RTA starts prequalification for Union Oasis Dubai
The mixed-use transit oriented development will be constructed and operated through the public-private partnership (PPP) model, an official from RTA confirmed
Dubai's Roads and Transport Authority (RTA) has started the prequalification stage for potential developers and investors interested in bidding for the construction of the Union Oasis project, Dubai's first transit oriented development.
The conditions set stipulate that bidders must have experience, will, and resources to undertake and accomplish the project in line with the provisions of the Law No 22 for 2015 governing public-private partnerships (PPP) in Dubai.
Abdul Mohsen Ibrahim Younes, CEO of RTA 's rail agency, said: "RTA has opened the door for receiving requests for prequalification of developers and investors interested in the project, who can still submit their requests up to 3rd December this year in order to offer them a sufficient time to fulfill the requirements.
In October 2015, RTA will "hold individual meetings with developers to discuss the prequalification and the outlines of the tender. The prequalification documents along with the project information kit can be obtained either through downloading from RTA website (www.rta.ae), or via e-mail request to: (firstname.lastname@example.org)," Younes continued.
"RTA will be flexible in dealing with the private developer in regards to the partial postponement of the land rental payment to make it proportional to the occupation rates during the first seven years," he added.
"The private developer is no longer required to pay the land rental during the construction process."
Contract terms set a 30-year agreement period, and offer a three year grace period for construction works.
RTA will also be flexible with developers & investors in developing new design techniques or models for this project with the aim of maximising the profitability rate.
It is anticipated that a private developer will enter in a concession agreement with RTA , being the proprietor of the site, where the developer will be responsible for designing, building, financing, managing, and operating this multi-uses project.
The developer will be entitled to utilise the income generated from all commercial processes of all project components, while RTA will receive a return against the utilisation of land.
Union Oasis, which was formerly a public park, will offer mixed development that will include recreational facilities and green areas, residential apartments, commercial spaces as well as retail outlets.