Real Estate – Daily News Egypt https://eklutdvotyzsri.dailynewssegypt.com Egypt’s Only Daily Independent Newspaper In English Tue, 25 Jun 2019 18:33:04 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.1 RE/MAX achieves EGP 6bn sales in H1 of 2019 https://eklutdvotyzsri.dailynewssegypt.com/2019/06/24/re-max-achieves-egp-6bn-sales-in-h1-of-2019/ Mon, 24 Jun 2019 11:48:03 +0000 https://ww.dailynewssegypt.com/?p=700978 Director of Business Development at RE/MAX Egypt, Sherif Mahmoud, said the company's sales increased by 80% in the first half (H1) of 2019 to EGP 6bn, compared to EGP 3.250bn last year

The post RE/MAX achieves EGP 6bn sales in H1 of 2019 appeared first on Daily News Egypt.

]]>
Director of Business Development at RE/MAX Egypt, Sherif Mahmoud, said the company’s sales increased by 80% in the first half (H1) of 2019 to EGP 6bn, compared to EGP 3.250bn last year.

Mahmoud added in the roundtable on Wednesday, that the company’s branch network has grown to more than 35 offices in Egypt in less than seven years through the franchise model. The company aims to expand to 50 offices by the end of 2019 and 70 offices in at least 12 governorates by the end of 2020, in addition to 1,000 real estate marketeers.

RE/MAX has more than 8,000 branches in over 110 countries around the world. The company has now more than 35 offices in six governorates in Egypt, including Cairo, Giza, Alexandria, Red Sea, Daqahleya, and Gharbia which employs more than 600 real estate marketeers.

RE/MAX Egypt has recorded 70% increase in resale share in the local real estate market of the total operations during the first five months of this year compared to 60% last year.

Mahmoud pointed out that resale operations increased during the current year despite the attractive offers presented by real estate investment companies.

The post RE/MAX achieves EGP 6bn sales in H1 of 2019 appeared first on Daily News Egypt.

]]>
Organising AFCON in Egypt promotes real estate investment https://eklutdvotyzsri.dailynewssegypt.com/2019/06/24/organising-afcon-in-egypt-promotes-real-estate-investment/ Mon, 24 Jun 2019 11:40:03 +0000 https://ww.dailynewssegypt.com/?p=700976 Better Home Group's General Manager Ashraf Adel said that organising the Africa Cup of Nations (AFCON) in Egypt supports the country’s tourism and investment promotion initiatives and confirms its restored political and security stability

The post Organising AFCON in Egypt promotes real estate investment appeared first on Daily News Egypt.

]]>
Better Home Group’s General Manager Ashraf Adel said that organising the Africa Cup of Nations (AFCON) in Egypt supports the country’s tourism and investment promotion initiatives and confirms its restored political and security stability, which would attract more investments and thus improving the overall economic situation.

“Believing in the importance of these matches and championships for Egyptians, the company launched the largest display screens in the company’s mall in the Fifth Settlement, New Cairo, to coexist with the atmosphere of daily matches and bring the spirit of the championship to the place,” Adel added.

Adel noted that two screens were installed in the mall to feature the AFCON games. They were placed in quite a special place in the mall so that everyone can clearly watch the matches.

Since Egypt won the honour of hosting the AFCON, the company is considering how to contribute to celebrating this important football event. Therefore, the company has decided to put these screens to serve all the mall’s visitors. In addition, the mall featured the AFCON mascot “Tut” and hanged stereoscopic photos of Egypt’s national team.

The post Organising AFCON in Egypt promotes real estate investment appeared first on Daily News Egypt.

]]>
MBG completes marketing 50% of Pukka Capital Walk in NAC https://eklutdvotyzsri.dailynewssegypt.com/2019/06/24/mbg-completes-marketing-50-of-pukka-capital-walk-in-nac/ Mon, 24 Jun 2019 11:35:12 +0000 https://ww.dailynewssegypt.com/?p=700970 Al Adl pointed out that the company has achieved a 70% sales volume in the Pukka project, which includes more than 1,680 housing units on an area of 40 feddan

The post MBG completes marketing 50% of Pukka Capital Walk in NAC appeared first on Daily News Egypt.

]]>
Egypt’s real estate developer MBG Development has completed the marketing of about 50% of the Pukka Capital Walk mall inside the New Administrative Capital (NAC).

Mahmoud Al Adl, chairperson of the company, said that the company has started offering the Pukka project’s units for sale at the end of last year on an area of 25,000 sqm, only 5 minutes from the Green River and the British University, and only 10 minutes away from the diplomatic neighbourhood.

Al Adl pointed out that the company has achieved a 70% sales volume in the Pukka project, which includes more than 1,680 housing units on an area of 40 feddan.

The Pukka project is located near the diplomatic neighbourhood in the New Capital, and the company plans to hand over the whole project in 2022, which is being developed on four phases.

The company is focused on investing in the NAC during the coming period. Therefore, the company plans to implement a new residential project there on an area of 48 feddan, similar to the Pukka project, along with developing a medical project for athletes in the sports city, on an area of 5 feddan, Al Adl said.

MBG Development has been operating in Egypt’s real estate market for 35 years and has developed several residential villages in the cities of Damietta, Mansoura, and Ras El Bar. In Ras El Bar, the company has developed three villages: Sunset Festival, Sunset El Nakheel, and Sunset Gardens. In Mansoura, MBG built Al Oula City on an area of 27,000 sqm and a World Trade Centre on an area of ​​20,000 sqm, in addition to the International Medical Centre on an area of ​​10,000 sqm, consisting of specialised medical centres overlooking the Nile in Mansoura city.

The post MBG completes marketing 50% of Pukka Capital Walk in NAC appeared first on Daily News Egypt.

]]>
Jadeer Real Estate launches 2nd phase of Swara https://eklutdvotyzsri.dailynewssegypt.com/2019/06/24/jadeer-real-estate-launches-2nd-phase-of-swara/ Mon, 24 Jun 2019 10:23:25 +0000 https://ww.dailynewssegypt.com/?p=700969 Company invests EGP 250m during current year

The post Jadeer Real Estate launches 2nd phase of Swara appeared first on Daily News Egypt.

]]>
Jadeer Real Estate Group aims to launch the second phase of the Swara mini compound for sale during the summer season after the completion of the sale of the entire first phase.

Chairperson of Jadeer, Mahmoud Abo El-Khair, said that the Swara comprises of four buildings in the fifth district in the Beit El Watan residential area in New Cairo, with an investment of EGP 88.5m, on an area of 3,000 sqm.

Abo El-Khair noted that the company intends to deliver the whole project by February 2023.

He pointed out that the project includes 80 different housing units to suit all segments of society, ranging from 110 to 370 sqm, including studios, duplexes, penthouses, and fully finished family housing units, noting that the project includes integrated services, such as gyms, Jacuzzis, spas, swimming pools, and landscaping.

The company is currently implementing seven residential separate buildings in various areas in New Cairo with investments up to EGP 270m.

Abo El-Khair revealed the opening of the new branch for Jadeer Real Estate in the Sixth of October City, to expand in a new market in Sheikh Zayed City and the Sixth of October.

The company is currently seeking a new coastal project that will soon be announced to suit the needs of its customers in the coming period.

The post Jadeer Real Estate launches 2nd phase of Swara appeared first on Daily News Egypt.

]]>
Saudi delegation’s visit to mega real estate projects promotes Egypt globally https://eklutdvotyzsri.dailynewssegypt.com/2019/06/24/saudi-delegations-visit-to-mega-real-estate-projects-promotes-egypt-globally/ Mon, 24 Jun 2019 10:18:30 +0000 https://ww.dailynewssegypt.com/?p=700964 Egypt needs to organise similar events, visits to encourage Arab, foreign investments, says developer

The post Saudi delegation’s visit to mega real estate projects promotes Egypt globally appeared first on Daily News Egypt.

]]>
Last week, a delegation from the National Real Estate Committee at the Council of Saudi Chambers has concluded its visit to Egypt which aimed to attract and increase Saudi investments in the construction and real estate sector in Egypt.

The delegation visited Egypt in the period from 15 to 19 June to identify the investment incentives provided by the Egyptian government, as well as the economic reforms that have been introduced in the last period.

The Saudi delegation, which included more than 50 Saudi investors from major real estate developers and real estate investment companies, met with the chairperson of the Administrative Capital for Urban Development (ACUD) and visited the company’s projects. In addition, the delegation met with Egypt’s minister of investment and international cooperation, head of New Alamein City Authority, and Governor of Alexandria.

During their visit to the New Administrative Capital (NAC), Ahmed Zaki Abdeen, chairperson of the ACUD, called on Saudi businessmen to invest in the NAC, especially as it is a first-class investment project and very profitable.

Abdeen said: “The NAC project is a real achievement and I invite you to participate and invest in this great work,” pointing out that all the infrastructure work will be completed by the end of this year–where about 70% was completed.

The Saudi delegation raised the problem of profits and capital transfer that foreign investments had been exposed to in the past years. In this regard, Vice President of Egyptian Businessmen’s Association (EBA), Fathallah Fawzi, said that the New Investment Law ended all problems related to free movement of profits and capital as well as granted incentives and provided many facilities to investors and businessmen.

He pointed out that the ministry of investment exerted great efforts to solve investors’ problems and introduced investor services automation, in addition to the availability of multiple systems to grant land to developers and companies.

Fawzi elaborated that investors can obtain lands within a period not exceeding two weeks with various selling systems.

“Investment in Egypt and Saudi Arabia has become more flexible and attractive to businessmen and investors thanks to the incentives adopted by the two countries over the past years,” head of the Saudi delegation and Chairperson of the Real Estate Committee, Hamad Al-Shuwayer, said.

He added that the Saudi delegation looked forward to investing in Egypt in various national projects and governorates.

He noted that the vision of Saudi developers and real estate companies for the NAC project has completely changed after the visit organised by EBA.

“The reality of the New Capital project is more than we imagined–a great work in record time,” Al-Shuwayer added.

Alaa Fekry, member of the board of directors of the Real Estate Investment Division of the General Federation of Chambers of Commerce, said that the visit is a very good step, and it had to take place a long time ago as Egypt sought to attract foreign investments to the Egyptian market.

He pointed out that Egypt is witnessing a boom in development and investment opportunities in various sectors, noting that it has witnessed an increase at the level of laws and legislation, which created an attractive environment for investment.

Fekry stressed the need to seek the organisation of similar events and visits to encourage Arab and foreign capitals to invest in Egypt, in order to provide opportunities for investors to form their investment vision in Egypt and to develop their necessary studies for this.

Additionally, there is a need to identify local investors and provide opportunities for successful consortiums and partnerships, especially with the preference of a large sector of Arab investors willing to cooperate with Egyptian companies possessing special expertise on the nature of the market and its requirements, he noted.

Fekry explained that the real estate sector has promising investment opportunities in service investments such as commercial, administrative, educational, and medical projects, adding, “There is a real need for these projects in Egypt with the rapid development witnessed in new cities and increasing customer needs.”

For his part, member of the construction committee at the EBA and First Group’s Chairperson, Bashir Mostafa, said that the visit was successful and achieved very positive results at the level of the Saudi and Egyptian sides.

Mostafa pointed out that this visit came at the right time especially in light of the real urban renaissance in a number of Egyptian governorates, in addition to the state’s direction and its understanding of the importance of the real estate sector, its impact on the state’s GDP and its ability to attract more foreign investment, especially in light of the emergence of a number of legislation for organising the market taken by the state recently.

Yousrey El-Sharkawi, CEO of House of Consultancy, said that the delegation’s visit to Egypt is one of the most important commercial visits to Egypt in recent times.

He attributed this to several reasons, the most important of which is a confirmation to Arab investors that the current investment climate in Egypt has become promising and attractive after many reform packages have been recently carried out by Egypt.

El-Sharkawi explained that the field visit to the fourth generation cities and mega national projects implemented by the state recently would contribute to attracting investment which requires facilitating procedures and getting the highest rates of return on profit.

The post Saudi delegation’s visit to mega real estate projects promotes Egypt globally appeared first on Daily News Egypt.

]]>
Misr Italia’s investments in Egypt to record EGP 50bn in 10 years https://eklutdvotyzsri.dailynewssegypt.com/2019/06/22/misr-italias-investments-in-egypt-to-record-egp-50bn-in-10-years/ Sat, 22 Jun 2019 14:25:45 +0000 https://eklutdvotyzsri.dailynewssegypt.com/?p=700790 Company signed cooperation protocol to fund establishing an official school in New Capital

The post Misr Italia’s investments in Egypt to record EGP 50bn in 10 years appeared first on Daily News Egypt.

]]>
Misr Italia Properties’ investments in the real estate sector is expected to reach EGP 50bn in approximately 10 years, according to Chairperson of the company, Hany Al-Assal.

Al-Assal added that the company targets achieving EGP 5.5bn in sales of its projects by the end of 2019.

During a press conference held on Monday, Al-Assal noted that the IL Bosco project’s sales have recorded EGP 7bn.

The IL Bosco is being developed on 200 feddan in the New Administrative Capital (NAC) with EGP 16bn in investments.

He elaborated that the company plans to direct EGP 2bn in investments toward its projects, out of which EGP 800m will be directed toward the Vinci and the IL Bosco projects in the NAC.

The Vinci project is in the New Capital on 110 feddan with EGP 9bn in investments. The company has achieved about EGP 1bn in sales of its launch in last October.

During press conference held on Monday, Misr Italia signed a cooperation protocol with the Engineering Authority of the Armed Forces, and Armed Forces Land Projects Agency (AFLPA).

The General Authority for Educational Buildings will establish an official school in the NAC.

The school’s investment cost reaches EGP 25m in the light of the company’s developmental programme to develop the Egyptian human being.

Spanning over 11,800 sqm, the school comprises of 56 classes which include 1,500 students.

The post Misr Italia’s investments in Egypt to record EGP 50bn in 10 years appeared first on Daily News Egypt.

]]>
Parliament’s housing committee approves draft law cancelling old rent for non-housing units https://eklutdvotyzsri.dailynewssegypt.com/2019/06/14/parliaments-housing-committee-approves-draft-law-cancelling-old-rent-for-non-housing-units/ Fri, 14 Jun 2019 16:54:39 +0000 https://www.dailynewssegypt.com/?p=700397 Law contravenes ruling of Supreme Constitutional Court, says housing committee member

The post Parliament’s housing committee approves draft law cancelling old rent for non-housing units appeared first on Daily News Egypt.

]]>
The housing committee of the Egyptian Parliament approved a final draft law cancelling old rent contracts of leased units that are not for housing purposes during its meeting.

The government has submitted a draft law to cancel contracts of old rents of legal persons to implement the ruling of the Supreme Constitutional Court of nullifying these contracts.

Moreover, the housing committee has amended the government’s law to apply this judgment to all units rented for non-housing purposes such as shops, doctors’ clinics, law offices, and others that have contracts dating back to pre-1996.

According to this law, the leases of the places to which the provisions of this law apply will be in favour of the lease for a period of five years from the date of its implementation. In all cases, such contracts shall be terminated by force of law and without the need for any action or judgment by the end of this mentioned period.

 

Additionally, the new law states, “the legal rent fees for places to which the provisions of the law apply shall be set at five times the specified legal rental value. The annual increase of the fees shall be due on a regular basis in such successive years by 15% of the last legal fee for four years.”

 

The law also mentions that the tenant is obliged to vacate the rented unit and return it to the owner or the lessor on the day following the expiry of the five-year period.

 

If the tenant refuses to leave the unit, the owner or lessor may apply to the temporary judge of the court the units belong to, to order the expulsion and the delivery of the place free of persons and movables, without prejudice to the right of the owner or lessor in compensation if it is required.

 

According to the data presented by ministry of housing, the approved draft law will include about 2.9m leased units, which were opposed by opponent members of the amendment because they were described as inaccurate.

 

For his part, Mohamed Abdel-Ghani, member of housing committee in parliament, refused the law and provided a new memorandum to the Parliament Speaker, Ali Abdel Aal, to amend the approved draft law hoping to receive the response in the coming two weeks.

 

Abdel-Ghani told Daily News Egypt that if his request to amend the law is accepted, the new draft will be approved within one month. He explained that his new proposal provides other ways of agreement between the tenant and lessor instead of expelling him out of the unit as a way to consider social and economic justice.

 

Moreover, he disclosed that applying the law on legal persons contravenes the ruling of the Supreme Constitutional Court, therefore, the law needs to be reconsidered.

 

“The Supreme Constitutional Court provisions in 2001 decided to transfer rental units to sons of tenant for the first generation only, and then unit’s ownership returns to original owner. However, in the case of legal persons such as banks and entities that do not have an heir, the Constitutional Court ruled unconstitutional contracts of legal persons.”

The post Parliament’s housing committee approves draft law cancelling old rent for non-housing units appeared first on Daily News Egypt.

]]>
Amending real estate appraisal comes in favour of state projects: source https://eklutdvotyzsri.dailynewssegypt.com/2019/06/13/amending-real-estate-appraisal-comes-in-favour-of-state-projects-source/ Thu, 13 Jun 2019 06:36:34 +0000 https://www.dailynewssegypt.com/?p=700370 Parliament’s economic committee approves new Egyptian criteria for real estate appraisal

The post Amending real estate appraisal comes in favour of state projects: source appeared first on Daily News Egypt.

]]>
The parliamentary economic committee has approved a new amendment to the Investment Law on Monday.

 

The amendment, submitted by MP Mohamed Akkad and 60 other parliament members, stipulates the adoption of Egyptian criteria for real estate appraisal and the assignment of property or land valuation process to real estate appraisal experts accredited by the Financial Regulatory Authority (FRA). That is in the case of the establishment of investment projects.

 

A real estate source told Daily News Egypt that the new amendment will serve the state’s interests in some areas that witness great demand, as the real estate appraisal is expected to increase the prices of the new areas in which the government operates, such as New Alamein, New Administrative Capital, and New Mansoura.

 

The expected hike in property valuation will come as a result to the recent and upcoming increase in fuel and construction material prices.

 

He noted that the new amendment would also increase the demand on areas that suffered low demand before as the prices of neighbouring areas will increase.

 

For example, if prices in Ain Sokhna increased, it will motivate customers to buy in other nearby areas, such as Ras Sedr. Moreover, the real estate prices in New Cairo are unreasonably high, so appraisers may devaluate its property prices to encourage sales movement in other areas.

 

Article 64 of the current investment law stipulates, “In application of the provisions of this Chapter, the sale price, rent, or consideration of usufruct shall be estimated by one of these entities: General Authority of Government Services, Supreme Committee for Pricing of State-Owned Lands at the Ministry of Agriculture, New Urban Communities Authority, Tourism Development Authority, and the Industrial Development Authority, based on the nature of the target activity.”

 

Meanwhile, the new amendment stipulates that the appraisal agency is committed to adopting the Egyptian standards of real estate appraisal. This includes representatives of experienced members from the evaluation committees of real estate appraisers registered in the FRA. It also includes the completion of the appraisal within a period not exceeding 30 days from the date of submission of a request.

The post Amending real estate appraisal comes in favour of state projects: source appeared first on Daily News Egypt.

]]>
Palm Hills reports sales growth of 5% y-o-y https://eklutdvotyzsri.dailynewssegypt.com/2019/06/12/palm-hills-reports-sales-growth-of-5-y-o-y/ Wed, 12 Jun 2019 09:20:59 +0000 https://www.dailynewssegypt.com/?p=700285 “We intend to engage in further securitisation and discounting transactions in FY 2019,” says Mansour

The post Palm Hills reports sales growth of 5% y-o-y appeared first on Daily News Egypt.

]]>
Palm Hills Developments (PHD) achieved sales (residential and commercial) of EGP 2.2bn, an increase of 5% year-over-year (y-o-y) with total 374 units sold. Growth in new sales resulted mostly from the continued uptake of launched units in Palm Hills Alexandria, yet offset by limited launches in west and east Cairo projects, as opposed to strong demand in Palm Hills New Cairo and some other key projects during the same period last year.

Chairperson and Group CEO of PHD, Yasseen Mansour, said that he intends to engage in further securitisation and discounting transactions in fiscal year (FY) 2019 as the interest rate environment improves further, complemented by the conclusion of projects under development. Currently, the net debt/Earnings Before Interest Taxes Depreciation Amortization (EBITDA) stands at 2.5x by end of the first quarter (Q1) of 2019.

Revenue declined by 35% y-o-y to EGP 958m, largely driven by lower handed over residential units, despite the fact that PHD had 440 units released from construction during Q1 of 2019, yet in non-liveable zones. Furthermore, top line saw limited contribution from sales of standalone units, as Palm Hills Alexandria’s impact is yet to be reflected during coming quarters. Gross Profit stood at EGP 356m, translating into a margin of 37%.

Mansour Comments that during Q1 of 2019, we maintained our market share with mild sales growth and 374 units sold, nevertheless we are planning several launches which will take place during the coming quarters especially in the summer season, allowing us to sustain our leading position.

Our profit and loss (P&L) demonstrated a slowdown in Q1 of 2019 mostly due to limited handovers, although we completed the construction of 440 units yet in unliveable zones, and the mild 5% y-o-y growth in new sales resulted in revenue of EGP 958m, gross profit margin of 37%, EBITDA margin of 23%, net profit after tax and minority interest of EGP 141m. Looking at our net debt position, it stood at EGP 2.2bn by the end of Q1 of 2019, solidifying our balance sheet where receivables cover net debt 7.8 times.

Mansour expects to complete a number of projects during the year including Palm Valley, Golf Extension, and Woodville in west Cairo, as well as Palm Hills Katameya extension 2 in east Cairo.

He added that they have started in site mobilisation, earthworks, and construction activities of Badya’s phase 1A during Q2 of 2019. “We remain confident about our company’s ability to catch up with the full year targets during the coming quarters,” Mansour said.

Accordingly, he added, “we maintain our FY 2019 guidance with a new sales target of EGP 14bn, which should lead to revenue in the range of EGP 7.5bn, resulting in a gross profit margin of 38%, and net profit in the range of EGP1bn.

He also expects a minor impact of 5% on the cost of construction from the hike in electricity and foreseen increase in fuel prices associated with subsidy cuts, thus we remain confident about our ability to achieve a gross profit margin of 38% during FY 2019.

Net profit after tax and minority interest stood at EGP 141m, a net profit margin of 15%. Despite the drop in top line, profitability margins remained stable y-o-y with a gross profit of 37%, an EBITDA margin of 23%, and a net profit margin of 15%.

The company spent EGP 309m on construction activities during Q1, largely on Palm Hills New Cairo, Capital Gardens, Palm Valley, and Woodville.

PHD handed over 215 units, on track to achieve the full year target of 1,350 units in FY 2019. The majority of handed overs units were in Palm Parks, Golf Views, Golf Extension, Woodville, Hacienda Bay, and Hacienda White 2. Notably, PHD continued to deliver units in Palm Valley in west Cairo ahead of schedule.

Mayar El Ashry, a financial analyst at Pharos said that despite a slow start to the year, PHD is still targeting FY of 2019 sales of EGP 14.0bn, which would imply a 12.3% increase compared to FY of 2018 sales. Unless Badya comes in with an even bigger launch than that witnessed in Q2 of 2018, the company may fall short of its ambitious FY of 2019 sales target. Our EGP 3.83/share valuation assumes FY of 2019 sales of EGP 8.5bn.

Pharos research maintains the overweight recommendation of PHD based on our fair value (FV) of EGP 3.83/share.

The post Palm Hills reports sales growth of 5% y-o-y appeared first on Daily News Egypt.

]]>
Financial leasing companies direct EGP 2.4bn into market end-April https://eklutdvotyzsri.dailynewssegypt.com/2019/06/10/financial-leasing-companies-direct-egp-2-4bn-into-market-end-april/ Mon, 10 Jun 2019 20:42:45 +0000 https://www.dailynewssegypt.com/?p=700176 Mortgage finance companies offered loans worth EGP 392.7m during April 2019

The post Financial leasing companies direct EGP 2.4bn into market end-April appeared first on Daily News Egypt.

]]>
Financial leasing companies directed EGP 2.4bn into the market at the end of April 2019, compared to EGP 2.3bn in April 2018, an increase of EGP 52m, according to the Financial Regulatory Authority’s (FRA) report.

The report said that the total number of contracts which have been signed by the end of April reached 250 contracts compared to 149 in the same month a year earlier.

“Real estate and the land sector accounted for the largest share of financial leasing contracts worth EGP 1.4bn at the end of April 2019, compared to EGP1.5bn by the end of April 2018. Meanwhile, equipment and heavy machines came in the second place with a value of EGP 250m, followed by transport vehicles with a value of EGP 223.8m,” the report read.

Additionally, mortgage finance companies offered loans of EGP 392.7m during April 2019, compared to EGP 127m in April last year, with an increase of 208%, the report stated.

The total value of mortgage refinancing amounted to about EGP 160m during April 2019, compared to EGP 299m in April 2018, and the number of contracts reached 1,036 against 555 contracts.

Regarding the microfinance loans, the FRA report showed that the number of beneficiaries of microfinance loans dropped from 150,000 to 73,000 clients during the first quarter (Q1) of 2019.

In Q1 of 2018, the percentage of males with regard to financing assets increased from 49.7% to 58.2% in Q1 of 2019, with a value of EGP 643m compared to EGP 681m in the same period last year.

Females account for 41.8% of the funds during Q1 of 2019 with a total financing value of EGP 461m, compared to 50.3% in the same period last year.

The number of institutions operating in the field of microfinance companies, associations, and civil society organisations reached 2,087 at the end of Q1 of 2019, compared to 1,721 organisations at the end of Q1 of 2018.

The post Financial leasing companies direct EGP 2.4bn into market end-April appeared first on Daily News Egypt.

]]>
Egypt to launch EGP 20bn worth medical tourism city in Badr https://eklutdvotyzsri.dailynewssegypt.com/2019/06/10/egypt-to-launch-egp-20bn-worth-medical-tourism-city-in-badr/ Mon, 10 Jun 2019 09:50:07 +0000 https://www.dailynewssegypt.com/?p=700067 Project to be built over 109 feddan within five years

The post Egypt to launch EGP 20bn worth medical tourism city in Badr appeared first on Daily News Egypt.

]]>
Egypt plans to establish a medical tourism city at a cost of EGP 20bn in Badr City, east Cairo.

The project will be built on 109 feddan and will take five years to be completed, Chairperson of Badr City Development Authority, Ammar Mandour, said on Friday, noting that it will be the largest in the Middle East and North Africa (MENA) region.

Mandour added that 90% of the project’s investments are Egyptian, and the preliminary inspection of the project site has been carried out.

“The medical city will provide the latest medical methods in the world and modern medical equipment,” he added. “It will include 13 medical institutes with a capacity of 2,000 beds, a helipad for flying ambulances, a teaching hospital, and natural healing gardens.”

The general secretary of Badr University, Mohamed Soliman, said that 10% of the beds will be earmarked for Egyptians who are unable to afford medical treatment.

Soliman added that the first phase of the project will be completed after 30 months from the date of starting construction. The project will be completed and fully operational within five years of execution.

 

Furthermore, he pointed out that the project’s board will rely on the largest foreign companies’ expertise in administration during the first five years of the project, until the training of Egyptian doctors, staff, and workers is finalised.

The post Egypt to launch EGP 20bn worth medical tourism city in Badr appeared first on Daily News Egypt.

]]>
DETGD calls for communications unit within each new city https://eklutdvotyzsri.dailynewssegypt.com/2019/06/10/detgd-calls-for-communications-unit-within-each-new-city/ Mon, 10 Jun 2019 09:31:30 +0000 https://www.dailynewssegypt.com/?p=700061 Egypt is making strong strides in the field of digital transformation, Internet of Things (IoT), and artificial intelligence (AI) through the creation of smart cities and communities, which will put it in the ranks of technologically advanced countries in the coming period, he noted

The post DETGD calls for communications unit within each new city appeared first on Daily News Egypt.

]]>
The fundamental basis of developing smart cities is the establishment of strong communications infrastructure, said Tamer Hedayet, a member of Digital Economy and Technology General Division (DETGD) at the Federation of Egyptian Chambers of Commerce (FEDCOC) and Regional Director for Europe and the Middle East at Netsync Network Solutions.

He elaborated that building strong communications infrastructure necessitates a partnership between the ministries of communications and housing, whereby a specialised communications unit within each new city should be established in cooperation with the ministry of communications and information technology.

Hedayet pointed out that this communication unit is set to provide infrastructure for advanced communications networks from 4G networks to fibre cables, in order to save time and effort.

Egypt is making strong strides in the field of digital transformation, Internet of Things (IoT), and artificial intelligence (AI) through the creation of smart cities and communities, which will put it in the ranks of technologically advanced countries in the coming period, he noted.

Additionally, he disclosed that his company has a distinguished programme for the establishment of smart cities, great experience in establishing smart cities in America and several European countries.

Furthermore, Hedayet added that he intends to invest heavily in the technology of smart cities benefiting from American expertise, with the aim of transferring such experience to Egypt through  Netsync Network Solutions in the coming days, noting that there are cities in Egypt qualified to be smart, such as the New Administrative Capital (NAC), New Alamein, and Knowledge City in the NAC.

The post DETGD calls for communications unit within each new city appeared first on Daily News Egypt.

]]>
CBE’s mortgage finance interest rate projected to reach 8-12% https://eklutdvotyzsri.dailynewssegypt.com/2019/06/10/cbes-mortgage-finance-interest-rate-projected-to-reach-8-12/ Mon, 10 Jun 2019 09:22:22 +0000 https://www.dailynewssegypt.com/?p=700059 The Egyptian Real Estate Council proposed to set an interest rate of 8-12% on mortgage finance for middle-income housing units

The post CBE’s mortgage finance interest rate projected to reach 8-12% appeared first on Daily News Egypt.

]]>
The Egyptian Real Estate Council proposed to set an interest rate of 8-12% on mortgage finance for middle-income housing units.

The decision took place during a meeting with developers, the Central Bank of Egypt (CBE), and bank officials last week, according to Chairperson of the Council, Adel Lotfy.

In early June, a mini committee was formed to discuss the mechanisms behind the rules of facilitating mortgage finance. This committee included representatives of the CBE, banks operating in the Egyptian market, and real estate developers

On May 30, the CBE allocated EGP 50bn to finance persons and middle-income people in purchasing housing units with mortgage finance in support of the real estate sector and as a response to the demands of developers.

Lotfy explained that during the last meeting, the minister of housing, met with real estate developers to discuss the draft proposals submitted by stakeholders concerned with the real estate sector.

This was done to activate the initiative of providing middle-income housing, in cooperation with the private sector. In those meetings, some outlines were agreed on and will be developed in this partnership.

The results will then be submitted to the minister of housing in the next meeting to reach a final agreement on how to implement this initiative.

Lotfy also said that the minister stressed that the proposal needs to consider the rights of the state, attract developers, and bring refreshing ideas into the market. This is all while leading up to a product that is fitting for the needs and capabilities of the Egyptian society.

The post CBE’s mortgage finance interest rate projected to reach 8-12% appeared first on Daily News Egypt.

]]>
Real estate developers aim to participate in state’s social, middle-income housing https://eklutdvotyzsri.dailynewssegypt.com/2019/06/10/real-estate-developers-aim-to-participate-in-states-social-middle-income-housing/ Mon, 10 Jun 2019 09:18:50 +0000 https://www.dailynewssegypt.com/?p=700057 The minister explained that the partnership reflects the mutual trust between the government and the private sector

The post Real estate developers aim to participate in state’s social, middle-income housing appeared first on Daily News Egypt.

]]>
Last week, Deputy Minister of Housing, Utilities, and Urban Communities, Assem El-Gazzar, held a meeting with a group of real estate developers in the presence of officials from the Mortgage Finance Fund (MFF) to discuss expanding their participation in the implementation of social housing projects to meet the high demand in the housing sector.

El-Gazzar stressed that the state is interested in the participation of the private sector in social housing projects, being one of the most important national projects that aim to provide affordable apartments in integrated housing communities for young and low-income people.

The minister explained that the partnership reflects the mutual trust between the government and the private sector, and affirms beyond any doubt that the government recognises the importance of private sector’s role in the development process which is currently being undertaken in various fields.

For her part, May Abdel Hamid, head of the MFF, said that real estate developers took the initiative and formed the Real Estate Development Chamber at the Federation of Egyptian Industries (FEI), the Real Estate Investment Division at the Federation of Egyptian Chambers of Commerce (FEDCOC) and the Egyptian Real Estate Council to participate in the implementation of social housing projects.

“The main features of these new bodies are that real estate developers obtain plots of land to be divided into two parts, a part for middle-income housing units with areas ranging from 90 to 150 sqm. The other is for social housing units. Furthermore, specifying price limits are set for social housing units, and that its customers are financed through banks backed by the fund in all forms of support offered by the MFF, which includes cash subsidy, and interest rate subsidy according to the income level,” Abdel Hamid added.

The minister of housing stressed the need for developers to review the conditions proposed by them, so that the price limits are suitable for low-income people, and the duration of implementation of social housing projects is three years, explaining that the prices of land which will be specified for middle-income housing will be determined by the pricing committees separately in each city.

The developers will have to sell social housing units to citizens that are eligible for social housing programme terms, which is periodically reviewed according to inflation rates, unit prices, and income levels, Abdel Hamid said.

She added that the MFF determines the value of cash subsidy and interest rate, in coordination with the Central Bank of Egypt (CBE), and financier banks for beneficiaries.

On 30 May, the CBE has allocated EGP 50bn to finance persons and middle-income people to purchase housing units with mortgage finance in support of the real estate sector and in response to demands of developers.

Moreover, last month, representatives from the World Bank (WB) and the ministry of housing as well as real estate developers met to discuss the possibility of the private sector’s participation in middle-income and social-housing projects.

Additionally, the WB has approved $500m for the building of 125,000 units by the ministry of housing within five years.

Tarek Shokry, head of the Real Estate Development Chamber at the FEI, said that the CBE’s initiative meets the demands of middle-income people to own a unit with a reasonable payment plan and will participate in solving the country’s housing problems.

Shokry pointed out that middle-income housing is witnessing a great demand by customers, but the high price of land prevents the participation of developers in developing these projects and that the provision of land through the ministry of housing in return for a share of units can be implemented by companies.

Moreover, a member of the construction committee at the Egyptian Businessmen Association and First Group’s Chairperson, Bashir Mostafa, said that the CBE’s initiative to provide mortgage finance for middle-income people will help solve a major crisis in the sector, namely, providing liquidity and supporting the expansion of companies in many projects.

Furthermore, it will have a positive impact on the national economy in general through the increase of GDP and provide more job opportunities in line with the state plans in order to achieve comprehensive development, he pointed out, noting that the market is still waiting for the features of the initiative and the mechanisms to implement it.

Mostafa suggested that the appropriate price for mortgage financing ceiling of a unit is EGP 2m as an acceptable limit for middle-income units, especially with the recent increases to suit the purchasing power of this category.

He highlighted that there is a crisis facing clients, namely instalment with real estate developers for 7 or 8 years, however with banks the duration of the funding will be longer and will be more favourable to the client and less pressure on their budget in general.

Deputy Chairperson of the Real Estate Investment Division, Hisham Shoukry, said that the price of land is being studied through which the price ceiling of low-income units will be determined.
Shoukry pointed out that the housing units will be implemented in areas of 80 sqm, meanwhile, middle-income housing units’ size range between 90 to 150 sqm.

Amgad Hassanein, board member of the Real Estate Development Chamber, said that the idea of participating with the government in such projects is based on the allocation of land by the ministry of housing to companies in return for a share to be allocated for the ministry in exchange for exploiting the rest of the area in the development of middle-income housing units to be marketed by companies.

Hassanein pointed out that in the event of a consensus on a mechanism for participation which will be available to companies operating in the sector, as long as it has previous experiences in implementing projects, then they will start the initiative.

The post Real estate developers aim to participate in state’s social, middle-income housing appeared first on Daily News Egypt.

]]>
Progate, Memar El Fouad inks EGP 2.5bn contract to develop Zavani project in NAC https://eklutdvotyzsri.dailynewssegypt.com/2019/06/03/progate-memar-el-fouad-inks-egp-2-5bn-contract-to-develop-zavani-project-in-nac/ Mon, 03 Jun 2019 13:00:41 +0000 https://www.dailynewsegypt.com/?p=699823 The project is located in the R7 diplomatic area overlooking the main road, and will offer 1,376 housing units varied between luxury apartments, duplexes, and penthouses with areas ranging from 122 sqm to 366 sqm. Fahmy noted that the company plans to begin project delivery in 2023.

The post Progate, Memar El Fouad inks EGP 2.5bn contract to develop Zavani project in NAC appeared first on Daily News Egypt.

]]>
Progate Development has signed a strategic partnership contract worth EGP 2.5bn with Memar El Fouad, a subsidiary of Al Fouad Holding Group, to develop the Zavani project in the New Administrative Capital (NAC), during the company’s sohoor on Saturday, Mohab Fahmy, the chairperson of the company, said.

Fahmy added that the project is being developed on 33 feddan in the diplomatic district and includes a variety of residential units, creating a mix of originality and modernity. The project is located in the R7 diplomatic area overlooking the main road, and will offer 1,376 housing units varied between luxury apartments, duplexes, and penthouses with areas ranging from 122 sqm to 366 sqm. Fahmy noted that the company plans to begin project delivery in 2023.

For his part, Fouad Abaza, chairperson of Al Fouad Holding Group, said that the group has extensive experience in many important economic sectors and has been working in the market since 1996 in sectors including gas, iron and steel factories, wheat silos, mills, agriculture, and international Al Fouad schools in Sharqeya, Sohag, and soon in the NAC.

Abaza added that the two companies will have other future projects in the real estate sector.

The post Progate, Memar El Fouad inks EGP 2.5bn contract to develop Zavani project in NAC appeared first on Daily News Egypt.

]]>
Inertia’s real estate inventory reaches EGP100bn https://eklutdvotyzsri.dailynewssegypt.com/2019/06/03/inertias-real-estate-inventory-reaches-egp100bn/ Mon, 03 Jun 2019 12:30:04 +0000 https://www.dailynewsegypt.com/?p=699820 Company's land bank worth more than 7.5m sqm

The post Inertia’s real estate inventory reaches EGP100bn appeared first on Daily News Egypt.

]]>
Inertia, the Egyptian real estate company, announced that the total inventory figure, reaching around EGP 100bn as well as their total land bank of more than 7.5m sqm, according to CEO Ahmed El Adawy.

El Adawy noted that the company is developing a large project on the North Coast, called Jefaira. An all year-round beach town on the Mediterranean Sea, with an area of 5.5m sqm, noting, “Residents of Jefaira will enjoy one of the longest beachfronts in the North Coast measuring 3.6 km, in addition to beautiful landscapes and vast green spaces. Moreover, Inertia has acquired all the necessary permits for this project.

Furthermore, El Adawy revealed that two new developments in Ain Sokhna and New Cairo are to be launched in the near future.

He also highlighted the significance of Inertia developing diverse real estate projects, offering a variety of units which suit different tastes and needs. Moreover, Inertia has numerous projects spread over a wide geographical area throughout Egypt in Cairo, Sahl Hasheesh, El-Gouna, the North Coast, and soon to be in Ain Sokhna and New Cairo.

The post Inertia’s real estate inventory reaches EGP100bn appeared first on Daily News Egypt.

]]>
City Edge signs EGP 1.6bn worth of construction contracts for 2 projects https://eklutdvotyzsri.dailynewssegypt.com/2019/06/03/city-edge-signs-egp-1-6bn-worth-of-construction-contracts-for-2-projects/ Mon, 03 Jun 2019 12:00:18 +0000 https://www.dailynewsegypt.com/?p=699817 During the company's press conference on Wednesday, Amr El Kady, CEO of City Edge said that the first contract was signed with ASGC Group for EGP1.4bn for the Etapa Square project except for the hotel part of the project, which is being implemented until 2022.

The post City Edge signs EGP 1.6bn worth of construction contracts for 2 projects appeared first on Daily News Egypt.

]]>
City Edge Developments signed two contract contracts for Etapa and Etapa Square projects worth approximately EGP 1.6bn.

During the company’s press conference on Wednesday, Amr El Kady, CEO of City Edge said that the first contract was signed with ASGC Group for EGP1.4bn for the Etapa Square project except for the hotel part of the project, which is being implemented until 2022.

El Kady added that the Etapa Square project is a mixed-use project on 14 feddan and includes a hotel, administrative and commercial units with a total investment of EGP 3bn with expected revenues EGP 13bn.

Bishoy Azmi, CEO of ASGC, said that his company is carrying out the construction and finishing work of the Etapa Square buildings, along with infrastructure and landscaping works.

Azmi told Daily News Egypt that the total value of construction contracts signed by his company in the Egyptian market is currently EGP 20bn, noting that 65% of the company’s business is in Egypt.

El Kady pointed out that the second contract worth EGP 175m was signed with Redcon Spain, a subsidiary of Redcon Construction, for the construction works of Etapa, an integrated housing project in Sheikh Zayed, covering 77 feddan with a total investment of EGP 2bn.

He added that the project delivery is planned to begin in 2021.

El Kady revealed that the company has achieved contractual sales worth EGP 1.3bn out of EGP 3bn of the total expected sales.

Furthermore, he added that 50% of the project has been marketed, representing two phases of the project. The marketing of the third phase of the project has been begun, with the first deliveries starting in 2021.

Moreover, he explained that the Etapa is a residential integrated project in Sheikh Zayed located on an area of 77 feddan with a total investment of EGP 2bn.

The company is negotiating with two chains to manage the hotel within the project, Etapa Square, and it is to be selected before the end of this year, El Kady pointed out, indicating that they are trademarks located in the local market.

The post City Edge signs EGP 1.6bn worth of construction contracts for 2 projects appeared first on Daily News Egypt.

]]>
Edge Holding achieved EGP 500m in sales of OIA project H1 2019 https://eklutdvotyzsri.dailynewssegypt.com/2019/06/03/edge-holding-achieved-egp-500m-in-sales-of-oia-project-h1-2019/ Mon, 03 Jun 2019 11:30:02 +0000 https://www.dailynewsegypt.com/?p=699813 The OIA project is spread over 30 feddan in the NAC, composed of only 20% of building areas, which include 1,300 units.

The post Edge Holding achieved EGP 500m in sales of OIA project H1 2019 appeared first on Daily News Egypt.

]]>
Edge Holding has achieved EGP 500m in sales of the residential part of the OIA project in the New Administrative Capital (NAC) in the first half (H1) of 2019.

During the company’s sohoor on Sunday, Nader Bader, vice chairperson of Edge Holding for the Commercial Sector said that the company has begun construction work in the OIA project, revealing that the company has recorded EGP1.67bn in sales of the residential part of the project since its launch.

Badr disclosed that the company has allocated EGP 80m for the marketing plan during 2019.

Additionally, Badr explained that the company has begun construction work of about 15 buildings in the project and aims to complete them this year out of 39 buildings and the project delivery is to be within 4 years.

The OIA project is spread over 30 feddan in the NAC, composed of only 20% of building areas, which include 1,300 units.

He elaborated that the company provides flexible payment plans reaching eight years with a 10% down-payment.

Bader also added that 40% of the company’s sales to Egyptians expatriates are mostly the result of exhibitions in which the company participated abroad and amounted to about $180m since the beginning of 2019.

He revealed that the company has marketed 25% of the commercial part of the project on an area of 14,500 sqm.

Furthermore, he elaborated that the competition in the NAC intensified with the entry of more than one developer and the company was strongly operating in the Capital because it is one of the first companies that received land and ministerial approval for the project development in R7 area in the New Capital.

The company hiked its prices by about 35% from the first offering of units until the last price, which started at EGP 8,800 as the lowest price per square metre and reached EGP 11,000, which is also currently the lowest price and there is still a demand by customers to buy in the capital.

Edge Holding is owned by Egyptian-Saudi investment companies, with the Egyptian investor being Al-Boroj Construction and the Saudi side is Wallan Group and Al Mashariq Trading and Contracting company.

The post Edge Holding achieved EGP 500m in sales of OIA project H1 2019 appeared first on Daily News Egypt.

]]>
Misr Italia achieves EGP 2bn in sales of its projects in 5 months https://eklutdvotyzsri.dailynewssegypt.com/2019/06/03/misr-italia-achieves-egp-2bn-in-sales-of-its-projects-in-5-months/ Mon, 03 Jun 2019 11:00:21 +0000 https://www.dailynewsegypt.com/?p=699809 Company paying land instalments worth EGP 900m to ACUD during 2019, says Co-CEO

The post Misr Italia achieves EGP 2bn in sales of its projects in 5 months appeared first on Daily News Egypt.

]]>
Misr Italia Properties targets achieving EGP 5.5bn in sales of its projects in the current year, compared to EGP 4.7bn last year, Mohamed Hany Al Assal, Co-CEO of the company told Daily News Egypt.

Al Assal said that the company has achieved EGP 2bn in sales of the Misr Italia Properties’s projects within the first five months of the current year. Furthermore, it plans to direct EGP 2.4bn in investments in the company’s projects during the current year out of which EGP 1bn will be directed to the IL Bosco project construction works in the New Administrative Capital (NAC).

Furthermore, Al Assal noted that the company has contracted with 10 new contracting companies to complete the project, pointing out that approximately 85% of the concrete works of the villas has been carried out.

Misr Italia Properties is developing 2,000 housing units, he added, revealing that EGP 250m has been directed for the project construction in the current year.

IL Bosco is located in the NAC on 200 feddan and is worth EGP 16bn in investments and it has acquired the ministerial approval for its implementation. The company has begun the project’s construction works.

Additionally, he pointed out that the company is launching a new phase within the IL Bosco project during the second half of this year, adding that the company will begin its promotional campaign this month in preparation for marketing a different and new philosophy within the project, which requires promotion before marketing the units.

“Five contracting companies have been contracted to build the Vinci project in the NAC, which is the company’s second projects in the Capital. It includes a variety of units comprising of villas, twin houses, and townhouses, with a built-up area of 17% of the total area of the project, while 83% of its space will be open and green areas,” he elaborated.

The Vinci project is located on an area of 110 feddan, with a land value of EGP 6.17bn, while the project’s initial investment cost reached approximately EGP 9bn.

Moreover, he explained that the company has begun the project’s earthwork and is expected to obtain the ministerial approval for the project development in June, revealing that the company will begin the construction works after obtaining the necessary licenses.

The company is paying land instalments worth EGP 900m to the Administrative Capital for Urban Development (ACUD) during 2019, and Misr Italia Properties has paid EGP 500m out of the land value of the Vinci project, in addition to the fact that the company paid EGP 400m of the land value of the IL Bosco project.

He revealed that bank financing does not exceed 10% of the company’s financial plan. The company also has loans worth EGP 400m. The company is negotiating with National Bank of Egypt, the Commercial International Bank, and EG Bank for a new loan to finance its projects in the coming period, he disclosed, noting that the company is ready to offer its shares in the Egyptian Exchange, but is waiting for more stability in the performance of the capital market.

Egypt is planning to invest in real estate to open the commercial mall La Nuova Vista Mall in the Fifth Settlement, New Cairo, in November, 60% of which has been leased.

The post Misr Italia achieves EGP 2bn in sales of its projects in 5 months appeared first on Daily News Egypt.

]]>
Better Home completes concrete works of Midtown Villa in NAC https://eklutdvotyzsri.dailynewssegypt.com/2019/05/29/better-home-completes-concrete-works-of-midtown-villa-in-nac/ Wed, 29 May 2019 20:26:45 +0000 https://www.dailynewsegypt.com/?p=699546 Company intends to expand in NAC with more residential, commercial projects, says general manager

The post Better Home completes concrete works of Midtown Villa in NAC appeared first on Daily News Egypt.

]]>
Better Home, the first real estate developer in the New Administrative Capital (NAC), announced the completion of the concrete works of Midtown Villa project within only six months. The company also aims to complete all external finishings of the project in the coming period, according to Ashraf Adel, the company’s general manager.

During a journalists’ tour in the project on Tuesday, Adel pointed out that the Midtown Villa was the first project to obtain a ministerial approval in the NAC, explaining that the project’s built up area is only 20% of project area comprising of 390 villas with spaces ranging between 350 and 500 sqm.

He elaborated that the project was sold out within one month since its launch, noting that the achievement by the project on the ground is in line with the unprecedented achievements that are taking place in the NAC, which confirms the keenness of the state regarding the success of this giant national project.

Additionally, he noted that the current great demand by real estate developers to seize an investment opportunity in the NAC emphasises the success of the company’s vision, which relies on the use of experience in the construction of new cities.

He explained, “The company believes in the importance of the feasibility of investing in this giant urban project, which will bring a great civilizational transition to Egypt by creating many opportunities for housing and providing a smart life that keeps pace with continuous technological progress.”

Midtown Villa spans over 60 feddan close to exhibition grounds, AlMasa Capital, Central Garden, Cathedral and Green River, where it is designed with the latest engineering designs.

The general manager disclosed that the company intends to expand in the NAC with more residential and commercial projects in the coming period to be announced soon.

The company has recently launched Midtown Sky, stretching over 122 feddan in R7, and includes standalone villas, twin houses, townhouses, apartments, as well as commercial units, where prices start from EGP 1m, Adel pointed out, noting that 50% of the units of the project are apartments of different sizes starts from 90 sqm, and 50% are villas.

Additionally, the company owns the Midtown Solo project on 66 feddan in R7, comprising of standalone villas with various spaces and prices. In addition, Midtown Condo, which is the third project for the Better Home Group in the NAC, and spans over 60 feddan in R7, close to embassies district in the NAC, encompasses apartments only.

The post Better Home completes concrete works of Midtown Villa in NAC appeared first on Daily News Egypt.

]]>
IWAN launches 2 projects in Ain Sokhna, New Cairo https://eklutdvotyzsri.dailynewssegypt.com/2019/05/27/iwan-launches-2-projects-in-ain-sokhna-new-cairo/ Mon, 27 May 2019 14:00:18 +0000 https://www.dailynewsegypt.com/?p=699192 Company has achieved EGP 4bn in sales during 2018, says CEO

The post IWAN launches 2 projects in Ain Sokhna, New Cairo appeared first on Daily News Egypt.

]]>
IWAN Developments announced the launch of two new projects this year in both New Cairo and Ain Sokhna after the lands were allocated to the company in these two regions in February 2019, according to CEO of the company Waleed Mokhtar.

During a sohour on Wednesday, Mokhtar said that the company has achieved EGP 4bn in sales during 2018, driven by the launch of new phases in the existing company projects, and the activity of the market during the past year.

Mokhtar noted that the company has successfully implemented seven integrated residential projects since its presence in the market 15 years ago on a total area of 886,000 sqm, most notably Jeera, Jewar, and Atrio in addition to the latest projects dubbed Axis.

“IWAN has been able to consolidate its market position in the Sixth of October City and Sheikh Zayed, and the time is right to replicate our pioneering development experience,” he pointed out.

In July 2018, the company acquired two plots of land, in partnership with the New Urban Communities Authority. The first was an extension to Sheikh Zayed, in the Sixth of October City on 1,000 feddan, and the second was on 104 feddan in the Fifth Settlement, New Cairo City.

    

The post IWAN launches 2 projects in Ain Sokhna, New Cairo appeared first on Daily News Egypt.

]]>
Arkan Palm contracts with Gensler to develop 205-feddan project’s masterplan https://eklutdvotyzsri.dailynewssegypt.com/2019/05/27/arkan-palm-contracts-with-gensler-to-develop-205-feddan-projects-masterplan/ Mon, 27 May 2019 13:30:51 +0000 https://www.dailynewsegypt.com/?p=699186 Project's investments worth EGP 59bn, says Badr El-Din

The post Arkan Palm contracts with Gensler to develop 205-feddan project’s masterplan appeared first on Daily News Egypt.

]]>
Arkan Palm for Real Estate Investment has signed a contract with Gensler, a global design and architecture firm, to develop designs and a detailed masterplan of its 205-feddan project in Sheikh Zayed City, which is being implemented in partnership with the New Urban Communities Authority (NUCA).

In late March, Arkan Palm signed an agreement with the NUCA for the construction of an integrated commercial, administrative, medical, and recreational complex.

The project will be located on the 26th of July Axis in Sheikh Zayed City, with investments worth EGP 59bn, and is expected to create 57,000 jobs and accommodates160,000 families.

CEO of Arkan Palm for Real Estate Investment, Mamdouh Badr El-Din, said in press statement on Wednesday that the company has chosen Gensler because of its previous track record and international expertise and because the firm has developed designs for major real estate projects in various countries in the world and in Egypt.

Badr El-Din added that the office will finish the designs and masterplan of the project within 20 weeks, after that the company will apply to obtain ministerial approval for the project development and licenses and then will begin construction immediately.

He explained that the project encompasses mixed uses between residential towers and independent units, as well as commercial, administrative, medical units, in addition to a hotel and entertainment areas, located in a privileged location next to the Nile University and directly overlooking the axis of 26 July.

The post Arkan Palm contracts with Gensler to develop 205-feddan project’s masterplan appeared first on Daily News Egypt.

]]>
Akam launches 3rd phase of Scenario compound https://eklutdvotyzsri.dailynewssegypt.com/2019/05/27/akam-launches-3rd-phase-of-scenario-compound/ Mon, 27 May 2019 13:00:24 +0000 https://www.dailynewsegypt.com/?p=699183 Amer revealed that the company plans to inject EGP 300m in investments in the third phase of ClubView that will comprise of units with sizes ranging between 132-452 sqm.

The post Akam launches 3rd phase of Scenario compound appeared first on Daily News Egypt.

]]>
Akam Developments announced the launch of the third phase of its Scenario compound, located in the New Administrative Capital dubbed ClubView.

Mohamed Amer, Akam’s sales director said, “The announcement of the third phase launch of ‘Scenario’ reflects the major success we achieved with our partners along the past period. The New Capital represents a new era in the urban development; Akam takes the initiative to design projects mainly capitalising on this opportunity, by building optimised communities to maintain the living standards of our clients.”

Amer revealed that the company plans to inject EGP 300m in investments in the third phase of ClubView that will comprise of units with sizes ranging between 132-452 sqm.

“We are also currently working on expanding our market reach by opening company branches in the Kingdom of Saudi Arabia,” said Edrees Mohamed, CCO of Akam.

Akam’s total investment in the Scenario project that extends over an area of 39 feddan exceeds EGP 5bn. The Scenario project comprises of services which include a clubhouse; a central kitchen; a central service area; swimming pools; an amphitheatre; a roof gym; a roof garden; a roof pool; a relaxation area; kids swimming pool; a commercial area; 24/7 security, and health care services.

Akam was established by four major entities: Residence Real Estate Development, one of the top leading merging developers in Egypt; Benyat Egypt which has a strong track record in the development sector in Egypt; Al-Muhaid Group, an engineering consulting firm in the Middle East, and Al-Faisal company for real estate developments.

The post Akam launches 3rd phase of Scenario compound appeared first on Daily News Egypt.

]]>
Albostany markets 50% of medical centre with EGP 250m investments https://eklutdvotyzsri.dailynewssegypt.com/2019/05/27/albostany-markets-50-of-medical-centre-with-egp-250m-investments/ Mon, 27 May 2019 12:38:06 +0000 https://www.dailynewsegypt.com/?p=699182 Launching residential, administrative project in Degla Maadi area soon

The post Albostany markets 50% of medical centre with EGP 250m investments appeared first on Daily News Egypt.

]]>
Mohamed Albostany, chairperson of Albostany for Real Estate Development and Onyx Developments said that the company has completed the marketing of 50% of medical centre project with investments estimated at EGP 250m.

During the company’s iftar on Thursday, Albostany pointed out that the company has implemented more than 70% of the project.

Albostany added that the company will direct EGP 150m to complete the project construction and it is scheduled to be completed by the end of this year.

He explained that the project is being developed in a privileged location in the Fifth Settlement, New Cairo, and near Al-Rehab city, and comprises of medical clinics, radiation centres, and analytical laboratories, as well as administrative units.

Furthermore, he noted that said that the company has begun to implement a number of its projects in Beit El Watan area, New Cairo, and launched eight housing projects with investments of EGP 150m, pointing out that 60% of these projects have been marketed and are scheduled to be completed by the end of this year.

The company is implementing six new residential projects in New Al Nargis area, New Cairo, includes luxury housing with investments worth EGP 90m, he revealed, and elaborated that the company has marketed 30% of the project units and it will be completed during the current year.

Additionally, he disclosed that the company plans to launch a new residential and administrative project in the Degla Maadi region, with investments worth approximately EGP 200m, noting that it is scheduled to be marketed during the second half of the current year.

He expected a 10% price increase in the real estate sector during the third quarter of 2019.

Moreover, he pointed out that in 2020 the market will witness a state of stability as a result of the stability of the political and economic situation in Egypt, adding that there is great momentum in real estate market, as a result of a package of projects that have been offered by the state, especially fourth generation cities, namely the New Administrative Capital, New Alamein, and New Mansoura.

The post Albostany markets 50% of medical centre with EGP 250m investments appeared first on Daily News Egypt.

]]>
DOJA markets 50% of Aurora project within nine months https://eklutdvotyzsri.dailynewssegypt.com/2019/05/27/doja-markets-50-of-aurora-project-within-nine-months/ Mon, 27 May 2019 12:09:45 +0000 https://www.dailynewsegypt.com/?p=699176 Company plans to deliver project in May 2022, says sales manager

The post DOJA markets 50% of Aurora project within nine months appeared first on Daily News Egypt.

]]>
DOJA Developments implements the first administrative, medical and commercial project on 6,300 sqm in the New Administrative Capital (NAC) on the Al Amal axis, the main entrance of the NAC.

During an iftar on Wednesday, the company announced the official launch of the Aurora project.

Daily News Egypt interviewed the project’s officers and its designer Eslam Khater, sales manager of Doja Developments, Mostafa Anbar, engineering director at the company, Raef Fahmi Architects- RFA founder Raef Fahmy, and Tamer Mostafa Mito, chairperson of Mito Consult, to know Aurora project’s details, the transcript for which is below, lightly edited for clarity:

Please tell us more about the Aurora project.

Khater: The project includes commercial, administrative, and clinic units in MU23, which is located on the main entrance of the NAC and close to central business district (CBD) that will comprise of skyscrapers, as well as its proximity to the Green River area.

The project is built up area on 30% of the total project’s space which encompasses two basements, a ground floor, nine floors, and a roof. Additionally, we deliver the project fully-finished with a payment plan over six years and a 10% down-payment.

Moreover, we designed a distinctive project to attract multinational companies, restaurants, and international medical centres.

The project comprises of commercial shops, cafes, and restaurants in the ground and first floors which will be leased not for selling but to preserve the community and attract class A residents and maintain that level. Furthermore, the third to the sixth floors will be allocated for medical units and the seventh to the ninth floor will be administrative units.

Who will manage the project after operation?

Khater: We are still negotiating with several international operators to manage the project.

Why did the company decide to launch such a commercial project?

Khater: The market orientation and potentiality are toward investing in the NAC, and the return on commercial investment is equivalent to three or four times the return on other activities, whether in leasing or resale. Additionally, we expect a growing demand for commercial units in the coming period in the NAC.

The project is very close to the CBD and inside MU23 which contains 50,000 fully-finished residential units will be delivered in 2019 and early 2020 that guarantee that the area will be vital and inhabited soon. Moreover, transferring the governmental agencies and ministries will boost commercial and administrative units’ sales for companies that have daily deals with these ministries and agencies.

What is the project’s marketing situation?

Khater: We have managed to market about 50% of the project since its launch in July 2018.

When will the company complete the Aurora marketing?

Khater: We plan to complete the project marketing by the end of 2020. 

What are the units’ sizes? And what is the price of a square metre in the project?

Khater: commercial and administrative units start from 45 sqm to 180sqm, and smart clinics have sizes starting from 28 sqm to 1,900 sqm.

For medical and administrative units, the price of a square metre starts from EGP 36,750 and commercial square metre starts from EGP 50,000 in the second floor.

When will the company deliver the project?

Khater: The project delivery will be within three years in May 2022.

What is the construction situation of the project?

Anbar: We have begun earthworks and will begin the construction after two months.

What is the value of investments to be directed toward the project’s construction?

Anbar: We will direct EGP 40m to EGP 60m in construction works.

What is the total project’s investments?

Khater: Aurora’s total investments is worth EGP 1.2bn.

What is the value of targeted sales in 2019?

Khater: The company plans to achieve EGP 200m in sales by the end of the current year.

What distinguishes the project?

Raef Fahmy: The Aurora project’s design is characterised by its distinctive location from several angles as we considered the availability of areas to be used and our keenness in the administrative buildings to have an outdoors, bridges, and balconies area.

The clients will enjoy the design, approach, and location and its interior design is simple and comfortable. Moreover, the building itself is simple although it is a small area but it includes all needed services and its internal space is flexible.

In this project, we insisted on applying socio-economic sustainability, which means flexibility in changing the unit activity according to market needs, which is not easy to adopt in any design but our office has adopted that for six years now.

Is your role designing the project only or designing and supervising?

We supervise the project implementation and follow-up on all phases of implementation until we deliver the project to the client.

What is the role of Mito Consult in Aurora project?

Mito: As a group of engineers and professionals, we contribute to the world of design. We adopt a policy of nurturing innovative ideas that exhibit high standards of professional skills.

In the Aurora project we design plumbing systems for all building types, design firefighting systems for all building types, design water supply, irrigation systems, sanitary drainage networks, pump stations, storage tanks, water, and sewage treatment plants.

    

The post DOJA markets 50% of Aurora project within nine months appeared first on Daily News Egypt.

]]>
SODIC to pay EGP 1.2bn of outstanding land dues in 2019 https://eklutdvotyzsri.dailynewssegypt.com/2019/05/22/sodic-to-pay-egp-1-2bn-of-outstanding-land-dues-in-2019/ Wed, 22 May 2019 08:00:16 +0000 https://www.dailynewsegypt.com/?p=698765 Company plans to offer second phase of Malaaz North Coast project in July, says managing director

The post SODIC to pay EGP 1.2bn of outstanding land dues in 2019 appeared first on Daily News Egypt.

]]>
Six of October Development and Investment (SODIC) allocated EGP 1.2bn for the company’s projected payments in 2019, the Managing Director and board member of SODIC, Maged Sherif, told Daily News Egypt.

The company plans to direct EGP 3.7bn for the construction of the company’s projects in 2019, aside of the land costs, Sherif noted during SODIC’s annual Iftar (Fast breaking meal in Ramadan) held on Monday.

He revealed that SODIC has managed to sell 90% of the Allegria Residence Compound’s first phase which has been offered in Cityscape-Egypt exhibition in March.

He noted that the company plans to launch a second phase of the project during the second half (H2) of this year.

Furthermore, he added that the company plans to offer the second phase of the Malaaz project in the North Coast in July.

“The most prominent projects that have joined the company’s plan recently are 500-feddan co-developed project with the New Urban Communities Authority in Sheikh Zayed extensions, which is a mixed-use development comprised of 5,000 units with total expected sales worth EGP 43bn, in addition to a new  150-feddan project in Al-Yusr land in the Sheikh Zayed city expansions,” he explained. “Moreover, the company has launched one of administrative buildings in EDNC, a dynamic office and retail complex located in New Cairo in the Eastown Residences project.”

He added that the company’s investment plan includes pumping investments worth EGP 3.7bn in the company’s projects during the current year and does not include the instalments of the land due this year.

Regarding the decrease in net profits in first quarter (Q1) of 2019, compared to Q1 of 2018, Sherif commented that the company has sold a plot of land with amounted to EGP 150m in Q1 of 2018, which causes a high growth margin in that quarter compared to Q1 of 2019, additionally in Q1 of this year, the company delivered units in the Villette project in New Cairo, which its profit margin is lower than the launch.   

He unveiled that the company is searching for efficient international operators in the field of education in schools and universities and entertainment for the company’s project development.

Furthermore, he stressed the importance of participating in external exhibitions to market the company’s projects whether for Egyptian expatiates or for non-Egyptian customers, where the percentage of Egyptians expatiates sales reaches 8 or 10% of the total company’s sales.  Therefore, the company is carefully studying and selecting the foreign exhibitions that the company plans to participate in, during the coming period.

“We are participating in exhibitions in the Gulf region, such as Dubai, Abu Dhabi, Bahrain, and Saudi Arabia. We are also studying participating in exhibitions in Europe, America, and Canada as part of the expansion of sales to foreign customers, not just Arabs and Egyptians,” Sherif said.

He pointed out that resolving the problem of high prices of lands in the local market is a strong basis for controlling market prices.

The land acquires a large percentage of the total projects’ cost, which means high unit costs and sales prices and consequently a lack of access to the target customer whose purchasing power is still stable.

Furthermore, he highlighted that Egypt’s real estate market is witnessing the launch of a huge package of new cities and national megaprojects which achieve integrated development, but need to cooperate with developers in the implementation of these plans. Moreover, they need to conduct direct dialogue and periodic meetings to discuss ways for developers to participate in the implementation of these development plans, as well as the need to expand the marketing of these investment opportunities abroad.

The company is considering and looking for new investment opportunities and once it finds the suitable opportunities, it will immediately seize it.

The company has recorded revenues of EGP 941m during Q1of 2019, growing by 84% compared to EGP 512m recorded for the same period last year, the company announced on Sunday.

The strong growth in revenues was mainly driven by Villette which contributed to around 50% of the delivered value.

Furthermore, gross profits were recorded at EGP 270m, with a gross profit margin of 29%, compared to EGP 266m recorded during the same period last year, reflecting a margin of 52%.

The post SODIC to pay EGP 1.2bn of outstanding land dues in 2019 appeared first on Daily News Egypt.

]]>
SODIC’s advance cheques for real estate projects reach EGP 11.4bn https://eklutdvotyzsri.dailynewssegypt.com/2019/05/21/sodics-advance-cheques-for-real-estate-projects-reach-egp-4bn/ Tue, 21 May 2019 19:17:13 +0000 https://www.dailynewsegypt.com/?p=698735 Company disburses EGP 1.8bn out of EGP 3.2bn worth credit facilities

The post SODIC’s advance cheques for real estate projects reach EGP 11.4bn appeared first on Daily News Egypt.

]]>
Six of October Development and Investment (SODIC) has advance cheques worth EGP 11.4bn that have not yet been encashed, according to the company’s Managing Director and board member, Maged Sherif.

The company obtains advance payments and cheques covers for the full sales value in advance and before the delivery of units to customers.

Sherif told Daily News Egypt that the company has a strong financial solvency, liquidity, and credit facilities that are not fully utilized, thus SODIC does not need securitisation and avoids such an activity due to its high cost.

“We do not plan to launch a mortgage finance company currently, especially in light of banks’ high interest rate,” Sherif added, noting that his company is studying some innovative mechanisms and payment facilitations for customers wishing to buy any unit of SODIC’s projects.

SODIC has disbursed EGP 1.8bn of the total amount of credit facilities, amounting to EGP 3.2bn, according to Sherif.

“We are in the period of disbursement of these amounts of money and there are timetables for the repayment period of each loan and facility, and we use a large part of the credit facilities this year because we started construction in the current year,” Sherif said.

The company’s total land bank is 7m sqm. The company expects to achieve future sales of more than EGP 150bn over 10 years, he elaborated, pointing out that the company will also consider any strong and serious investment opportunity to appear in the market at any time in order to expand and diversify its projects’ portfolio.

The post SODIC’s advance cheques for real estate projects reach EGP 11.4bn appeared first on Daily News Egypt.

]]>
Royal aims to achieve EGP 250m in sales of its projects during 2019 https://eklutdvotyzsri.dailynewssegypt.com/2019/05/20/royal-aims-to-achieve-egp-250m-in-sales-of-its-projects-during-2019/ Mon, 20 May 2019 11:54:06 +0000 https://www.dailynewsegypt.com/?p=698540 Company will deliver 8 residential buildings during current year

The post Royal aims to achieve EGP 250m in sales of its projects during 2019 appeared first on Daily News Egypt.

]]>
Royal for Real Estate Development aims to achieve sales worth EGP 250m of its projects during the current year.

The CEO of Royal for Real Estate Development, Sherif Shaalan, said that the company is carrying out a number of projects in the Fifth Settlement area in New Cairo.

Shaalan added that Royal for Real Estate Development has been operating in the market for about 12 years, during which it was able to execute and deliver more than 45 projects, comprised of separate buildings that are implemented and delivered according to the company’s contracts with its clients, with the required quality, luxury and finishing. Moreover, the company also provides after sale integrated service management.

Furthermore, Shaalan stated that the company will deliver eight residential buildings during the current year in El-Andalus and Lotus districts in New Cairo City.

Additionally, he elaborated that the company also offers various payment systems including seven different payment systems and an instalment period of seven years without interest.

He pointed out that 10 residential projects are being developed with a total investment cost of EGP 150m, noting that these projects’ delivery will begin this year and the rest will continue throughout the course of next year.

The company succeeded in delivering more than one project during the current year, which reflects the credibility and commitment in dates of implementation and delivery, in addition to maintaining the quality of the real estate product provided to customers,” Shaalan highlighted.

In addition, he stressed the strength of Egypt’s real estate market as it is based on a real demand supported by the population growth of various residential segments, especially middle-income people, which is the largest market segment in real estate sector.

Real estate sales are stable during the first quarter of the current year, he added, denying any deceleration in the market.

Additionally, Shaalan explained that the most important problems facing medium-sized companies are the lack of offered land to these companies by the state, represented by the ministry of housing, and called for the need to provide land at affordable prices in order to support these companies’ businesses, which play a strong role in solving the housing crisis for a large segment of customers in the market.

Furthermore, he stressed the importance of the development which is currently being undertaken by the state in a large number of cities and new urban communities, namely New Alamein, the New Administrative Capital, and New Mansoura, which include huge investment opportunities for all companies operating in the real estate market.

The post Royal aims to achieve EGP 250m in sales of its projects during 2019 appeared first on Daily News Egypt.

]]>
Mariout Hills invests EGP 162m in first city for sports medicine https://eklutdvotyzsri.dailynewssegypt.com/2019/05/20/mariout-hills-invests-egp-162m-in-first-city-for-sports-medicine/ Mon, 20 May 2019 11:50:06 +0000 https://www.dailynewsegypt.com/?p=698543 City will receive about 18,000 athletes annually

The post Mariout Hills invests EGP 162m in first city for sports medicine appeared first on Daily News Egypt.

]]>
Mariout Hills Development, specialised in the establishment of sustainable cities, is preparing to establish the first sports medicine city in its sustainable city project in the North Coast with a total investment of EGP 162m.

Ahmed Hassan, chairperson of Mariout Hills, said that the sports medicine city will include the largest international centre for sports camps in the Middle East, as well as units and centres to discover and qualify talents in all individual and group games.

Hassan noted that the city will be inaugurated within two years.

“The sports centre will be ready to receive three football teams at a time, with a capacity of 100 people per day, and provide the most modern means of preparation, physical equipment, hospitalisation, rehabilitation, and specialised medical treatment. The city is characterised by a decreased carbon footprint in order to be the perfect place to host athletes,” Hassan said.

Furthermore, Hassan predicted that the sports medicine city will receive about 18,000 athletes annually from Africa and northern Europe, and plans to include an accredited centre of international associations for the detection of steroids.

On the other hand, the sports medicine city will comprise of two specialised centres. The first will specialise in the treatment of stadium injuries, knee and spine and physical rehabilitation, and women’s care and beauty, and it will be called Nefertiti. The second centre will be dedicated toward caring for senior citizens and the hospitalisation for the treatment of aging diseases, and psychological rehabilitation as well as special units for Alzheimer cases, he pointed out.

Furthermore, Hassan elaborated that the sports camps are part of the eco-development Ecocity project, located on an area of 200 feddan in Alamein City, and contains a community which combines housing and accommodation, tourism and health services, educational, medical and recreational services, and sports investment. It is located in the northern coast of the Alamein area in 83 km.

The post Mariout Hills invests EGP 162m in first city for sports medicine appeared first on Daily News Egypt.

]]>
Real estate council submits proposal to meet challenges of real estate investment https://eklutdvotyzsri.dailynewssegypt.com/2019/05/20/real-estate-council-submits-proposal-to-meet-challenges-of-real-estate-investment/ Mon, 20 May 2019 11:45:22 +0000 https://www.dailynewsegypt.com/?p=698537 The proposals would help to coordinate between the four entities in order to find innovative solutions to some of the problems affecting the growth of real estate investment in Egypt. 

The post Real estate council submits proposal to meet challenges of real estate investment appeared first on Daily News Egypt.

]]>
The Egyptian real estate council has presented several proposals to meet a number of challenges facing the real estate sector during the current period and the relative deceleration in market sales to concerned parties in the sector. They were namely the Real Estate Investment Division at the Federation of the Egyptian Chambers of Commerce (FEDCOC), the Real Estate Development Chamber of the Federation of Egyptian Industries, and the Real Estate and Construction Committee of the Egyptian Businessmen Association. The proposals would help to coordinate between the four entities in order to find innovative solutions to some of the problems affecting the growth of real estate investment in Egypt. 

Chairperson of the Egyptian real estate council, Adel Lotfy, said that the main proposals discussed at the council’s meeting on Wednesday were raising of a memorandum to the Central Bank of Egypt (CBE) to enter into the financing of buyers within the initiative of the CBE to activate the real estate market. In addition, there needs to be a study of the establishment of a real estate investment fund involving developers and banks to facilitate developers to finance themselves and complete their projects.

Lotfy added that the meeting touched upon the study of assigning a centre of specialised market studies to conduct a careful quarterly study in order to assess the performance of the real estate sector with clear and real indicators to be used by real estate developers and those concerned with the real estate sector, to guide their future plans based on accurate information and to overcome the crisis of insufficiency, conflicting numbers and information in the sector.

Additionally, developers discussed rules which should be placed between developers and the state, he elaborated.

The post Real estate council submits proposal to meet challenges of real estate investment appeared first on Daily News Egypt.

]]>