Egypt and the United Arab Emirates strengthen their cooperation in real estate and urban development. The Egyptian company Midar for Investment and Urban Development signed, this Sunday, a partnership agreement with the Emirati group Majid Al Futtaim to develop a major urban project in the Mada city, in New Cairo.
The value of the investment is estimated at 3.1 billion dollars. The project will cover an area of 553 feddans, or more than 2.3 km², and will include residential, commercial, and tourism components.
According to Ayman El-Koussi, General Manager of Midar, the project is expected to generate revenues between 200 and 250 billion Egyptian pounds, or about 4 to 5 billion dollars, over an estimated period of 15 to 20 years.
The Egyptian Prime Minister, Mostafa Madbouly, who attended the signing ceremony, highlighted the economic scale of the project. According to him, it is not merely a real estate development, but a project capable of activating many industrial and service sectors.
The project should include a leisure component, commercial spaces, restaurants, as well as activities related to food and clothing, intended to accompany the operation of this new urban area.
Mostafa Madbouly also recalled that large real estate developments mobilize a broad production chain. He cited between 90 and 95 types of industries involved, ranging from construction materials to equipment, as well as services, furniture, food, and infrastructure.
According to the head of the Egyptian government, thousands of factories could thus be mobilized to produce the goods and materials necessary for the development of the project. He estimated that this dynamic could create employment opportunities for hundreds of thousands, even millions of young people and Egyptian workers, directly or indirectly.
This partnership with Majid Al Futtaim fits into a broader Egyptian strategy aimed at attracting Arab and foreign capital into large urban projects. New Cairo, already at the heart of several major real estate operations, continues to position itself as one of the country’s main hubs of urban expansion.
For Egypt, the stakes are twofold: supporting private investment and stimulating economic activity through projects capable of generating long-term revenues. For the Majid Al Futtaim group, this operation confirms the growing interest of major Gulf investors in the Egyptian real estate market, one of the region’s most dynamic.
With an announced investment of 3.1 billion dollars and potential revenues reaching up to 250 billion Egyptian pounds, this project appears to be one of the major urban operations of the period in Egypt.
