NEWS / Projects

Nakheel to scale back projects

Nakheel said works on some developments could slow down, including the awarding of contracts for next year and 2012.
[More Images]

Please click here to comment on this article

Dubai-based master developer Nakheel has said that it will scale back some of its projects because of the global economic slowdown.

In a statement Nakheel officials said: “The next few months will see a scaling back of activity around some of our projects.

“This will not affect our long-term business objectives and is a responsible approach in line with the current global economic conditions.

“We are witnessing a global negative economic movement, and while we believe that the economic fundamentals of Dubai have not changed, we also believe that we have a responsibility to aid this market maintain healthy momentum.

“This involves reassessing our immediate business objectives to accommodate the current economic climate.”

The statement comes just days after Construction Week revealed job cuts among Dubai developers including Nakheel, Emaar and Damac.

Last week Emaar Properties also said it was reviewing recruitment policies.

Nakheel had earlier said it was witnessing a slowdown in the rate of real estate sales, but insisted demand in the emirate continued to outpace supply.

A spokesperson for Nakheel said: “Given the current global economic climate we are naturally being prudent and looking at the best quality and quantity of resourcing across the entire company.

“This is a responsible approach in line with Nakheel’s business model.”

Just last week Nakheel’s Palm Jebel Ali project director Ali Mansour said infrastructure works on parts of the development could slow down including the awarding of construction contracts that were to go out next year and early 2010.

• Most Viewed
• Most Emailed
• Most Searched