In Dubai’s fast-moving real estate market, securing construction contractors early has become a key strategy for developers aiming to meet project deadlines and avoid delays.
Limited availability of contractors remains one of the biggest challenges in the market, prompting developers to consider vertical integration or early partnerships.
Bhaskara Santosh Punuru, partner and development manager of Arthouse Hills Arjan, said that signing a contractor before a project’s sales launch ensures smoother execution and timely delivery.
Bhaskara Santosh Punuru
“Today, the biggest problem in the market is the availability of contractors. We signed a contractor before the launch date because we didn’t want to go through a tender process and then find contractors, as that would delay the project by one year,” he explained.
“Technically, we are actually one year ahead in construction, because the contractor is on board,” he added.
Santosh said that early engagement also allows developers to implement construction-linked payment plans, which further incentivize timely completion.
“Except for a couple of developers, nobody does a construction-linked payment plan that ensures timely delivery of the project. It is very difficult to delay because the contractor is on board,” he said.
The Dh550-million Arthouse Hills Arjan development, inspired by the Arthouse Hotel New York, has already signed New System Engineering as its contractor and co-investor.
The project, marking the third Arthouse-branded residence in Dubai, is being developed by Adaan Developments in partnership with Cledor, the UAE’s official Arthouse Brand Partner, and Tuscany Real Estate Development.
The project offers studios, one-bedroom and two-bedroom apartments. Studio units start from Dhs 869,888 with an average size of 482 square feet. One-bedroom apartments are priced from Dhs 1,307,888, averaging 850 square feet, while two-bedroom homes start from Dhs 1,855,888 with an average size of 1,250 square feet.
