Developers changing contractors to finish projects on schedule

Image by Reza Vaziri via Flickr

Zawya reported that the construction industry is witnessing a rise in developers and consultants changing contractors or sub-contractors on projects or renegotiating contracts due to dropping prices of construction materials in Dubai.

Investors on the U-Bora Towers project in Business Bay recently said that the anticipated completion date for the project has now changed to March 31st 2010.

The Korean firm was transparent about the period of construction affected and explained in the letter to the investors that having completed the termination procedures, the company could now state that the sub contractor, Simplex Infrastructures Limited had defaulted on its contractual obligations. The situation had lead to a temporary suspension of construction activities in the course of work.