$65.5bn construction project awarded in GCC

Building projects worth over $57.8 billion were awarded to contractors in 2011 across all building sectors (residential, commercial, hospitality and retail), with the sector likely to increase by 13 per cent to $65.5bn by the end of 2012, according to new research by Ventures ME commissioned by dmg :: events, the organising team behind the Index International Design Exhibition.

The Middle East and North Africa’s largest and longest established Interiors and Design Exhibition, the 22nd annual edition of Index will run from Monday September 24, 2012 till Thursday September 27 at the
Dubai World Trade Centre, Dubai.

In 2011, construction projects to the value of US$46.52bn were completed in the GCC, a figure expected to increase dramatically, up 71 per cent to US$79.75bn in 2012. The research revealed that the UAE continues to garner the largest share of the total GCC building construction market – accounting for almost half (48 per cent), with Saudi Arabia taking a further third (33 per cent) followed by Kuwait (8%), Qatar (6%), Oman (3%) and Bahrain (2%).

The value of commercial real estate projects is set to almost double in 2012 to $15.3bn from $7.7bn in 2011 as the GCC continues to be a leading luxury destination for retailers, with four of the six GCC countries ranking among the top 20 global retail destinations, according to the Global Retail Development Index (GRDI).

The hotel and hospitality sector will also witness enormous growth throughout 2012 with project values set to treble to $7.3bn, up from $2.7bn in 2011. This growth is a direct result of the increased demand for hotel space in the GCC where room revenues are set to reach $22bn in 2012 and expected to increase to $27bn by 2015.

Index 2012, themed “Where Inspiration Thrives,” will cover 34,000 sqm gross space of the Dubai World Trade Centre exhibition centre, occupying halls from 1 to 8 and Zabeel Hall. Over 900 exhibitors from 45 countries – including Brazil, Canada, Greece, Germany, Italy, Malaysia, Spain, and UK – have booked floor space to showcase their products.

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