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United Arab Emirates : ETIHAD Towers builder signs deal for Baghdad residential tower

May 26, 2014

The main contracting firm that constructed Abu Dhabi s Etihad Towers has signed into an agreement with an Iraqi developer to construct a high-rise residential tower in Baghdad.

Abu Dhabi-based Arabian Construction Company (ACC) has decided to create a US$5.7 million holding company with Iraq-listed Al Mamoura Company for Real Estate Investment. The Iraqi investment bank Melak Iraq is managing the advisory work.

As per to the terms of the agreement, Al Mamoura will provide a plot of 1,200 square metres in Baghdad s Karrada neighbourhood. ACC, in return, will contribute funds equal to the value of the land.

Geoffrey Batt, who manages the New York-based Euphrates Iraq Fund, which owns 42 per cent of Al Mamoura said, It s the culmination of two years .

The two parties have not yet decided the total value of the project, said Ali Jalil Obaid, the chairman of the Iraq Stock Exchange and a board member at Al Mamoura.

Damac in previous year declared plans to develop a $100m luxury residential tower in Baghdad. The developer s Princess Tower takes its name from its location on Alameerat (Princess Street) in Mansour district, where a number of royals from Iraq s monarchy era had palaces.

The government has a total budget of approximately $5 Billion over the next 3 years to effort to ease some of the country s desperate housing shortage, said Mohammed Al Darraji, the Iraqi minister for construction and housing, at the Iraq Housing Summit in Dubai last week.

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Source: TendersInfo (India)

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