Asyad Group — the integrated transport and logistics flagship of the Omani government — has invited private developers to invest and develop new complexes of its wholly-owned subsidiary, Oman Post, as part of mixed-use developments at key locations in Muscat Governorate.
As many as five sites have so far been identified by Asyad to be leased to private investors for development under the Design, Build, Finance, Operate and Transfer (DBFOT) model for a period of 25 years. The move is consistent with the Omani government’s rapidly burgeoning efforts to rope in the private sector in the delivery of infrastructure projects and services as part of a Public-Private-Partnership (PPP) framework.
Asyad and its subsidiaries have sizable land banks in different parts of Oman, some of them are located at prime locations, which can be developed with the help of private developers to generate an additional source of revenue, reduce dependence on the Ministry of Finance (MOF), achieve development objectives and expansion requirements without additional funding from MOF and can play vital role in improving the lives of citizens and help boost the economy of the Sultanate of Oman,” said Asyad in its tender proposal.
The proposed locations are Ruwi (1,581 sq metres), Qurum (1,660 sq metres), Al Khuwair (2,350 sq metres), Al Khoud (3,040 sq metres) and Al Ghubrah (2,184 sq metres).
To help maximise revenue streams for Oman Post’s operations at the site, the selected developer will be granted sub-usufruct rights to invest in a mixed use development that includes commercial and residential components, hotels, public facilities, and retail shops, offices and medical centres, according to Asyad.
The investor will also be responsible for the master planning, design, build, finance, operation and maintenance of the entire development for a period of 25 years, upon the completion of which, all of the assets will transfer to Oman Post.
“There shall not be any financial outlay from Asyad or Oman Post to the Developer during the contract term, neither in terms of explicit cash payment nor in the form of any assets except provision of land,” stressed Asyad.
Interested investors have until December 1, 2019 to register their interest in participating in the competitive tender.
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