Bahrain Mirror: Local newspaper reported that construction costs in Manama and Muharraq have been rising, quoting people who plan to start new construction projects. Sources pointed their fingers to an agreement amongst contractors to increase prices in the aforementioned areas.

The newspaper quoted the chairman of the Bahraini Contractors Association Ali Marhoun saying that construction costs in Manama and Muharraq differ from the rest of Bahrain due to logistical reasons such as the difficulty of delivering building material because of the cities' tight roads.

Marhoun also pointed out that concrete can be difficult to deliver to the construction zones sometimes, which forces workers to double their efforts by following alternative building strategies, in addition to the risk of damaging nearby residences during demolition and excavation.

The chairman also stated that the cost to build up one square meter of land in some select companies ranges from 150 to 180 Dinars, and 130 to 150 Dinars in other companies.

Marhoun assured the newspaper that prices will stabilize for the time due to a surplus in supply and a shortage in demand, particularly with the lack of new large construction projects.

Arabic version