Deal for huge retail hub

Sunday 29th, September 2013 / 23:32 Written by Oman Observer 

MUSCAT — Oman Tourism Development Company (Omran) and the Omani National Investment Funds Company SAOC (NIFCO) have signed a memorandum of understanding (MoU) with Dubai-headquartered Al-Futtaim for the development and management of a planned super-regional mall in Muscat which will eventually become the capital’s largest retail, leisure and entertainment destination. The mall will be strategically located adjacent to the proposed Oman Convention and Exhibition Centre and aspires to become a leading, mixed-use retail destination that will be home to the first IKEA store in Muscat and other renowned global brands such as Marks & Spencer and Toys R Us.

It will also feature an entertainment and food court complex.

“During its development phases, the project will create many new employment opportunities for Omanis and upon completion it will have the potential of becoming a key long-term employer for the Sultanate’s career seekers across a variety of sectors, from retail, marketing, sales, to catering and entertainment,” said Nasser bin Khamis al Jashmi, Chairman of Omran, who signed the MoU on behalf of Omran. Abdul Salam al Murshadi, Chairman of NIFCO added: “This project is considered to be a key addition to NIFCO’s diverse investment portfolio and represents a unique opportunity for us to further stimulate commercial activity in the country through creating this super-regional mall. We are confident that our partnership with such a prestigious conglomerate will contribute to the project’s success.”

Speaking after the signing ceremony on behalf of Al-Futtaim, Vice Chairman Omar Al Futtaim said: “This is a significant milestone for Al-Futtaim’s operations in Oman, a country where we have enjoyed a long and prosperous presence for the last 40 years. The creation of major retail hubs is crucial towards the development of tourism as it helps destinations attract both regional and domestic traffic and this agreement today lays the foundations upon which Muscat can enhance its future tourism product and enrich the city’s retail landscape,” he added. “This super-regional mall is designed to inject a new impetus in the local job market both in the short and in the longer terms and upon its completion it aspires to meet the increasingly discerning retail and entertainment needs of rapidly growing middle income Omaniswhile helping the country attract more cross-border, intraregional and international visitors,” added Al Futtaim.

Established in the 1930s as a trading business, Al-Futtaim is one of the most progressive regional business houses headquartered in Dubai. Al-Futtaim employs in excess of 40,000 people and operates through more than 100 companies. The group has significantly expanded its business operations in recent years through a strategic acquisition plan and has entered a number of new territories, increasing its footprint beyond the GCC and Greater Middle East to encompass South East and North Asia, Australasia and Europe. Structured into eight operational divisions; automotive, electronics, engineering and technologies, financial services, general services, joint ventures, real estate and hospitality, and retail. The success of Al-Futtaim is attributed to proactively managing change whilst upholding the values of integrity, service and social responsibility. The majority of businesses, built on a portfolio of world leading brands, dominate their sector.

Omran is mandated by the Government of Oman to deliver major projects and manage tourism assets and investments. This is in line with the Government’s vision of positioning tourism as a major economic driver of the future and as a generator of employment. Omran’s growing project portfolio includes some of the largest developments in Oman such as the Oman Convention and Exhibition Centre, and it is now focusing on the delivery of its numerous projects spanning the country. Omran is also a prominent asset manager and operator tourism assets in Oman. Regional and international investors have chosen Omran as their partner in developing mega mixed used projects and master-planned communities in addition to real estate developments and niche projects under various stages of development. (OEPPA Business Development Dept)