Nakheel has awarded a main construction contract worth more than AED 950 million for Phases 2 and 4 of Bay Grove Residences on Dubai Islands. The contractor is Parkway International Contracting LLC. The contract covers 617 homes in eight buildings, and it was announced on 26 October 2026. Main construction contracts are now in place for all 1,154 homes planned at Bay Grove.
Credit: Nakheel
Bay Grove Residences Contract: Key Facts
| Developer | Nakheel (Dubai Holding Real Estate) |
|---|---|
| Contractor (Phases 2 and 4) | Parkway International Contracting LLC |
| Contract value | More than AED 950 million |
| Homes covered | 617 one- to four-bedroom homes in eight residential buildings |
| Phase 2 | 360 homes in four buildings. Main works expected to finish by late 2028 |
| Phase 4 | 257 homes in four buildings. Completion anticipated in Q2 2029 |
| Scope | Basement works, infrastructure, swimming pools, sports courts and fitness centres |
| Earlier contract (Phases 1 and 3) | More than AED 800 million to Metac General Contracting, September 2026: 537 homes in seven buildings, main works due late 2028 |
| Whole community | 1,154 homes in 15 buildings, more than AED 1.75 billion in main construction awards |
What Nakheel Announced
The new contract covers the remaining two phases of Bay Grove Residences. Phase 2 has 360 homes in four buildings, and Nakheel expects its main construction works to finish by late 2028. Phase 4 has 257 homes in four buildings, with completion anticipated in the second quarter of 2029. The contractor's scope includes basement works, infrastructure, and resident amenities such as swimming pools, sports courts and fitness centres.
"This award marks another important step in the delivery of Bay Grove Residences, establishing a clear construction pathway for a further 617 homes," said Khalid Al Malik, Chief Executive Officer of Dubai Holding Real Estate.
How It Fits with the Earlier Contract
In September 2026, Nakheel awarded Metac General Contracting a contract worth more than AED 800 million for Phases 1 and 3. That covers 537 homes in seven buildings: 296 in Phase 1 and 241 in Phase 3, with main works due in late 2028. At the time, Nakheel described Bay Grove as a sold-out community. With both contracts signed, all 15 buildings now have a main contractor.
Credit: Nakheel
About Bay Grove Residences
Bay Grove Residences is a waterfront community on Dubai Islands with landscaped communal spaces, walking and cycling routes, and access to Crystal Beach. Dubai Islands is Nakheel's five-island destination off the Deira coast, covering 18.6 square kilometres. Nakheel is also upgrading the Island B shoreline and adding a new beach, and new private launches are adding stock, such as Velora Residence by Atara and The Bay Interiors by Missoni.
What It Means for Owners and Buyers
For Bay Grove off-plan owners. A named main contractor for every phase is a real delivery milestone, and it gives you a clearer timeline: late 2028 for Phases 1, 2 and 3, and Q2 2029 for Phase 4. Check which phase your unit is in, and compare the dates with your SPA.
For resale buyers. Bay Grove is sold out from the developer, so new buyers have to go through the resale (assignment) market. Construction progress usually helps confidence in assignment pricing. Check the developer's assignment rules and the payment status of any unit before agreeing a premium.
For the wider Dubai Islands market. More than 1,100 homes reaching completion between late 2028 and 2029 will add a large block of rental supply to the islands. Investors should factor that in when estimating rents for nearby projects that hand over at the same time.
Talk to Luxwell Real Estate
Looking at Bay Grove resale units or other Dubai Islands projects? Luxwell Real Estate is a boutique luxury brokerage in Business Bay. We can source resale and off-plan options and compare them with recent Dubai Land Department transactions.
- Email: info@luxwellrealestate.com
- Website: www.luxwellrealestate.com
- Contact form: Contact Luxwell
Sources: Nakheel press release via Zawya (26 October 2026); Forbes Middle East, Construction Week and Al Bayan reports (26 October 2026); Nakheel press release on the Phases 1 and 3 contract (17 September 2026). Completion dates are the developer's estimates and can change.
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Frequently Asked Questions
Who is building Phases 2 and 4 of Bay Grove Residences?
- Nakheel awarded the main construction contract to Parkway International Contracting LLC. The contract is worth more than AED 950 million and was announced on 26 October 2026.
How many homes does the new contract cover?
- 617 one- to four-bedroom homes in eight buildings: 360 in Phase 2 and 257 in Phase 4.
When will Bay Grove Residences be completed?
- Nakheel expects main works on Phases 1, 2 and 3 to finish by late 2028, and Phase 4 completion is anticipated in Q2 2029.
Who is building Phases 1 and 3?
- Metac General Contracting, under a contract worth more than AED 800 million awarded in September 2026. It covers 537 homes in seven buildings.
How big is Bay Grove Residences?
- The community has 1,154 planned homes in 15 buildings. Main construction awards across the two contracts total more than AED 1.75 billion.
Can I still buy at Bay Grove Residences?
- Nakheel has described Bay Grove as sold out, so units are generally only available on the resale or assignment market.
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