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Liquid real estate Issue 05

Amman: An ancient city looks to the future




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Amman, Jordan, has been a human settlement since 8,500 BC. Through the centuries the city has seen empires rise and fall, has been razed by armies and earthquakes only to be rebuilt. But Amman is by no means a museum piece. Although its historic souk district attracts curious tourists and remains a lively part of the cityscape, the city is in the throes of change. Its population has grown by almost 1 million to 2.2 million over the past seven years as Iraqis fleeing the conflict in their country have made Amman home. This massive influx has put the city’s infrastructure under pressure and put a premium on housing.

As Amman has grown so rapidly since the turn of the century, it became apparent to King Abdullah II and the government that it was in need of a major revival. Jordan’s political and business leaders have come together behind Abdali – a project that will create a brand new downtown Amman. The development, already under way, is being built on former military sites, once on the city’s perimeter but now, after years of growth, nearer the centre.

The Abdali project is as huge as it is ambitious. When completed, it will bring 1.73 million square metres of commercial, residential and retail space to Amman. The development will boast landmark towers from world-renowned architects including Foster & Partners and Claudio Nardi.

"The new downtown, once finished, is expected to have a huge impact on Jordan, both economically and socially," says Jamal Itani, chief executive of Abdali. "It represents a smart urban lifestyle with a mix of residential and commercial property."

The new downtown will present a stark contrast to the balad or souk district. Whereas the latter, with its Roman amphitheatre and temples, is built on the ruins of ancient civilizations, the former will be ultra-modern. A combination of green spaces and high-tech, the Abdali site will be home to shopping malls, hotels, restaurants, a new library and a performing arts centre set among canals and fountains. Beneath the surface will be a state-of-the-art fibre-optics network delivering high-quality VO-IP, video-on-demand, and enhanced video communication services.

The Abdali project is not only about creating a new downtown. It’s about positioning Amman as a world-class capital city and a competitive business hub in the Gulf region. As charming as the old downtown Amman is, it was the opinion of the government that it lacked the grandeur and modernity that Jordan was seeking to instil in visitors and was not particularly representative of a growing city. The Abdali project’s ambition is to change that impression.

"Abdali will change the expectations of inhabitants and people coming to Jordan," says Itani. "We would like to see it gain a reputation as one of the most advanced business hubs in the region, providing state-of-the-art services and an environment inducing to work."

Accordingly, Abdali is being marketed as a visionary project. It has already attracted investments from regional investors looking to put cash to work in the saturated Gulf market. Phase I of the project, which kicked off in 2005, has garnered $1 billion from investors in the United Arab Emirates. And phase II, set to break ground this year, is also a hit with regional investors. However, Itani is keen to attract investors from beyond the Gulf, making Abdali a truly global project.

Amman has already experienced tremendous population growth in the first half of the decade, and it is projected that there will be 6.4 million inhabitants by 2025. To accommodate this mushrooming population, the new downtown has been planned and constructed with the future in mind.

"Sustainability is an important issue for a project of this magnitude," says Itani. "We at Abdali have ensured it through various initiatives. In many ways, we are a key partner in Amman’s strategic growth plan, helping to meet objectives by building first-class residences, environmental zones and traffic solutions in order to anticipate the forecast growth in the population."

The chief innovation is the implementation of the district energy concept, which provides heating and cooling throughout the site. District energy systems produce steam, hot water or chilled water at a central plant and then pipe that energy out to buildings in the district. That means buildings don’t need their own furnaces or air-conditioning systems. This environment-friendly concept is a first in Jordan and the Levant. To achieve this innovation, Abdali partnered with Tabreed Holding to create Jordan District Energy.

"The deal provided district energy solutions, while saving in energy expenditure and giving environmentally friendly energy with reduced costs for investors and the future residents of the site," says Itani.







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