In the Second Half of the Year: Expects Resuming Half of Construction Projects before the Epidemic
In the Second Half of the Year: Expects Resuming Half of Construction Projects before the Epidemic
After the relaxation of anti-epidemic measures, various industries in Macao have stepped into economic recovery. In addition, new gaming concession contracts have become effective, the casino operators are launching large-scale projects one after another and increases the construction volume which is a great news to the construction industry. Some of the builders have received many customers’ early stage enquiries, and expect the project volume will return to half of before the epidemic. While striving for local projects, the industry will also actively seek development opportunities abroad.
Lai Meng San, the CEO of Lai Si Construction & Engineering Co., Ltd., said that the construction industry was still affected by many uncertain factors last year as it was an unknown how long the epidemic will come to an end and most construction projects requires a long period from planning, designing to construction. Therefore, most of the customers would take a wait-and-see approach. Coupled with the announcement of the re-bidding results of the gaming licenses in the end of last year, most casino operators would have waited to arrange new projects and the number of private projects was even less. However, as all is settled, the casino operators will set aside a certain amount of budget each year for the development of new projects in the future, which will facilitate the development of Macau. Recently after the relaxation of the epidemic measures, the shop renovation enquires have appeared one after another, the construction works have gradually resumed, and the number of future projects is expected to increase and the construction industry is confident about coming year.
In terms of public works, he bluntly said that there are many opportunities in Zone A dos Novos Aterros Urbanos, which basically "has never stopped" under the epidemic. However, since most of the public works are done by Chinese-funded companies in partnership with some traditional construction companies in Macao, other small-scale companies have not had the opportunity to participate in disguise. It is hoped that the Government will increase the implementation rate of public projects in the future, and at the same time to provide local construction contractors more business opportunities.
Opportunities to Venture Abroad
As for the four residential lands that the Government will auction, he said that many people in the industry are concerned of the specific details, including how to auction and the development conditions. A certain amount of idle lands has been recovered in Macao in recent years, and there is an opportunity to auction the lands, which is believed to bring opportunities to the real estate and construction industries.
Speaking about the opportunities for the industry to develop in the Greater Bay Area and the In-Depth Cooperation Zone in Hengqin, he pointed out that because the Mainland has certain requirements for the qualifications of the construction industry, it was difficult for Macao and Hong Kong construction companies to enter the Mainland market in the past. However, since the end of 1990s, Hong Kong and Macau companies and construction professionals are allowed to practice in Hengqin, there are many companies and professional who intend to apply, but not many have actually worked in Hengqin. It has always been difficult to compete with the Mainland counterparts, and the cost involved in the development is also relatively high. Therefore, in recent years, besides striving for local opportunities, many local construction companies have also intended to seek opportunities in Hong Kong, Singapore, Thailand and other locations. It is expected that there will be greater opportunities for overseas development in the future.