An Emirati company is looking to develop Shepheard Hotel with investments up to EGP 500m, according to an official of the Ministry of Investment.
The official said that the company is owned by a Sheikh from the Al-Nahyan family (the ruling family) in Abu Dhabi, adding that it requested all the details of developing the hotel and its structure.
Shepheard Hotel in Garden City, Cairo (near Downtown) is owned by the Egyptian General Company for Tourism & Hotels (EGOTH), which owns 11 hotels in different areas in the country.
The hotel has 257 rooms, according to the official. EGOTH closed the hotel after terminating a contract with Rocco Forte company at the start of 2013, following a disagreement concerning employees’ salaries.
The official stated that the annual loss of the hotel exceeds EGP 10m as a result of halting its services. EGOTH was working on developing the hotel during 2014 through loans from state-owned banks worth EGP 400m. Development was set to be in partnership with the private sector. However, the company did not receive any offers from investors to participate.
The hotel is very close to Tahrir Square in Downtown Cairo, which was the main reason why it endured losses for the past four years, but the country is approaching stability, according to the official.