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55JORDAN BUSINESS OCTOBER 2010
Massive urban projects have long been underway in the cityscapes of the region.
Rami Farouk Daher questions our obsession with real estate development and
points to the damage done at the human and social dimensions.
eople across the Middle East are
bombarded daily by the boom
in real estate development.
Local newspapers, emerging property
magazines, TV advertisements and bill-
boards all promote real estate develop-
ment in the form of exclusive business
towers and high-end gated residential
communities. Property today is the new
consumer good par excellence in the
Middle East and real estate develop-
ment is its new religion.
Cities throughout the Middle East are
currently competing in order to attract
international investments, businesses
and tourism developments. At present,
developments in Dubai, such as the
world’s two largest man-made islands,
Palm Jumeirah and Palm Jebel Ali, and
major skyscrapers and luxurious resorts
on Sheikh Zayed Street, are becoming
the models to follow. This reality stands
in sheer contrast to a previous time in
the 1960s, when cities like Cairo or Bei-
rut presented cutting-edge urbanism for
the rest of the Arab world. Then, unlike
now, the term urbanism encompassed
Urban Landscapes Of Neoliberalism:
Cranes, Craters And An Exclusive Urbanity
P
planning for a variety of issues, from
public health and the efficiency of trans-
portation to emphasis on cultural issues
like arts, music and publishing.
The effect of such developments is
overwhelming. The circulation of global
capital (surplus oil revenues) and huge
reserves of money in search of high
yielding and secure investments, exces-
sive privatization and urban flagship
projects throughout theArab region have
altered urban reality, property values
and speculation, as well as the nature of
public life. Indeed, it has been estimated
that between 2005 and 2020, Arab Gulf
states are likely to spend $3,000 billion
or so on investment within the Middle
East and North Africa.
Urban Restructuring In Amman
Amman represents a clear example of
this neoliberal urban restructuring and
emerging forms of spatial ordering and
engineering such as high-end and iso-
lated urban development and regenera-
tion, witnessed in projects like Abdali.
In projects such as Green Land and
Andalusia, development represents
upper-end residential gated commu-
nities. Following hot on the heels of
these projects are business towers that
offer an exclusive concept of refuge
and consumption, while low-income
residential cities, such as in Jizza and
Zarqa, work to push the poorer seg-
ments of society to the outskirts of the
city in newly zoned heterotopias.
In the past ten years, Amman has un-
dergone an urban transformation wit-
nessed through the creation of public
space orchestrated by partnerships be-
tween multinational corporations and
the state, and established by regulating
bodies such as Mawared. The Solidere
(Société Libanaise de Développement
et de Reconstruction) model of neolib-
eral urban restructuring adopted in Bei-
rut has become the adopted approach
in Amman. In fact, the projects share
similar global investors.
This neo-liberalism in the creation
of public urban space circulates im-
ages of urbanity, of exhibits and mod-
Feature
56 JORDAN BUSINESS OCTOBER 2010
els, but is leading to the dilution of
local flavors and to the diffusion of
fabricated “corporate” urban identi-
ties. The creation of a privatized pub-
lic space, based on a highly selective
definition of “the public”, has further
triggered a critical investigation into
the meaning of public–private and
inclusion–exclusion.
By turning its back on Amman’s origi-
nal downtown, only 1.5 kilometers away
from the construction site, the Abdali
project is anticipated to lead to urban
geographies of inequality and exclusion,
as well as spatial and social dislocation.
The remodeled area, previously the site
of the General Jordan Armed Forces
headquarters, consists of 350,000 square
meters in the heart of Amman and will
contain a built-up area of approximately
1,000,000 square meters.
A Neoliberal Experiment
As the details of the investments in
Amman’s Abdali project reveal, the
bottom line is that the state is subsidiz-
ing large-scale investment for the busi-
ness elite of the region to create urban
restructuring flagship projects or mega-
projects. This is contrary to the state’s
formal declarations and propaganda
that advocate an absence in such neo-
liberal privatization efforts. However,
Feature
it is now very clear that the state is not
absent but is heavily involved and firm-
ly entrenched in what is taking place.
The financial contribution of the state
is considerable; prime urban land made
available for investment forms a greater
part of the subsidy, though other forms
of subsidy include tax exemptions, in-
frastructure provision and the elimina-
tion of all barriers and red tape, in addi-
tion to special building regulations made
possible for particular developments.
The details of these “particular develop-
ments”, the shareholding setup of this
neoliberal investment, are interesting in
themselves. The privately owned Ab-
dali Investment Company (AIC) was
created in 2004 to develop and manage
this mixed-use urban development and is
composed, more or less, of two main in-
vestors: Mawared and Saudi Oger (inter-
national developer from Saudi Arabia).
As a private real estate developer, the
AIC is responsible for implementa-
tion and is in charge of the manage-
ment and the master planning of the
project (similar to Solidere in Bei-
rut). Amman’s Abdali is promoted by
Mawared’s brochures, website, short
videos and other promotional materi-
als as the “New Downtown for Am-
man”. More recently, due to public
criticism, the slogan was changed to
“The New Business District”.
Newly introduced functions include
exclusive office space, an IT park, as
well as commercial and high-end resi-
dential space, in addition to a newly
created civic “secular” plaza bounded
by the state mosque, parliament and
Amman’s largest courthouse. This
represents a symbolic replacement of
the existing historic downtown and the
current civic–urban symbols (for ex-
ample, the historic Husseini Mosque
and specialty markets). This replace-
ment is likely to intensify socio-eco-
nomic and spatial polarization not
only between East and West Amman,
but also between this new “elitist ur-
ban island” and the rest of the city.
Inclusion And Exclusion
TheAbdaliprojecthasseenthedisplace-
ment of the nearby Abdali transport
terminal, together with its motorists,
informal vendors and office occupants,
to the outskirts of Amman and away
from the city center. The project will
also present fierce competition to the
existing downtown, which is gradually
disintegrating and is already suffering
from a lack of economic vitality.
While not a unique phenomenon in
Amman, the Abdali project forces ma-
jor urban and territorial transforma-
tions on the city. Meanwhile, there are
other projects either being built or in
the pipeline. Some of these are high-
rises of exclusive office space; others
are residential compounds catering for
high and upper middle classes in the
form of well-protected gated commu-
nities along the airport highway.
The circulation of global capital (surplus oil
revenues) and huge reserves of money in search
of high yielding and secure investments…have
altered…the nature of public life.
58 JORDAN BUSINESS OCTOBER 2010Feature
Several of these newly emerging spaces
of inclusion and exclusion are causing
severe issues of gentrification along-
side social and physical displacement.
In addition to the relocation of the Ab-
dali transport hub to the outskirts of the
city in Tabarbour and the displacement
of the Za’amta neighborhood, both due
to the Abdali project, several other neo-
liberal projects have caused major dis-
location. One is the Limitless high-rise
towers that have caused the dislodgment
of the Wadi Abdoun village, despite the
interruption of the project. Another
is the displacement of the Raghadan
transport hub to make room for new
tourism projects. The new location of
Raghadan in Mahatta away from the
city center is causing difficulties and
financial burdens not only to transport
users but also to the various downtown
merchants who once benefitted from
vibrant pedestrian activity.
A Vulnerable Landscape
In 1984, the Jordanian novelist Abdel-
rahman Munif published an inspiring
novel, Mudun al-Milh (Cities of Salt).
The novel is set in an unnamed Arab
Gulf country in the 1930s, and de-
scribes the transformation that wrought
havoc on this desert Bedouin commu-
nity when oil was discovered. The re-
sult was the direct and indirect coloni-
zation of the country by the Americans
who discovered the oil, and the radical
impact of that discovery on the physi-
cal and human landscape.
Munif’s epic unfolds over a large
span of years and sketches in detail
the rise of this fake urban civilization,
its abundance of surplus capital from
oil revenues and the fact that most of
these monies were spent on real es-
tate development and lavish banquets.
The significance of this novel lies in
the details of the transformation of
this desert-bound Bedouin community
when confronted with the discovery of
oil. The novel also predicts, from as
early as the mid-1980s, the fragility
and unaccountability of this oil-based
economy and its related neoliberal
real estate boom. That boom has today
spread to other places in the Middle
East, such as Amman, Beirut and Cai-
ro, to mention a few examples.
The most recent financial crisis, which
began in earnest in 2008, and the way
its has hit cities like Dubai testify to
the risks involved in building an econ-
omy around massive investments in
real estate. As the last two years have
shown, not only has this led to the ter-
mination of hundreds of thousands of
jobs but it has also added to the lack
of socio-economic stability. The eco-
nomic crisis has also encroached on
Amman, with many of its current real
estate projects being financed by ma-
jor neoliberal transnational capitalist
companies originating from the United
Arab Emirates and Saudi Arabia.
Cranes And Craters
Touring the city of Amman today, one
cannot avoid noticing the unfinished
projects with static cranes, rotting re-
inforcement and huge craters: major
blemishes on the landscape. This, then,
is the legacy of several of these neo-
liberal real estate projects whose work
has left the city’s urban landscape with
nothing less than potentially severe
environmental problems.
In different parts of the Arab world,
there is a need for more genuine re-
search that goes beyond the classical
analysis of the traditional Arab city.
There is an urgent need to assess cur-
rent urban transformations, the flow
of global capital and its effect on the
realities of cities, urban structures and
polity. This research needs to cover
the effects of urbanization processes
and address issues of migration, slum
formations and the realities of urban
social lives and identities.
Our relationship with the city has al-
ways been and always will be a dialogue
between social classes, different groups
and mechanisms of inclusion and ex-
clusion. More recently, this relationship
has become ephemeral and superficial,
and our sense of belonging has become
transient in nature. We think that we
live in the city as our grave for urbanity
increases; but rather, we live “above”
the city in gated realities.
Touring the city of Amman today, one cannot avoid
noticing the unfinished projects with static cranes,
rotting reinforcement and huge craters: major
blemishes on the landscape.

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Urban landscapes

  • 1. 55JORDAN BUSINESS OCTOBER 2010 Massive urban projects have long been underway in the cityscapes of the region. Rami Farouk Daher questions our obsession with real estate development and points to the damage done at the human and social dimensions. eople across the Middle East are bombarded daily by the boom in real estate development. Local newspapers, emerging property magazines, TV advertisements and bill- boards all promote real estate develop- ment in the form of exclusive business towers and high-end gated residential communities. Property today is the new consumer good par excellence in the Middle East and real estate develop- ment is its new religion. Cities throughout the Middle East are currently competing in order to attract international investments, businesses and tourism developments. At present, developments in Dubai, such as the world’s two largest man-made islands, Palm Jumeirah and Palm Jebel Ali, and major skyscrapers and luxurious resorts on Sheikh Zayed Street, are becoming the models to follow. This reality stands in sheer contrast to a previous time in the 1960s, when cities like Cairo or Bei- rut presented cutting-edge urbanism for the rest of the Arab world. Then, unlike now, the term urbanism encompassed Urban Landscapes Of Neoliberalism: Cranes, Craters And An Exclusive Urbanity P planning for a variety of issues, from public health and the efficiency of trans- portation to emphasis on cultural issues like arts, music and publishing. The effect of such developments is overwhelming. The circulation of global capital (surplus oil revenues) and huge reserves of money in search of high yielding and secure investments, exces- sive privatization and urban flagship projects throughout theArab region have altered urban reality, property values and speculation, as well as the nature of public life. Indeed, it has been estimated that between 2005 and 2020, Arab Gulf states are likely to spend $3,000 billion or so on investment within the Middle East and North Africa. Urban Restructuring In Amman Amman represents a clear example of this neoliberal urban restructuring and emerging forms of spatial ordering and engineering such as high-end and iso- lated urban development and regenera- tion, witnessed in projects like Abdali. In projects such as Green Land and Andalusia, development represents upper-end residential gated commu- nities. Following hot on the heels of these projects are business towers that offer an exclusive concept of refuge and consumption, while low-income residential cities, such as in Jizza and Zarqa, work to push the poorer seg- ments of society to the outskirts of the city in newly zoned heterotopias. In the past ten years, Amman has un- dergone an urban transformation wit- nessed through the creation of public space orchestrated by partnerships be- tween multinational corporations and the state, and established by regulating bodies such as Mawared. The Solidere (Société Libanaise de Développement et de Reconstruction) model of neolib- eral urban restructuring adopted in Bei- rut has become the adopted approach in Amman. In fact, the projects share similar global investors. This neo-liberalism in the creation of public urban space circulates im- ages of urbanity, of exhibits and mod- Feature
  • 2. 56 JORDAN BUSINESS OCTOBER 2010 els, but is leading to the dilution of local flavors and to the diffusion of fabricated “corporate” urban identi- ties. The creation of a privatized pub- lic space, based on a highly selective definition of “the public”, has further triggered a critical investigation into the meaning of public–private and inclusion–exclusion. By turning its back on Amman’s origi- nal downtown, only 1.5 kilometers away from the construction site, the Abdali project is anticipated to lead to urban geographies of inequality and exclusion, as well as spatial and social dislocation. The remodeled area, previously the site of the General Jordan Armed Forces headquarters, consists of 350,000 square meters in the heart of Amman and will contain a built-up area of approximately 1,000,000 square meters. A Neoliberal Experiment As the details of the investments in Amman’s Abdali project reveal, the bottom line is that the state is subsidiz- ing large-scale investment for the busi- ness elite of the region to create urban restructuring flagship projects or mega- projects. This is contrary to the state’s formal declarations and propaganda that advocate an absence in such neo- liberal privatization efforts. However, Feature it is now very clear that the state is not absent but is heavily involved and firm- ly entrenched in what is taking place. The financial contribution of the state is considerable; prime urban land made available for investment forms a greater part of the subsidy, though other forms of subsidy include tax exemptions, in- frastructure provision and the elimina- tion of all barriers and red tape, in addi- tion to special building regulations made possible for particular developments. The details of these “particular develop- ments”, the shareholding setup of this neoliberal investment, are interesting in themselves. The privately owned Ab- dali Investment Company (AIC) was created in 2004 to develop and manage this mixed-use urban development and is composed, more or less, of two main in- vestors: Mawared and Saudi Oger (inter- national developer from Saudi Arabia). As a private real estate developer, the AIC is responsible for implementa- tion and is in charge of the manage- ment and the master planning of the project (similar to Solidere in Bei- rut). Amman’s Abdali is promoted by Mawared’s brochures, website, short videos and other promotional materi- als as the “New Downtown for Am- man”. More recently, due to public criticism, the slogan was changed to “The New Business District”. Newly introduced functions include exclusive office space, an IT park, as well as commercial and high-end resi- dential space, in addition to a newly created civic “secular” plaza bounded by the state mosque, parliament and Amman’s largest courthouse. This represents a symbolic replacement of the existing historic downtown and the current civic–urban symbols (for ex- ample, the historic Husseini Mosque and specialty markets). This replace- ment is likely to intensify socio-eco- nomic and spatial polarization not only between East and West Amman, but also between this new “elitist ur- ban island” and the rest of the city. Inclusion And Exclusion TheAbdaliprojecthasseenthedisplace- ment of the nearby Abdali transport terminal, together with its motorists, informal vendors and office occupants, to the outskirts of Amman and away from the city center. The project will also present fierce competition to the existing downtown, which is gradually disintegrating and is already suffering from a lack of economic vitality. While not a unique phenomenon in Amman, the Abdali project forces ma- jor urban and territorial transforma- tions on the city. Meanwhile, there are other projects either being built or in the pipeline. Some of these are high- rises of exclusive office space; others are residential compounds catering for high and upper middle classes in the form of well-protected gated commu- nities along the airport highway. The circulation of global capital (surplus oil revenues) and huge reserves of money in search of high yielding and secure investments…have altered…the nature of public life.
  • 3. 58 JORDAN BUSINESS OCTOBER 2010Feature Several of these newly emerging spaces of inclusion and exclusion are causing severe issues of gentrification along- side social and physical displacement. In addition to the relocation of the Ab- dali transport hub to the outskirts of the city in Tabarbour and the displacement of the Za’amta neighborhood, both due to the Abdali project, several other neo- liberal projects have caused major dis- location. One is the Limitless high-rise towers that have caused the dislodgment of the Wadi Abdoun village, despite the interruption of the project. Another is the displacement of the Raghadan transport hub to make room for new tourism projects. The new location of Raghadan in Mahatta away from the city center is causing difficulties and financial burdens not only to transport users but also to the various downtown merchants who once benefitted from vibrant pedestrian activity. A Vulnerable Landscape In 1984, the Jordanian novelist Abdel- rahman Munif published an inspiring novel, Mudun al-Milh (Cities of Salt). The novel is set in an unnamed Arab Gulf country in the 1930s, and de- scribes the transformation that wrought havoc on this desert Bedouin commu- nity when oil was discovered. The re- sult was the direct and indirect coloni- zation of the country by the Americans who discovered the oil, and the radical impact of that discovery on the physi- cal and human landscape. Munif’s epic unfolds over a large span of years and sketches in detail the rise of this fake urban civilization, its abundance of surplus capital from oil revenues and the fact that most of these monies were spent on real es- tate development and lavish banquets. The significance of this novel lies in the details of the transformation of this desert-bound Bedouin community when confronted with the discovery of oil. The novel also predicts, from as early as the mid-1980s, the fragility and unaccountability of this oil-based economy and its related neoliberal real estate boom. That boom has today spread to other places in the Middle East, such as Amman, Beirut and Cai- ro, to mention a few examples. The most recent financial crisis, which began in earnest in 2008, and the way its has hit cities like Dubai testify to the risks involved in building an econ- omy around massive investments in real estate. As the last two years have shown, not only has this led to the ter- mination of hundreds of thousands of jobs but it has also added to the lack of socio-economic stability. The eco- nomic crisis has also encroached on Amman, with many of its current real estate projects being financed by ma- jor neoliberal transnational capitalist companies originating from the United Arab Emirates and Saudi Arabia. Cranes And Craters Touring the city of Amman today, one cannot avoid noticing the unfinished projects with static cranes, rotting re- inforcement and huge craters: major blemishes on the landscape. This, then, is the legacy of several of these neo- liberal real estate projects whose work has left the city’s urban landscape with nothing less than potentially severe environmental problems. In different parts of the Arab world, there is a need for more genuine re- search that goes beyond the classical analysis of the traditional Arab city. There is an urgent need to assess cur- rent urban transformations, the flow of global capital and its effect on the realities of cities, urban structures and polity. This research needs to cover the effects of urbanization processes and address issues of migration, slum formations and the realities of urban social lives and identities. Our relationship with the city has al- ways been and always will be a dialogue between social classes, different groups and mechanisms of inclusion and ex- clusion. More recently, this relationship has become ephemeral and superficial, and our sense of belonging has become transient in nature. We think that we live in the city as our grave for urbanity increases; but rather, we live “above” the city in gated realities. Touring the city of Amman today, one cannot avoid noticing the unfinished projects with static cranes, rotting reinforcement and huge craters: major blemishes on the landscape.