Three horse race for Teesside hospital

Posted: 27 Dec 2012 01:00 AM PSTNorth Tees and Hartlepool NHS Foundation Trust has now narrowed down its search for a contractor to build a ‘superhospital’ to only three companies.

Construction work on the £300 million project is the prize for either: Brookfield Multiplex Europe, Iridium Concesiones de Infraestructuras and Laing O’Rourke.

Lead director of the new hospital Kevin Oxley said: “We had a number of strong submissions of which Brookfield, Iridium and Laing O’Rourke offered the best technical and financial standing.”

It is hoped the so-called ‘superhospital’ will be funded using pension fund loans. It is the first time that this method of financing has been applied to a UK-based project.

Chairman of the trust board Paul Garvin said: “We do this cautiously but optimistically. We are acutely aware that the funding route we are pursuing – a pension fund holder solution – is unique and it is the board’s responsibility to ensure the whole project provides value for money and is sustainable over the long term.”

In addition to this, a funding competition will commence in order to identify how to build the scheme using the best terms available.

Mr Garvin claimed that the funding approach for the project is comparable to taking out a mortgage – in the sense that the trust borrow the money, complete the building and then pay back the money on a year-by-year basis.

The three bidders will now work with doctors, nurses, other health professionals and support staff, in order to discover the best way to design and build Wynyard Hospital.

As well as delivering construction jobs in the north-east, the project, once finished, will provide top quality health care to thousands of people in the Teesside area.

After announcing that the trust is actively looking for procurement for the new hospital, chief executive of the trust board, Alan Foster said: “It is excellent to get to yet another important milestone so we can continue to transform care and care pathways, make the improvements in quality and safety that our patients need and deserve.”

He added: “We look towards the opening of the new hospital which will be a flagship in terms of function and design and to last for future generations.”

An initial project was scrapped in June 2010, along with 12 others, following the coalition’s plans to save £2 billion. The previous project was expected to cost £460 million in construction work.

10,000 visitors expected to participate in Cityscape Riyadh

Dec 09, 2012  ARAB NEWS Following the huge success of previous Riyadh Urban Development and Real Estate event — Cityscape Riyadh, more than 40 exhibitors and 10,000 visitors are expected to participate in this year’s event, which will be opened today by Abdullah bin Saeed Al-Mubti, chairman of the Council of Saudi Chambers of Commerce and Industry.

Local, regional and international real estate investors, developers, architects, consultants, government officials and key decision makers involved in the planning, design and construction of public and private real estate developments will make use of this platform to network, share views and influence the future of the real estate sector in Saudi Arabia.

A key highlight of this year’s event is the Awards ceremony which is now in its fourth year. Previously held in Jeddah, tonight’s presentation ceremony will take place in the Kingdom’s capital in recognition of the huge demand from clients and associates. As the largest urban center of the region and home to the nation’s government agencies, the city of Riyadh provides the ideal venue to showcase the Kingdom’s ambitious growth plans to Cityscape’s global audience at the Cityscape Awards for Real Estate in Saudi Arabia.

Commenting on the importance of the relocation of the awards ceremony, Hussain Al-Harthy, managing director, National Exhibitions Company, said: “The significance of this year’s awards ceremony moving to Riyadh is proof of the continued success of the Riyadh Urban Development and Real Estate event – Cityscape Riyadh and the overwhelming local and international interest in the Saudi real estate sector, which is set for unprecedented growth.”

The three-day event opens today and will run until Dec. 11, 2012 at the Riyadh Exhibition Centre, King Fahad Road. Cityscape Riyadh 2012 comprises a unique mix of specialized activities including an exhibition, a three-day Real Estate Summit workshops, investor round tables, workshops, and the Cityscape Awards for Real Estate, which are designed to reward industry professionals and companies proven to have shown outstanding real estate development and architecture for both built and future projects in the Kingdom.

Saudi real estate professionals expect the three-day high powered event to provide the perfect environment to do business, engage in discussions and establish new partnerships. Further highlighting the significance of this year’s event, Al-Harthy added: “We are delighted that in addition to discussing the impact of the newly approved mortgage law as a key topic at this year’s Riyadh Urban Development and Real Estate event — Cityscape Riyadh. The three-day Real Estate Summit workshops will focus on both the residential market and the commercial market. Among many other outcomes, the event will provide valuable information on enhancing the local market to include more transparency, as well as formulating guidelines for launching effective marketing campaigns promoting increased home ownership.

Barratt Wilson Bowden to begin construction in Basildon town centre

A £1 billion redevelopment project has now been approved by Basildon Council, which will see a number of new builds begin in the area.Construction work in the town centre will include the building of shops, leisure facilities, an 8-12 screen cinema, bars, cafes, a college and up to 2,000 new homes. A new market will be relocated to St Martin’s Square, and a new bus station will also be created. It is hoped that several schemes will be up and running within the first five years.The new masterplan from Barratt Wilson Bowden (BWB) includes updated requirements, following stakeholder consultations in February and March, and also includes plans for long-term development, with the extension of Towngate Theatre one of the key points.The news of the regeneration project has given great joy to Councillor Malcolm Buckley.“This is one of the biggest town centre redevelopments in the country and I am delighted the masterplan has been approved.”Despite a tough economic climate, which has seen many town regeneration plans fall through, Cllr Buckley is delighted that BWB and Basildon council are still able to proceed with their plans, which the councillor has described as “really ambitious, but realistic”.“These are very exciting times for the town,” Cllr Buckley believes. The project will not only be of great commercial benefit, but will also transform the town, with local people, businesses and visitors reaping the rewards of the scheme.David Eardley, divisional managing director at Barratt Wilson Bowden, added: “BWB are proud to be working in partnership with the council on this fantastic regeneration project; planning started in 2010 and it’s great to see the master plan progressing.”Construction work has already begun on the Acacia Park development; a series of two, three and four bedroom homes that is located close to the parkland and only a mile away from the Basildon regeneration project. BWB hopes that this will help fund the town centre and park improvements.“This is an extremely exciting project to be involved with, and we are looking forward to working with the council and other partners to really transform Basildon town centre,” Mr Eardley added.

Australian town plans $520 million Forbidden City style theme park

Wyong Shire in New South Wales, Australia, has signed a $520 million construction deal to build an Australian Chinese Theme Park. The park, situated in the small town just 50 miles north of Sydney, will cater to Australians and Chinese tourists alike. Set to span 39 acres it will feature eight themed sections including China City Gate (with an Imperial Palace replica,) Tang and Song Academy, Royal Villa, Water Towns of South China, Panda Paradise (without actual pandas) and a Thanksgiving Temple. Construction will begin in 2015 and finish by 2020.

Moscow, Russia, Leningradsky Lane 37, Hotel Aerostar,

Global Promotion Group & Homes Overseascordially invite you to their event…. MOSCOW OVERSEAS PROPERTY WORKSHOPUnique event for overseas property professionals.Build your Russian agents network in 2 days! What is MOSCOW OVERSEAS PROPERTY WORKSHOP any why to take part?Moscow overseas property workshop is a place where professionals of real estate market meet; it aims to create an opportunity of a quick and efficient search of new partners for foreign and Russian real estate companies. 

For the foreign developers and agents, who want to enter Russian real estate market or to work on it more effectively, participation in Moscow Overseas Property Workshop will be a unique opportunity to hold dozens of meetings with Russian professionals during just two days, to create an agent network and learn more details and secrets how to work successfully in Russia. 

·   For the Russian professionals meeting with a wide range of developers and agents from different countries will help to conclude new agent contacts, learn first-hand about trends and new products of foreign real estate markets, and also get new ideas for business development.Format, place and date of MOSCOW OVERSEAS PROPERTY WORKSHOPA unique format of the event – two-day mini-exhibition, accompanied by two parallel series of non-stop presentations. At the end of the two-day Moscow Overseas Property Workshop there will be a friendly dinner, where you can strengthen business connections in an informal atmosphere. 

The Event takes place in Aerostar Hotel Moscow. It is an ideal place with comfortable atmosphere for business acquaintances and negotiations. And the guests of the event will enjoy comfortable staying at a good price. 

·   Dates – 28th, February and 1st, March 2013. At this time the spring exhibition season on foreign real estate market just begins and participation in Moscow Overseas Property Workshop definitely will bring more returns during this period of activity.Participation in MOSCOW OVERSEAS PROPERTY WORKSHOPPACKAGE FOR FOREIGN COMPANIES,looking for Russian partnersMini-stand (table for negotiations, 4 chairs)Holding 2 presentations lasting 30 minutes (one presentation on each day of the event)Information in the printed catalogue of the exhibitionCompany information on the web-site of the event2 personal badges of the event participantParticipation in training seminars as a listener2 invitations for the gala-dinnerSpecial terms for advertising on the real estate portal·   Price of the package – 2700 euroEarly birds discounts:– 25% for payment until 31th, October;– 20% for payment until 30th, November;– 15% for payment until 31th, December;– 10% for payment until 31th, January;  Organizers of MOSCOW OVERSEAS PROPERTY – one of the leading Russian overseas property portals , which has about 3500-4000 unique visitors every day. It is a successor of the magazine Homes Overseas, published in Russia from 2005 to 2011. In 2010 Homes Overseas Russian Edition successfully held the event Russian Awards.·   Global Promotion Group – advertising company specializes in promotion of foreign property in Russia. GPG offers clients personal and comprehensive services on entering Russian real estate market. Due to the large client database and up-to-date marketing strategies, GPG successfully takes leading positions. Contact details of organizers ·    Global Promotion Group··    +7 (495) 991-47-17,·    +7 (916) 182-69-34· MORE INFORMATION ON

China to construct world record-breaking sky scraper

Opportunities are set to rise as Chinese construction company, Broad Sustainable Building (BSB), plans to build the world’s tallest sky scraper in just 90 days. Once completed Sky City will boast 220 floors and stand at 838 metres tall. Situated in the little-known city of Changsa in China’s Hunan province, the project aims to be completed by February 2013.

The BIN Group has concluded a transaction pertaining to the acquisition of the assets of Unikor…………..,

a management company which belongs to Bidzina Ivanishvili, the recently elected Prime Minister of Georgia. After deciding to go into national politics, Mr Ivanishvili offered the 450,000 m2 Sadovye Kvartaly residential complex, which is being built in Khamovniki, in the centre of Moscow, for sale, along with the 60,000 m2 Summit business centre, which consists of the Intercontinental Moscow Tverskaya hotel and the 18,300 m2 Luks hotel – both in Tverskaya Street.
Experts quoted by the local press estimate that the transaction is worth €765m.
The BIN Group belongs to the Gutseriev brothers and their nephew, Mikhail Shishkhanov. Sadovye Kvartaly has become the property of Inteco, whereas Luks and Summit went to Mospromstroy. Both companies are subsidiaries of BIN. As Russian Construction Review has reported on previous occasions, these businessmen have been active on the property market – they acquired the development company Inteco, which had previously belonged to Irina Baturina, the wife of Yury Luzhkov, the former Mayor of Moscow, along with a project which involves the reconstruction of the Moskva and the National hotels. The latter is one of the most luxurious hotels in the city.

Major gas pipeline construction in Oman to be awarded in 2013

A contract is to be awarded in 2013 for the construction of a major 240km long gas pipeline. The project, with an estimated $50 million investment, will supply natural gas from central Oman to a new industrial and maritime hub under development at Duqm. Oman Gas Company (OGC) is overseeing the implementation of the pipeline, which will serve as a lifeline for industries and utilities planned for Duqm.

Infrastructure development key for next decade’s growth

REIDIN Dec 06, 2012total of 1.4 billion people in the world still have no access to electricity. Of the world’s population, 2.6 billion lack access to sanitized (clean) water. A sum of $60 trillion worth of investment would be required to meet the world’s basic food, water and electricity needs, according to American global management consulting firm McKinsey & Company.Investing in the infrastructure necessary to provide these needs for the next decade is less a problem for the developing and underdeveloped world. Emerging economies like China, Turkey, Indonesia and India are investing enormously in projects to develop their social services infrastructure. At the same time, the developed world, especially the US, requires investment to improve its existing social service infrastructure. This issue is a vital one for the next decade, and the US is lagging behind a desirable level of improvement by leaving almost all infrastructure investment in the hands of the private sector. It is not always profitable for state governments to undertake infrastructure investments, but their involvement may be needed at certain points — not necessarily by providing money, but by giving the necessary public guarantees to make sure investment projects succeed. 

As was discussed at the 2012 Global Infrastructure Initiative conference organized by McKinsey & Company and held on Nov. 28-30 in İstanbul, deciding what to build, finding the right strategies to finance projects without wasting money and providing the necessary funding outside of public resources are all pressing issues that world leaders need to tackle. 

At the conference, Deputy Prime Minister Ali Babacan provided sound examples of partnership between the public and private sector in Turkey where the government backs projects by providing technical — including innovation and research and development (R&D) — as well as monetary support. Some of the recently built airports for which the Turkish government provided transportation services are very good examples of such a partnership. With such a guarantee by the state, in the form of transporting customers to airport services, the private sector can easily finance and operate airports. 

In the case of these airports, instead of awarding tenders by cheapest building cost — in build-operate-transfer projects — the state gives priority to companies that are able to successfully operate the airport. A large highway project between İstanbul and İzmir is another example of state support for transportation infrastructure and also represents a success in obtaining international funding. In other words, the government has put forward a sound plan to grow and provide infrastructure to people without hurting the balance of state budgets. A recently published study by Sylvain Leduc and Daniel Wilson of the San Francisco Federal Reserve shows that the fiscal multiplier of infrastructure spending is much greater than the typical multiplier of other forms of government spending. Namely, a dollar of infrastructure investment boosts the economy by two. 

Considering that the usual fiscal multiplier for government spending is between one and 1.5, investing in infrastructure offers a much larger boost to the economy than other forms of spending or tax cuts. This is another reason to look for new ways to enhance infrastructure without wasting government money. Rethinking infrastructure requires hard work. There are problems that need to be tackled, like mismatch of capital and labor. Often, underdeveloped parts of the world like Africa and Asia need infrastructure investments but don’t have the required capital to support them, nor the necessary organization to carry out the projects or the right companies to build and make them profitable in the end. They also don’t have the capacity to provide skilled labor. Often, the companies and skills required for such projects are found only in advanced and emerging economies, and the companies are not willing to do projects without sound financial backing. Institutions like the UN and World Bank are working on those issues, but efforts are too limited and too slow. The world’s rich are becoming richer and poor poorer every day due to this mismatch of capital and labor. A sense of urgency is necessary to solve these challenges. 

Often, deciding what to build is another issue that needs managing within the environment of an underdevelopment. Infrastructure planners and policy makers are often forced to consider tradeoffs amongst complex political, economic, social and environmental factors. Considering only domestic resources is often not enough to put together financially sound projects that create jobs and spur economic growth, though international resources are not available in every county. The challenges are vast, but solutions to the problems are urgently required. We have to find better and more innovative ways of providing the right infrastructure at the right time.

Big plans make comeback in post-crisis Dubai

Dec 03, 2012 DUBAI: Dubai is back in the business of unveiling mega projects, three years after a severe financial crisis crippled its booming property sector, but doubts still linger over finance and feasibility.

Just as the economy in the glitzy city-state begins to look promising, despite a large debt burden dating back to the years when growth appeared endless, Dubai has once again set its sights on building superlatives.

“We do not anticipate the future. We build it,” Dubai’s ruler Sheikh Mohammed bin Rashid Al-Maktoum, architect of its meteoric rise into a regional tourism and services hub, boasted last week as he unveiled plans to build a “city” carrying his name.

Among the attractions of the new mega plan is a mall touted to be the largest in the world, not far from what is already the world’s largest shopping and entertainment destination, the Dubai Mall.

Mohammed bin Rashid City will sprawl over a large swathe of the emirate’s desert and have gardens 30 percent larger than London’s Hyde Park, in addition to 100 hotels, and a Universal Studios theme park.

No price tag was attached to the project which is to be developed by the ruler’s Dubai Holding conglomerate and Emaar, which built Burj Khalifa, the world’s tallest tower.

This week, Dubai also announced a 10 billion dirham ($2.7 billion) leisure center and theme parks.

Dubai appears keen to capitalize on its growing tourism sector which it said is expanding 13 percent a year, with hotel occupancy rate hitting 82 percent last year.

Sheikh Mohammed said the emirate must stay ahead of expanding demand and match its ambitions.

“The current facilities available in Dubai need to be scaled up in line with the future ambitions for the city,” he said, highlighting a constant rise in tourism and the business of hosting forums and exhibitions.

“A large part of these projects are linked to expanding Dubai’s capacity in core sectors with comparative advantage, such as tourism, which is positive,” said Monica Malik, chief economist at EFG-Hermes investment bank in Dubai.

But the source of funding for such grandiose projects remains vague.

“We do have our own resources and way to finance… We are sure that these projects will be achieved,” the Arabian Business online magazine quoted Hani Al-Hamli, Dubai Economic Council secretary general, as saying.

Beyond general assurances, Dubai continues to deal with the burden of maturing debt, after it racked $ 113 billion in borrowings during years of extensive investments, with $ 9.8 billion reportedly coming due next year and $ 3 billion in 2014.

“Banks remain wary about lending to real estate developments at a time when they still have to make major provisions against non-performing real estate loans from the last development boom,” said real estate consultancy firm Jones Lang LaSalle in a statement Thursday.

However, “the fact that these projects have long-term time lines is positive as they can be developed alongside demand, both domestically and internationally, so as not to build overcapacity,” Malik told AFP.

“The funding of these plans is important and should be matched with revenue growth potential,” she added.

Dubai’s economy contracted 2.4 percent in 2009 when it rattled global markets over its debt crisis before receiving a $10-billion bailout from Abu Dhabi, its partner in the Emirates, and reaching restructuring deals with lenders.

The economy has since made a comeback, growing 2.8 percent in 2010, 3.4 percent in 2011, and 4.1 percent on an annual basis in the first half of this year, as tourism, trade and transport keep expanding.

But real estate — a main engine of rapid growth before the crisis — lags behind other sectors, with growth of just 1.5 percent in the first six months of 2012.

The sector crashed in 2009 as the global crisis dried up finance and investors walked away from planned projects, many of which were eventually put on hold or cancelled.

“Encouragingly, there are indications that some of the lessons of the last real estate crisis have been learned,” said Jones Lang LaSalle.

“The most important of these is the need to adopt a long-term and coordinated approach, rather than developing too much real estate too quickly.”