Bovis Lend Lease to project manage £10bn Blue City

Just when you thought Middle Eastern construction couldn’t get more outlandish, a £10bn project to build a city the size of Brighton from scratch has kicked off. This time the project is in Oman, rather than the UAE, however.

Bovis Lend Lease has won the role of project manager on the job. Hill International is providing programme advice for one of the project’s funders, Bear Sterns.

The giant project will create a luxurious metropolis in just 15 to 20 years. But it won’t be anything like Dubai, a source close to the project said: buildings will be limited in height to five storeys and they will be designed to reflect the region’s traditional architectural style.

The source compared the approach to development in Oman to that of Portugal. While its Spanish neighbour took a more gung-ho approach, “Portugal developed in a more sustainable way, with stringent planning controls”.

The source said so-called Blue City was aimed at attracting Oman’s young population as well as tourists from the Gulf. He said: “Oman has a highly educated young population – 50-60% of people under 30 are educated and 50% of them are women. This project is to try and create employment for them.”

The first phase of the project costs around £1bn. The design is well advanced and construction is “imminent” according to Paul Whatley, managing consultant at Hill. The phase involves the construction of some 5,000 villas, six hotels, a golf resort, shopping malls, health facilities, security facilities and infrastructure.

The second phase of the development is due to begin in two years.

Whatley said the project was complex. For example, “extensive discussions” were needed on the content of the contractors’ programme for each of the large number of buildings planned. He said: “A detailed specification was produced on what must be included in the programme for each building and also what was to be included in progress reports. (This should ensure) the project was properly planned in the first place and allow a proper assessment of the actual progress of the project and likelihood of completing it on time.”

Blue City is located at Al Sawadi, a 34sq m site, 100km northwest of Muscat. It is owned by Al Sawadi Investment & Tourism Co. ASIT’s major shareholders are the Bahrain-based AAJ Holdings and Oman’s Cyclone LLC. Financing will come from Swiss-based international financial house Oppenheimer, as well as Bear Sterns. Oman plans to float shares in the Blue City on Muscat’s stock exchange.