Barwa confirms continuing works at its housing program in Sailiya

Barwa's confirmation comes after the financial difficulties facing the main contractor prevented them from delivering the residential units to the middle and low income beneficiaries on time.

The real estate company, within the framework of implementing the alternative strategic development plan of Barwa Housing Program to deliver the residential units to the beneficiaries in compliance with protecting the interests of all other partners involved, has announced the following decisions:
• The termination of the construction contract with the Barwa Housing Program-Sailiya main contractor and receiving the project as it is.
• Continue to execute the remaining construction work at Barwa Housing Program-Assaileya through signing direct and totally new contracts with the sub contractors.
• Immediately pay for all financial receivables 'certified invoices' from the main contractor to their sub-contractors from the project budget determined for construction.

Maintaining the confidence and good reputation Barwa enjoys, these decisions come as a result of research and analysis of all the issues, in line with Barwa's responsibility towards a civil society and within a legal and strategic frame for the guarantee of Shareholders' rights.

Mr. Hitmi Bin Ali Al Hitmi, Vice Chairman of Barwa Real Estate Company, commented:

"Barwa Administration is making every effort to complete the construction works at Barwa Housing Program-Sailiya, paying attention to the interests of all parties involved in the issue. In priority, first are the beneficiaries of the residential units at Sailiya compound and the distress they suffered because of the delay in delivering the units. In addition, we are very aware and cooperative with the sub-contractors who were stopped from receiving their payments from the main contractor."

Al Hitmi added, "On the basis of the status of the company and its reputation, and in light of these challenges. Barwa had to execute the alternative plan, namely creating new contracts directly with the sub-contractors who still have work to finish in the project, and to complete the work that remain on the basis that delivery will be in the final quarter of this year. In addition, to make financial payments approved by the main contractor from the project budget determined for construction work as soon as possible."

"We ask the contractors to be fully cooperative with the management of Barwa Housing Program in order to deliver the residential units to all beneficiaries very soon," concluded Al Hitmi.