Dubai Residents Left in Sweat by Nakheel

NakheelThe Dubai World construction unit, Nakheel PJSC may have to depart the residents without air conditioning as it hasn’t agreed to foot the bill, whereas it earlier received the state cash to shell out to contractors and suppliers.

Occupants of the Nakheel development, Discovery Gardens, that extends 26 million feet including over one hundred apartment blocks, are apprehended to find their homes “not fit to live in”, when Palm Utilities will cut off the air conditioning on June 15, just as temperatures beat 40 degrees Celsius (104 Fahrenheit).

Palm Utilities unit Palm District Cooling said that in posters put up in the entry and lift of Discovery Gardens Building 107, “due to the building owner’s continuing failure to enter into a legally binding contract with us, we have served on the building owner a ‘Notice of Disconnection’ of chilled water supply.

It was also informed that the chilled water supplied to this building for the building’s air conditioning, will be disconnected on Tuesday 15 June 2010”.

Now, a reconstruction of $10.5 billion of financial liabilities is projected to be done by Nakheel, and it has also asked trade creditors to wait for five years to take the delivery of full payment after falling behind on its bills.

There are several other projects also, undertaken by the Company, including palm-shaped islands off Dubai’s coast.