Ever since the global economic crisis in 2009 and the Bahraini government has been exerting extreme efforts to settle the matter of stalled real estate projects that arose as a result.
Of the six stalled projects referred to Bahrain’s Judicial Committee for the Settlement of Stalled Real Estate Projects, only three remains which are still at the bidding process and they are Amwaj Gateway, Sunset Hills and Marina West.
On the other hand, Juffair Views was successfully auctioned for BHD 3.6 million in December 2016, while works were resumed on both Villamar and the Landmark Cityview Tower.
Villamar faced a series of delays until restructuring agreements with financiers were finalised, and work on the Landmark Cityview Tower was resumed in 2016 following a five-year delay in construction works.
According to Bahrain’s Judicial Committee for the Settlement of Stalled Real Estate Projects, the remaining three projects are still having difficulty in determining their fate.
In the hope that 2018 is the end of the existence of stalled real estate projects, here is the current status of the remaining projects.
1- Amwaj Gateway
There have been plenty of attempts in the past to sell Amwaj Gateway but all in vain. Last October, Bahrain’s Judicial Committee for the Settlement of Stalled Real Estate Projects announced that the project will be auctioned with a starting price of 95.5 million dollars; however, the auction was postponed to November with a price that fell by 15% to 80.9 million dollars and then postponed again to December with a new reserve price of 67.6 million dollars.
It is worth noting that the project will be auctioned again on 1 March 2018. “The auction will be the last opportunity to auction the project in its entirety within the fixed period for investors, whether companies or individuals,” stated the judicial committee.
“Should the project fail to sell in its entirety, other measures would be undertaken to settle the project,” the judicial committee continued.
Amwaj Gateway is a mixed-use project located near Amwaj Island entrance. The project comprises of two 20-storey towers comprising 384 apartments, as well as a two-storey building featuring 93 townhouses and a hotel tower with 143 rooms.
2- Marina West project
The mixed-used will not be undergoing a public auction as Bahrain’s Judicial Committee for the Settlement of Stalled Real Estate Projects announced earlier that the developer is working on refinancing the project.
Standstill for more than five years, the work on Marina West Project is expected to resume real soon.
The 750 million dollars project is recognized as the largest stalled real estate project in the Kingdom of Bahrain that features 10 residential towers holding over 1,000 apartments as well as a five-star hotel located on the 11th floor.
3- Sunset Hills
Sunset Hills project is still under review by Bahrain’s Judicial Committee for the Settlement of Stalled Real Estate Projects.
Valued at 100 million dollars, Sunset Hills is a self-sustained community located within Al Areen development. The mixed-used projects feature villas, townhouses, apartments and a retail component.
Originally scheduled for completion in 2009, Sunset Hills is a joint venture between Abu Dhabi Investment House and Sorouh Investments, a Kuwaiti investment firm.