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CONTRACTORS working on the prestigious Riffa Views development in Bahrain have been praised for their "proactive efforts" to complete the project on time, despite shortages in basic building materials.
The aim is to create a 972 villa community alongside a comprehensive range of sports, leisure and shopping facilities, including an 18-hole Colin Montgomerie-designed championship golf course, a country club, a Boris Becker-inspired tennis facility, a retail centre and an international school.
CEO Richard Browning said: "As recorded in the press, materials and labour are in short supply throughout the region and delays are occurring on many projects throughout Bahrain.
"Sand and cement supplies coupled with the steel shortage are causing real concern. It is not only the sand and cement, but all cement based products such as cement blocks and ready-mix concrete that are affected; in fact the entire core of the building fabric.
"And it is only getting worse as the development boom in Bahrain continues. Current shortages have a huge impact on prices, particularly as the costs of steel, sand and cement have all doubled in the last 12 months.
"As these costs filter through, the effects will be significant on new house prices in the future especially because of the fact that steel and cement based products make up 30 per cent of a typical villa cost".
Chris Poullaides, managing director of Poullaides Construction Company, added: "Over and above the shortages, we also have to face additional delays due to the widespread lack of reliable transportation facilities for labour and materials. However, it is gratifying that the positive steps we take are being recognised through these difficult times".
Mr Browning added that having entered into agreements with the Riffa Views contractors in 2006 and 2007 he has nothing but praise for their efforts to complete their works on time and at the contract price.
"As some materials become available, our contractors have stockpiled building blocks and other products affected by the shortages, and sometimes even imported at significantly higher prices than they have allowed for.
"Where possible we have assisted our contractors with advance payments in order to pre-purchase steel etc at the best prices," he explained.
"To further limit the knock-on effect, reprogramming of works continuously takes place in order to maximise the productivity of the labour forces during these shortages. The Villa contractors are GPZ Sembaweng, PCC, PCC Terna, Projects; School and amenity building contractors are Cyprus Roads and Building; and Infrastructure contractors are Cybarco-Tabet - who must all be praised for their proactive approach
"Despite all the challenges, our contractors remain on schedule to deliver villas on time and since Riffa Views is 90 per cent sold out, these rising costs will not be passed on to our owners.
"Now is certainly the time to invest as rising costs will further increase the value of investment in property, not only here but throughout Bahrain."
