Sixth of October Development and Investment Company (SODIC) and Heliopolis Development Housing (Heliopolis Housing) signed the co-development contract for 655 acres in New Heliopolis, East Cairo, according to press statement issued Thursday.
The statement said that the signed contract involves SODIC with privilege of 70% of the residential units revenues while Heliopolis Housing will be privilege to the remaining 30%. SODIC will be privilege to 69.8% of the commercial and retail revenues while Heliopolis Housing will be privilege to the remaining 30.2%.
“The minimum guaranteed revenues are estimated at approximately EGP 5.01bn to be paid over unequal annual installments, while the projects total revenues are estimated to be EGP 30.35bn,” the statement read. “The project is planned to be developed over 10 years and will comprise over 8,600 residential units in addition to the retail and commercial offering and a dedicated sports club.”
Managing Director of SODIC Magued Sherif said the project is expected to create over 40,000 direct and indirect jobs over the course of its development.
SODIC had participated in Heliopolis Housing’s last auction as part of its strategy to increase its land bank and pursue new opportunities for growth. The co-development contract marks SODIC’s first revenue sharing venture.
Minister of Investment Ashraf Salman, Chairman of SODIC Hani Sarei El Din, Managing Director of SODIC Magued Sherif, Holding Company for Construction Mahmoud Fathy Hegazy, and Development Chairman and Heliopolis Housing’s Chairman and Managing Director Hany El Deeb attended the signing ceremony.