Audits of 100 stalled projects begin
The Dubai Land Department has commenced the ground work to roll out its Tanmia initiative by appointing a local firm to undertake technical and financial audits of stalled projects.
The initiative, launched in September, is expected to cover over 100 stalled projects over the period of three to four years.
Islamic Architects Consulting Engineers (IACE) will be the first company that will provide specialized services relating to technical surveillance, reporting and security auditing for projects registered under Tanmia to the department.
In a press statement, Majida Ali Rashid, Chairperson for the Centre for Promotion and Management of Real Estate Investment said the Tanmia initiative starts with cataloging of projects, revising, classifying and conducting technical and financial auditing in line with department’s plan to enhance transparency and credibility of the real estate companies.
Imad Hassein, Managing Director, IACE told Emirates 24/7: “Our role in this deal is to prepare technical and financial reports on the stalled projects."
After getting the financial and technical reports, the department will look at ways of getting funds for the stalled project, but emphasis will be given to protect and preserve the rights of concerned parties such as developers, owners, investors, contractors and consultants.
In October,
Majida had told this website that property owners and investors in stalled projects can approach the department to seek inclusion of their project under Tanmia.
“Investors or property owners of stalled projects can come to us. We will look at their petition after taking into account all the technical and legal details,” she had said.
Sultan bin Butti bin Mijren, Director General of the Land Department, has said that close to 225 projects are currently in progress in Dubai and will be delivered in the next three years.
The Dubai government’s bond prospectus posted on the London Stock Exchange in June revealed that 217 property projects have been cancelled as of May 31, 2011. The emirate has seen completion of 129 projects since 2009 while 237 out of 450 projects likely to be completed in due course.