Dubai developer Damac has appointed Arabtec Construction to build about 1,300 villas at its Akoya Oxygen development in Dubai.
The builder won the Dh628 million contract ($171.3 million) contract from Damac to build the houses at the Akoya Oxygen master development in the emirate – which will also be home to an 18-hole golf course operated by the Trump Organization and designed by Tiger Woods.
It is the latest in a wave of new housing projects unveiled in the emirate in recent weeks as developers plow ahead with off-plan housebuilding, undeterred by three years of flat or declining residential prices.
“We are confident that the momentum and steady progress at Akoya Oxygen will remain on track right through to project completion,” said Mohammed Tahaineh, Senior Vice President – Commercial at Damac Properties.
Akoya Oxygen is a 55 million square feet development in the center of Dubai that is designed to include extensive parkland with retail, entertainment and hotel components.
The project contains several individual communities and attractions.
It includes the Trump World Golf Club Dubai as well as a development of villas inspired by the Bugatti supercar complete with a unique glass-walled parking space.
Akoya is competing with a slew of new high housing developments across the emirate.
Last week Amlak Finance said it had completed the first phase of a development in the Dubai suburb of Mirdiff which consists of about 54 villas and is scheduled to complete this year.
Last month Deyaar also said it had awarded a contract to build more than 1,200 homes in the emirate.
Dubai developers are continuing to roll out big housing projects even as prices across the residential market remain subdued.
Property developers in the emirate have stepped in to fill the mortgage void left by the introduction of lending curbs by the UAE Central Bank in 2013 that were aimed at preventing the market overheating.
While banks were forced to demand bigger deposits from investors, many instead turned to the off-plan market where homes could still be purchased by stage payments and with comparatively small down payments.
The booming off-plan sales market has had a “detrimental effect” on the pricing of completed units, Core Savills said in a report last month.
Despite the continued pressure on prices, some parts of the market are showing signs of strength.
Two-thirds of Dubai apartments saw quarterly increases in prices, while villas registered the most declines during the second quarter, consultancy ValuStrat said.
The consultancy said that since reporting early indications of a recovery 15 months ago, prices for the following locations have appreciated: International City (13.2 percent), Downtown Dubai excluding Burj Khalifa (9.8 percent), Motor City (12.3 percent) and Discovery Gardens (10.1 percent).
Damac hires Arabtec to build 1,300 villas near Trump golf course in Dubai
Damac hires Arabtec to build 1,300 villas near Trump golf course in Dubai
