Iran: First foreign construction deal with Turkey

Ebrahim Qarehchi-Dagh, the director general for the Ministry of Housing and Urban Development’ Department for Engineering Services Exports and International Affairs, further said the agreement is worth $22. 5million and has stipulated the construction of1 , 500modern residential units.

"Concrete and modern construction technologies will be employed in building these units," he said, adding that the houses will be constructed in an area of 42 hectares in the city of Hashtgerd, some 55 kilometers west of Tehran.

He stressed that the agreement also stipulates that if the Turkish firm fails to sell these units, Hashtgerd Development Company has pledged to purchase them at $ 370per square meter. The official further said that ‘this deal will encourage foreign constriction firms to invest in Iranian projects’.

"This will also help transfer technology and create competition in the national construction sector," he added. He called on foreign construction firms to seize the opportunity created in the wake of the ratification of the foreign investment law and participate in Iran’s demanding construction market.