A proposed expansion of Dubai South's Aviation District, taking it beyond the masterplan's current borders, will focus on the provision of light industrial units for making composite parts, according to one of its executives.
 
Mohammad Al Falasi, director of business development for Dubai South's  Aviation District, told Zawya during an interview at Dubai Airshow on Sunday it has already proposed an expansion of the7.2 square kilometre district to the government to provide more light units for smaller firms
 
He said that the purpose of this extension is to support the aviation industry in Dubai.
 
“It's very important as a sector - it contributes 28 percent of Dubai GDP and we are trying to take that percentage from 28 to 35 percent by 2025,” said Al Falasi.
 
"We have recognised aviation and aerospace as a key sector that can be a potential draw in the region. So we are trying to add a light industry district within the Aviation District," Al Falasi said.
 
"To cater for future demand, we believe [existing space] won't be enough. Nothing confirmed, but we have proposed the government to add this area to be the future light industrial units."
 
The expansion could take in an area of about 700,000 square metres.
 
"We haven't decided how big it is, but it's around 7-10 percent of the current Aviation District," Al Falasi said.
 
The Aviation District is just one element of Dubai South - a 145 square kilometre masterplanned development built under the 'aerotropolis' model of constructing cities around airports.
 
The site contains Al Maktoum International Airport at its core, where a $32 billion expansion programme is underway, even if many of the anticipated construction packages for new runways and concourses have yet to be awarded.
 
An expansion of the current passenger terminal building currently underway is due to finish in the first quarter of next year, Al Falasi said.
 
"Parallel to that expansion, we have two runways, two concourses and one terminal. This is a $32 billion investment and this is a seven-year project. Right now, we are in year two in terms of excavation and mobilisation."
 
This work needs to be carried out by 2025 to boost capacity at the airport from five million to 27 million passengers per year in order to facilitate a move to Al Maktoum International by Emirates airline from Dubai International Airport (DXB), as the existing airport is nearing capacity.
 
"We have to have the solution of the Al Maktoum International ready and operational by 2025 otherwise we will lose the customer satisfaction in this region," Al Falasi said.
 
Al Falasi said that facilities at the Aviation District are filling quickly. The first of three landside/airside buildings aimed at a variety of tenants including maintenance, repair and operations (MRO) companies, freight forwarders, storage firms and charter operators, is 9,000 sq m and already fully let. Tenants include major MRO operators like Lufthansa Technik and GE Aviation, and Al Falasi said it is also targeting Boeing’s Global Services arm as a potential future tenant.

A second, 12,000 sq m unit is under construction and is due to open by the end of 2018. Al Falasi said this is already 50 percent let.
 
Private jets take off

A third, 8,000 sq m facility is also being built for supply chain companies. Meanwhile, companies servicing the executive jets market through the district's VIP terminal are also looking for more space.
 
On Sunday this week, Jetex announced plans to build a new, 20,000 sq m hangar at its existing site, and on Monday the joint venture between Germany's DC Aviation and Dubai's Al Futtaim Group confirmed it would open a second, landside hangar for servicing private jets. It said the new, 7,500 sq m hangar would bring the total size of its landside plot area to 24,000 sq m

The total investment that has gone into the Aviation District so far is about 2.5 billion UAE dirhams ($680 million), a Dubai South spokeperson said. Some 1.1 billion UAE dirhams of this has been invested by the government, with the rest coming from the private sector.

© ZAWYA 2017