Oman Issues Tender for Grand Blue City Construction

Oman has taken a key step forward in its Grand Blue City project by officially issuing a tender for site demolition works, signaling the transition from planning to physical development. The tender was published on 13 August 2025 by the Oman Tender Board, with a deadline for bid submissions set on 31 August 2025 by qualifying bidders.

This preparatory demolition & enabling phase is a critical enabler for the project’s construction stage, the planned scope includes the development & construction of:

• 100 luxury villas
• 202 lagoon villas
• A five-star hotel
• 130 serviced apartments (studio, one, two, and three-bedroom)
• 270 residential apartments

The Grand Blue City development is spearheaded by the Grand Blue City Development Company, backed by the Oman Investment Authority. In June 2024, the developer awarded Galfar Engineering & Contracting a RO 12 million worth contract to complete marine works scheduled for completion over a 24-month period.

Engineering & Construction Opportunities

The scope and scale of the project present major opportunities for both local and international players:

• Firms specializing in demolition, site preparation, civil infrastructure, marine construction, and residential development are well-positioned to participate in future phases
• With ecosystem components ranging from luxury villas to hospitality and mixed-use residential units, there’s demand across a spectrum of engineering disciplines civil, structural, mechanical, electrical, architectural, and urban planning.
• Subcontracting roles and collaborations with the main marine contractor, Galfar, could open doors for smaller or specialized firms.

Job Market Impacts

As the project unfolds, substantial job creation is expected:

• Demolition specialists, site engineers, and project managers will be in immediate demand.
• The rising phases building villas, hotel, apartments will require the services of skilled tradespeople, supervisory staff, architects, interior designers, quantity surveyors, site engineers, project manages, QA-QC, HSE, logistics officers and the like.

Broader Context in Oman’s Construction Surge

The revival of Grand Blue City is part of a wider upswing in Oman’s construction landscape. By late 2024, the country recorded its highest year-on-year construction contract awards in nearly a decade exceeding USD 4 billion This momentum spans multiple infrastructure sectors, including rail, roads, and new city developments.

Looking Ahead

• The tender closing on 31 August 2025 is the immediate milestone to monitor.
• Selection of demolition contractors will set the stage for major construction packages.
• The marine works with Galfar, set to conclude by mid-2026, complements the bigger picture.