February 2006
The largest planned urban project in Jordan's history aims at transforming a former military camp in Jordan's second largest city, Zarqa, into a vibrant urban and commercial center. Oula Al Farawati reports.

It has never been pretty. Standing at the site of the former military camps in Zarqa, it is difficult to imagine that in a few years this congested, densely populated city will become home to picturesque new residential districts, set within a mix of commercial and recreational facilities including offices, restaurants, shops, and open plazas.

A new real-estate mega project is expected to turn a large portion of the under-serviced city, home to almost half of the country's industries, into a modern, well-serviced center by 2025.

The Madinat Al Sharq project, carried out by the government's real-estate investment arm Mawared (the National Resources Investment and Development Corporation), will be adjacent to Zarqa's existing city center and cover roughly an area of 2,500 hectares (25,000 dunums) which is approximately 43% of the total area of the city of Zarqa.

The first phase of Madinat Al Sharq, the Pilot Project, covers an area of 250 hectares, for which the infrastructure work has been completed. Mawared, which owns the Zarqa Pilot Project site, offers developers prime urban real estate investment opportunities for development. It provides the land as its share of the venture capital.

Mawared is now the largest real estate developer in Jordan, owning almost 2,600 hectares of land throughout the country. State-owned yet financially independent, Mawared is entrusted with the relocation of selected military installations out of city centers, freeing up prime and valuable land for development. Mawared is currently carrying out the Abdali Urban Regeneration Project in Amman.

The development has been divided into six phases, starting with the Pilot Project, which comprises 10% of the total project area. The Pilot Project will cost roughly $900 million. The other phases of the project are still "in the pipeline" and planning stages. Mawared said that phase two, which will start shortly, will be a residential city which includes schools and entertainment facilities.

Mawared has contracted major developers to develop the serviced plots. The developers include Al-Qabas Real Estate Development Co., Madaen Al Nour Real Estate Investment and Development Co., the Land Investment Co., and the Development and Investment Projects Fund. The number of the housing units allocated for development in the first phase is 882. Princess Salma Residential Complex sub-projects are underway to build 500 housing units, 170 apartments of which are currently being built. The developers bought plots of land ranging in area from 400 square meters to four dunums. 206 plots of land have been assigned as commercial.

Having sold a great chunk of residential areas, Mawared expects an influx of Zarqa residents to the project, since it will provide them with better housing in a  modern neighborhood.

The project site has been divided into seven residential districts; each district will include a commercial and administrative center which provides the daily services for its inhabitants.

The project promises to become a sharp contrast between the east and the west sides of Zarqa.

The vision
The mammoth project will provide housing for 500,000 residents by 2025, and will feature a new residential city served by a city center and an infrastructure network including commercial, cultural, entertainment, and public facilities. The commercial environment will include offices, restaurants, shops, open commercial plazas, and recreational areas.

A collection of retail shops, restaurants and cafs along the pedestrian spine will be served by an environmentally friendly internal transportation system as well as a variety of modern office buildings, parks, playgrounds, parking spaces with efficient infrastructure.

The project is also expected to try to set new environmental standards in the city.

Job opportunities are expected to be created by a new industrial zone, which will be located on the Amman-Mafraq highway. The site of the industrial zone has been located outside the project boundaries to avoid deterioration of the building environment.

Hopefully, this project will be part of a trend that marks a new approach to urban planning and a new investment focus outside Amman.

© Jordan Business 2006