Lawsuits, Real Estate

An Awkward Triangle


Dubai’s iconic The Gate building, designed by Gensler and built by Brookfield Multiplex opened in 2004 celebrating the arrival of the DIFC.

Ten years on the 21st October 2015 a slab of cladding apparently fell from the south side of The Gate hitting the ground below. In October the weather in Dubai is rather pleasant and that area of the DIFC frequently sees office workers having lunch outdoors. One can see the risk this poses. An investigation by engineering firm ARUP suggests that the incident was the result of defective workmanship that is prevalent throughout the project. Brookfield Multiplex denies liability.

The interesting angle here is that Brookfield Property Partners, a sister company of Brookfield Multiplex is partnered with Investment Corporation of Dubai (ICD) in developing a 53 storey commercial skyscraper named ICD Brookfield Place in the DIFC. Furthermore, ICD & Brookfield Property Partners have appointed Brookfield Multiplex for construction.

Brookfield acquired Brookfield Multiplex in 2007 (it was previously known Multiplex). One hopes that the construction standards have improved since the acquisition. What is more amusing however, is that two Dubai government  entities are both suing and contracting with the same construction firm simultaneously.

Further reading, including the full judgement from the DIFC Courts  about the DIFC Investments v Brookfield Multiplex case can be found here.

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