Egypt’s North Coast and New Cairo are emerging as the region’s latest real estate hotspots, according to developers. To capitalise, developers will launch incentives of their own at Cityscape Egypt, as the revitalisation of the North Coast has sidelined traditional vacation habits in the area and pushed up pricing, with developers and government taking advantage of the huge demand for second homes and commercial units in the area.
Both areas benefit from a variety of Government incentives, a slew of new developments, and completed milestones across projects such as New Alamein City, the New Administrative Capital, Al Rehab City, and the Fifth Settlement.
With the market responding to recent government stimulants, IWAN Developments forecasts further interest rate cuts from the Central Bank of Egypt. “This is significant for the sector since lower interest rates will push the resale market out of stagnation, which has been pressured by lower disposable income since the Egyptian pound floatation,” said Mokhtar.
Egypt’s real estate market is proving resilient, now accounting for around 20% of the total GDP and employing 5% of the country’s labour force, while real estate represents between a third, to a half of the wealth of middle and high-income family demographics.
The fiercely competitive marketplace is now creating a buyer’s market with investors benefiting from keen mortgage products and staged payment plans.
And last year’s introduction of a draft law to set up a federation of Egyptian real estate developers will prove a further market spur, through the regulation of real estate development, the introduction of new licencing requirements, and the establishment of a fund to hedge risks – all key moves to protect customers and strengthen the industry.
Cityscape Egypt will feature a line-up of over 63 local and international exhibitors including Al Futtaim, Emaar Misr, Orascom, City Edge, Hyde Park, Palm Hills, Imkan Misr (Capital Group) and Misr Italia. The exhibition returns with support from Master Sponsor, Mostakbal City; Platinum Sponsor, Gates Developments; Gold Sponsors, Tameer and Vantage Developments; Cityscape Sponsor, SAK Developments; Silver Conference and Awards Sponsor, The Land Developers; and Investor Relations Partner, JLL.