Construction
From The Report: Jordan 2014
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The construction sector saw renewed growth in 2013 with forecasts for continued expansion in 2014. Loans extended in 2013 reached $5.76bn, accounting for 21.5% of credit to all industries. While housing accounted for the bulk of construction activity, several major real estate and tourism development projects are driving opportunities for large contractors, particularly in the Red Sea port of Aqaba. Meanwhile in the capital, Amman, the downtown area of Abdali has been the focus of major redevelopment projects, including commercial space, retail facilities and residential units at a total investment cost of $5bn.

This chapter contains an interview with Taha Al Zboun, CEO, Dead Sea Development Zone.

Articles from this Chapter

Overview

Beyond homes: Large-scale projects are set to drive growth
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The construction sector saw renewed growth in 2013 and indicators point to further expansion in early 2014, following a period of contraction in 2012. While housing accounted for the great bulk of construction activity, in terms of the size of licensed projects, large-scale real estate and tourism developments, as well as major infrastructure works, are set to drive most opportunities for large contractors. Challenges in the sector include a shortage of labour against a backdrop of recently tightened…

Interview

OBG talks to Taha Al Zboun, CEO, Dead Sea Development Zone
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Interivew:Taha Al Zboun Given the important role that tourism plays in Jordan’s economy, how important is the Dead Sea? TAHA AL ZBOUN: The Dead Sea is, without doubt, a jewel in the crown of Jordan. Throughout history it has been inhabited, hosting some of the most significant events in our shared history. As a geological feature – the lowest point on Earth – the Dead Sea is unparalleled, with a salubrious climate and mineral-rich saline waters that have proven to be of therapeutic…

Overview

A number of major developments are currently under way
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The Jordanian real estate market saw increased sales activity in 2013 as well as price rises in many parts of the capital, which accounts for the great majority of transactions. A number of major mixed-use real estate developments are under way, including the Abdali development in Amman – a major component of which was launched in July 2014 – and several large real estate and tourism developments in Aqaba. These projects demonstrate Jordan’s ability to attract foreign investment even in times…

Analysis

Regional migration and macroeconomic growth support sales
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The value of real estate transactions in 2013 stood at JD6.3bn ($8.9bn), up 15% in nominal terms from JD5.6bn ($7.91bn) in 2012. The sector’s rate of expansion was well above inflation of 5.5%, pointing to substantial real growth. The number of residential apartments sold in 2013 rose to 30,380 from 25,434 in 2012. Of these, 20,084 were 150 sq metres in size or smaller. However, the number of land sales fell, from 86,778 in 2012 to 68,201, likely as a result of rising land prices. January to April…