This Abu Dhabi building, across the road from Al Wahda Mall, is lacking an active fire-alarm system. Delores Johnson / The National
This Abu Dhabi building, across the road from Al Wahda Mall, is lacking an active fire-alarm system. Delores Johnson / The National

Fire safety warning on apartment buildings



ABU DHABI // Many apartment tenants may be at risk from fire because there is no alarm system in their buildings, or because fire-safety equipment is not regularly maintained.

In other buildings, frequent false alarms caused by over-sensitive equipment give residents a false sense of security, and they may be slow to react in the event of a genuine emergency.

The National visited 14 residential buildings in Abu Dhabi neighbourhoods and found three did not have fire-alarm systems. They were in the city centre near Al Wahda Mall and in Al Danah, and housed lower-income expatriate workers.

An alarm is only one part of a fire-safety system, experts say. Alarm systems must have regular, proper maintenance to function correctly, and residents should know when systems are being tested.

Authorities appear reluctant to discuss the issue. Abu Dhabi Municipality said inquiries should be directed to Civil Defence. The National put a series of questions to Civil Defence on August 11, on fire-safety issues in general and in particular how residents should respond to frequent false alarms. They have not yet responded.

Four people were injured when a fire broke out in a 17-floor residential building on Electra Street in the city on August 7. Some residents said at the time that the alarm went off frequently in their building, as many as five times a week, and speculated that the system was either too sensitive or was set off by people smoking or cooking.

Several of those living in Al Ibrahimi Restaurant building – mostly employees of local companies – said that they initially assumed it was another false alarm, not knowing that a fire had started in a bunk-bed on the top floor.

“We hear the fire alarm and we think it’s normal,” said one resident, from Syria. “After 10 minutes, we started to smell the gas and things.”

But Alaa Salam, manager of Al Calily Maintenance and Services, which manages the building and has an office in it, said last week he thought what residents were saying was unlikely.

The alarm system was still new and maintenance testing was being carried out, he said, and residents could contact the watchman or his company to find out whether the alarm they heard was just a test.

The company was paying for the residents to live in a hotel while insurance and repair contracting issues are sorted out, said Mr Salam.

“Our important issue now is the people that got affected from this, and return their lives to normal,” he said.

Good maintenance and ensuring that the correct smoke heads are fitted in apartments can prevent false alarms from sounding, said Emma Button, who works with the property company Jones Lang LaSalle.

Buildings should also have regular fire drills so that people know how to evacuate in case of a fire, she said.

Regular communication with tenants, adhering to the international standards and the UAE fire and life safety code, practising evacuations and creating a risk assessment that states what to do in the event of a fire are all of key importance, said Ms Button.

“It’s basically just making sure you’ve got all your policies and procedures in place,” she said.

Ms Button said a crucial aspect of a fire-alarm system was keeping residents informed in the event of a test.

When an alarm goes off, building security or a watchman would get a notification, then have the option to stop the alarm or let it continue if there is a genuine emergency.

With numerous false alarms, building security could get to the point where they don’t investigate whether there is a fire, Ms Button said.

“The main important thing is that fire-alarm systems have to be maintained in order to give people fair warning, and that any activation signals an actual incident.”

lcarroll@thenational.ae

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Company profile

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