ZonesCorp, the largest developer and operator of purpose-built industrial zones in the UAE, is set to develop Rahayel City, a new, world class, integrated ‘auto hub’ in Abu Dhabi at an estimated cost of Dh1.6 billion ($435 million).

Unveiling the plans at the ongoing Global Manufacturing and Industrialisation Summit (GMIS) on Tuesday (March 28), the company said once completed, Rahayel City will become the focal point for all automotive manufacturers, distributors, service providers and dealers in Abu Dhabi, providing a diverse and attractive range of auto-related investment opportunities.

It was in response to a mandate by the Abu Dhabi government to implement strategic plans to develop the automotive industry in the emirate, it stated.

Designed in collaboration with leading industry specialists and covering an area of 12.3 sq km, the development plan for Rahayel aims to create dynamic environment for all automotive related businesses to thrive while elevating the shopping and service experience for customers, said senior officials of ZonesCorp.

The construction of the infrastructure for the new city got underway at the beginning of the year and Phase I is expected to be completed by the end of 2017, they stated.  

The City has been designed to accommodate the full range of auto-related businesses, with 1800 plots in a range of sizes and supporting services such as showrooms, service centres and workshops, auction houses, warehousing, light industry, residential areas and public recreational facilities, all underpinned by world class infrastructure.

Saeed Eisa Al Khyeli, the director general of ZonesCorp, said: "Rahayel is in line with the Abu Dhabi 2030 vision to build a sustainable and diversified, high value-added economy that is well integrated into the global economy and provides more accessible and higher-value opportunities for all its citizens and residents."

"The project is also in response to the wider economic growth in the UAE that has seen the automotive sector blossom in recent years," he stated.

Alongside the development of Rahayel City’s physical infrastructure, the ZonesCorp is creating significantly enhanced operational and regulatory frameworks and structure that will ensure the proper allocation of land, a regulated planning and construction process and occupational and environmental best practice.

Specifically this means that the city was designed to ensure efficient and sustainable use of water and electricity as well as the safe and environmentally friendly disposal of waste and the provision of green spaces throughout, said Al Khyeli.

The Rahayel City site is strategically located 12 km from the western side of Abu Dhabi island along two major roads that link Abu Dhabi, Al Ain and Dubai and the Western Region and Saudi Arabia.

The location was chosen due to its proximity to major transportation networks via major arterial roads and air, sea transport hubs and planned railway stations to provide maximum convenience for both customers and employees alike.

Because of the importance of the project and its role in the advancement of specialised economic zones in Abu Dhabi, ZonesCorp has been tasked with developing Rahayel City in collaboration with a number of other government entities, he added.

Ahmed Ateeq Al Mazrouei, the executive director of the Rahayel Project said: "It will be a significant contributor to the national economy not only as a regional investment destination but through the creation of skilled jobs for workers in all fields relating to the automotive industry."

"The project will also contribute to all levels of society particularly the knowledge economy of the UAE by establishing close ties between the major automotive companies and academic and R&D (research and development) institutions to cultivate expertise and innovation in the automotive sector," he added.-TradeArabia News Service