Egypt always gives special attention to urban development and seeks to build new cities which it has already started doing by creating 4G Cities or smart cities in various governorates across Egypt with the aim of providing a better life for Egyptians, dealing with the overpopulation crisis, and creating many job opportunities.
4G Cities are built with a modern architectural style, well-thought-out infrastructure, and advanced technology to facilitate citizens’ life and to meet all their needs. In addition, the locations of these cities were carefully chosen to compete regionally and internationally with the other cities worldwide and to attract foreign and local investors.
These cities are aligned with Egypt’s Vision 2030 to increase urban spaces, stimulate economic growth, and absorb an extra population of up to 30 million people. There are many 4G cities in Egypt, but in the following, we will be focusing on the most important cities, which are the New Administrative Capital (NADC), New Alamein, New Mansoura, and Nasser City in West Assiut.
To learn about the latest news in each city, we interviewed real estate experts from RE/MAX Egypt, including Mr. Hany Sobhy, Broker Owner of RE/MAX Capital Properties in Heliopolis, Mr. Mahmoud Samy, Broker Owner of RE/MAX Avalon in Alexandria, Mr. Mohamed Samy, Broker Owner of RE/MAX Home Masters in Mansoura, and Mr. Amr Al-Haddad, Broker Owner of RE/MAX Barah in Assiut.
The New Administrative Capital (NADC) is considered one of the most important projects recently built in Egypt which will create a major paradigm shift in the field of investment and will greatly affect the Egyptian economy.
The NADC is being built over several phases. According to Mr. Hany Sobhy, Broker Owner of RE/MAX Capital Properties in Heliopolis, 95% of NADC’s construction is complete. The Central Business District (CBD), which is considered one of the most important areas for foreign investment, is expected to be fully completed within the coming months. As for the Investor’s Area, several projects are already completed including Midtown Solo, Midtown Villa, and Celia. The residential area (R3) is also fully completed and ready for habitation. In addition, the Ministry of Electricity & Renewable Energy, the Ministry of Youth and Sports, and the Ministry of Religious Endowments have already started moving to the NADC since the beginning of this year.
He explained that what makes NADC unique is its size of about 234,000 acres which is around two and a half times the size of Cairo. It is also characterized by its modern planning and lifestyle. In addition, it is home to 12 branches of major international universities, an 8,000 acres Green River Park, which is one of the largest parks in the world, clubs, a Sports City, and the International Medical City. All these services are open to the public and have already started receiving visitors.
The NADC has also provided many job opportunities for workers and engineers during its construction phase. It contributed to employing half a million workers daily and is assumed to provide job opportunities for about 2 million young men and women during the first years of its operation.
He added that NADC has all types of residential properties, including studios, apartments, and villas ranging from 40 square meters to 600 square meters, starting from 10,000 EGP per square meter for unfinished units to 22,000 EGP for finished units and sometimes up to 70,000 EGP for the fully furnished units. He also highlighted that some of the largest projects there are Celia Compound, located in the Investor’s Area inside the Green River Park, in addition to 4 residential projects in the Investor’s Area developed by Better Home Developments that are distinguished by their location next to the Cathedral and in front of Mega Mall.
He stressed that the demand for properties in NADC increased by 25% in 2022-2023 in comparison to 2019 in spite of the major economic crises the world has witnessed in recent years as a result of the COVID-19 pandemic and the Russian-Ukrainian war. This increased ratio is thanks to the great efforts developers exerted in displaying their properties in real estate exhibitions to reach the largest number of clients and investors inside and outside of Egypt, in addition to their fast delivery of projects, especially during a time when the whole world stopped working.
When it comes to investing in NADC, Mr. Sobhy advised investors to analyze the projects and their locations, inquire about the developer and his projects, and consult a real estate agent specialized in NADC. Investors can choose between residential, administrative, or commercial projects to invest in, however, he believes that commercial investment is better when it comes to achieving the highest ROI possible.
He added that NADC has greatly affected the real estate sector in Egypt, as it introduced new types of properties that did not exist before such as hotel apartments and touristic towers that exceed a height of 200 meters. NADC has also had a positive impact on the Egyptian economy, as it attracted and encouraged many Arab and foreign companies to invest in the Egyptian real estate market such as Al Dar Group Developments in Abu Dhabi which decided to expand its real estate investment activities by purchasing several Egyptian companies.
