Nakheel awards $144m Dubai Islands infrastructure contract

Dubai state-owned developer Nakheel is accelerating construction of Dubai Islands.

Nakheel awarded an AED527 million ($144 million) contract to build the infrastructure and utilities of Island B, or shore island, to Abu Dhabi-based Al Nasr Contracting Company, it said in a statement on Monday.

The completion of the infrastructure platform will enable the construction of residential, hospitality and mixed-use developments across the island.

Al Nasr Contracting will develop roads and paving, potable water, electrical and telecom networks, drainage and sewage systems and integrate the district cooling plant network with Island A. The timeframe for completion was not given.

Dubai Islands, previously known as Deira Islands, spans 18.6 sq km across five interconnected islands, adding 57km of coastline, including 21km of beachfront. 

It will accommodate more than 231,000 residents across 49,000 homes, alongside a mix of resorts, marinas, retail and leisure assets.

Nakheel unveiled the masterplan of Dubai Islands in August 2022.  

In October 2025, the developer awarded a AED169 million contract to Al Nasr Contracting to build the internal roadworks and utilities for Bay Villas at the Dubai Islands.

Nakheel is part of Dubai Holding Real Estate, which includes other developers such as Meraas and Dubai Properties. 

Dubai Holding Real Estate is a unit of Dubai Holding, the global investment holding company owned by Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum.

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