Oman advances future city projects with $1.28bn deals at expo

CONSTRUCTION NEWS

May 11, 2026 10:56 AM

Development contracts and investment deals worth more than RO495 million ($1.28 billion) were announced at the 21st edition of Oman Real Estate, Design and Build Exhibition and Conference, which opened on Sunday (May 10) at the Oman Convention and Exhibition Centre, according to the Oman Observer.

The deals were tied to Oman’s future cities agenda as the sultanate steps up efforts to expand housing, infrastructure and private-sector participation in the property market.

Held under the patronage of Finance Minister Sultan bin Salem Al Habsi, the event brought together ministers, officials, developers, investors and industry specialists, underscoring the government’s push to position real estate as a key pillar of economic diversification.

The most prominent announcements centred on Sultan Haitham City, where the Ministry of Housing and Urban Planning said it had awarded several packages as the project advances through its infrastructure phase. Package A covers site preparation and levelling works for residential neighbourhoods and the Eastern Boulevard leading into the city, and was awarded to Al Tasnim Group for RO6.8 million ($18 million).

The 12th package, awarded to Strabag Oman for more than RO40 million, includes external roads, bridges, underpasses and utility works connecting Muscat Expressway to Sultan Haitham City.

The 9th package A, awarded to GDS Company for more than RO3 million, covers landscaping and horticulture works along roads and pedestrian pathways.

Officials said the awards reflect the accelerated pace of implementation at Sultan Haitham City, which is being developed as one of Oman’s flagship future urban centres.

At Al Thuraya City, the ministry awarded a consultancy tender worth more than RO3 million for supervision services related to developers’ construction works, in collaboration with Al Khatib & Al Alami. The consultancy wlil provide technical oversight, ensure quality control and help maintain consistency across the project’s execution phase as it moves from planning into delivery.

In another major step, the ministry signed a memorandum of understanding with Turkey’s Artas Holding to develop the Al Khuwair Downtown project in Muscat. The agreement is intended to support the transformation of Al Khuwair into a modern economic and urban hub, with the redevelopment expected to contribute to commercial activity, mixed-use growth and broader urban regeneration in the capital.

Under the “Sorouh” initiative, Oman also signed five agreements for integrated residential neighbourhoods across Muscat, Al Dakhiliyah, South Al Batinah and North and South Al Sharqiyah, with total investment exceeding RO123 million. Together, the projects will deliver 2,167 housing units and are aimed at expanding planned communities, supporting home ownership and distributing development more evenly across the country.

The first project is in Al Hamra, where an integrated residential neighbourhood of more than 454,000 sq m will be developed with 322 homes at a cost of about RO16 million by Ejad Engineering Consultancy. The project is expected to provide a new residential cluster with supporting infrastructure and services for the wilayat.

In Al Amerat, the largest of the five projects, will span more than 300,000 sq m and include 1,006 housing units, with an investment value of RO62 million under Al Masa Real Estate. The scale of the project makes it a major housing addition for the Muscat governorate and one of the most significant residential components of the Sorouh programme.

At Jalan Bani Bu Hassan, the agreement covers a neighbourhood of more than 320,000 sq m with 312 residential units and an investment value of RO15 million, to be developed by Siraj Investment Company. The project is aimed at expanding quality housing supply in South Al Sharqiyah and supporting local urban growth.

In Wadi Bani Khalid, a smaller residential development covering more than 80,000 sq m will provide 118 units at a cost of RO6 million, with Sana’a Al Barq Cement Products & Trading as the developer.

The fifth project is in Al Musannah, where more than 432,000 sq m will be developed into 409 homes with an investment of RO24 million by Al Raed Investment Company. The scheme is expected to bolster housing supply in South Al Batinah and contribute to a more balanced spread of residential development.

The opening ceremony also unveiled six new investment opportunities for integrated residential neighbourhoods and masterplans across North Al Batinah, Al Buraimi, Al Dakhiliyah and South Al Batinah, covering more than 1.4 million sq m in strategically selected locations. Authorities said the opportunities are meant to attract private capital into planned communities and reinforce the public-private model underpinning Oman’s housing strategy.

Separately, the Ministry of Housing and Urban Planning signed a memorandum with Dar Al Atta’a Association to cooperate on social housing projects and support eligible families with safe accommodation. The arrangement builds on the Al Atta’a Neighbourhood 1 project in Al Khabourah and includes Al Atta’a Neighbourhoods 2 and 3 in Al Amerat, which will comprise 20 housing units, alongside an initiative to deliver 25 homes across various wilayats.

The Oman Endowment Foundation also launched new waqf investment opportunities through the Tatwir platform in partnership with the ministry, stating the initiative is designed to improve governance, transparency and the efficiency of endowment asset management. The foundation said the platform would create a clearer investment environment and help channel waqf assets into projects with economic and social returns.

The Oman Real Estate Conference programme includes more than 50 panel discussions and working papers featuring over 95 local and international speakers, focusing on property trends, urban planning, investment, PropTech and construction best practices. A parallel exhibition is showcasing housing projects, financing options and building technologies, offering visitors a direct look at opportunities in Oman’s evolving real estate sector.