including Al Raha Gardens, a major residential project, Al Muna School, the third Aldar Academy and high quality office developments like Mamoura. Looking forward into 2010, Dhiyebi hopes to continue this track record of delivery with the completion of aspects of the major residential and commercial projects such as Al Raha Beach - a major waterfront development - and Central Market - a major redevelopment of the traditional commercial district of Abu Dhabi - as well as the completion of the HQ premium office building. At Yas Island there will be the addition of Yas Yacht Club, Yas Links golf course and Ferrari World Abu Dhabi ahead of next year's race. "In total, we are going to deliver 3500 residential units and 140,000 square metres of commercial space in the next 18-24 months," says Dhiyebi. "Consequently 2010 is going to be a very important year and one in which there will be lots of activity coming to fruition."

Al Raha Beach
Eventually home to 120,000 residents, Al Raha Beach is a mixed-use master development in a sunny waterfront location. Stretching over 11 kilometres, 11 precincts are designed to appeal to various clients; some feature quiet family villas while others are more vibrant with up-market apartments in lovely districts offering retail outlets along with galleries, restaurants and cafes. Residents also have the ideal opportunity to enjoy the beaches and all kinds of marine sports. A central business district pierces the skyline, where iconic office towers and residences are set around an impressive circular marina - home to the new World Trade Center building.

Yas Island
Located on the North East side of Abu Dhabi's mainland, Yas Island is approximately 7.5 kilometres long by 6.5 kilometres wide and offers 32 kilometres of waterfront. An unrivalled destination with over 20 hotels, three theme parks, a Super Regional mall, golf courses, six marinas, commercial and residential developments, the first phase of development was completed in 2009.

Central Market
As the former souk area, the Central Market site has been the centre of trade and a focal point for both citizens and tourists for over 40 years. Designed by Foster + Partners, the former trade hub combines traditional charm and modern architecture culminating in three towers. The new Central Market will dominate the prestigious downtown neighbourhood with an integrated mix of up-market retail, business, residential and leisure facilities.

HQ
Voted 'Best Futuristic Design 2009' by the Building Exchange Conference, HQ represents the a striking addition to the Abu Dhabi skyline. Part of the Al Raha Beach project, HQ provides flexible, functional and open-plan office accommodation built to international Grade A specification. Set upon an elevated peninsula affording spectacular views of the city, canal and sea, HQ's location provides an unparalleled working environment.


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