In accordance with Oman's ‘Vision 2020' document and an effort to diversify the economic base to reduce its dependency on oil revenues, Sultanate of Oman has opened its real estate sector to expatriate clients. Under this law of real estates, an expatriate can purchase property in Oman and automatically get residency rights for themselves and their immediate families. The expatriate population gladly accepted the offer and property developers are now concentrating on delivering low priced residential properties This is reflected in the latest sales transactions figures from the National Centre for Statistics and Information, which showed that transaction volumes increased about 20 % in 2016 compared to the earlier year and this upward trend is expected to continue in future.
To utilize this opportunity, the management of ‘Alpha developers Muscat' proposed to construct residential flat building in the wilayat of Seeb near Muscat. This building is expected to accommodate four, three and two bedroom villas within the plot area of 250 m2. The area provides all modern amenities to the residents like shopping centres, schools, hospitals etc. within its vicinity which enables a community living.
The building is expected to accommodate 45 two bedrooms, 35 three bedrooms and 20 four bed rooms apartments. The company is planning to develop this business further with the experience gaining from this project. To carry out the execution of the project, assume that you are appointed as a commercial manager to submit a report on the following aspects of the project.
1. Identify the risks involved in this project related to cost in the perspective of the customer and analyse the probability of acceptance of such a project by customers.
2. Applying modern techniques to reduce the risks related to delay of the project from inception to completion and handover.
3. Identify analyse the risks involved in providing the support to the customers up to one year after the completion of the project and handover.