Top 10 developers in Egypt with a sales growth of 88% in 1H 2023 - Daily News Egypt

In the first half of 2023 (1H 2023), the ten largest real estate developers in Egypt reported total sales of 168 billion Egyptian pounds, which is an 88% increase compared to the same period last year, according to a report by The Board Consulting. The authors of the report attribute the increase in sales to the devaluation of the Egyptian pound against the US dollar, which has made real estate a more attractive investment option for Egyptians.

“Many people are currently investing in real estate as a reliable option,” said Ahmed Zaki, CEO of The Board Consulting. “They see it as a way to protect their savings from inflation and currency devaluation. And considering that the North Coast is the most attractive destination for real estate investments, they are also looking for good returns on their investments.” He concluded: “However, it is worth noting that total sales of 168 billion Egyptian pounds in the first half of 2023 were generated in the following order of priority: East Cairo, North Coast, and finally, West Cairo.”

In the first half of 2023, the top ten developers in Egypt were led by the Talaat Moustafa Group (TMG).

With sales amounting to 51 billion Egyptian pounds, of which 21 billion was generated in the first quarter and 30 billion in the second quarter, surprising the market. Ora, led by Naguib Sawiris, maintains its second place for the second consecutive quarter with total sales of 25 billion Egyptian pounds, thanks to its premium projects Solana and SilverSands, which have become the most successful during this period. Palm Hills ranks third with sales of 17 billion Egyptian pounds, focusing on projects in West Cairo and new phases of the Badya projects. Competitive prices, a well-known brand name, and extended payment plans have contributed to the sales growth. Ahmed Zaki, CEO of The Board Consulting Founders, a joint venture of Ahly Sabbour and Hyde Park, took fourth place with sales of 13.4 billion Egyptian pounds, filling the market niche with his "ready-to-move-in" properties at competitive pricing; while City Edge's "ready-to-move-in" properties in the New Administrative Capital and the recently launched (V40) in New Cairo significantly contributed to its sales of 13.3 billion Egyptian pounds, securing fifth place. Tatweer ranks sixth on the list with sales of 12 billion Egyptian pounds, of which nearly 9 billion was generated in the second quarter, attributed to the SALT project on the North Coast, which accounted for over 50% of total sales for the first half of the year. Mountain View holds the seventh position with sales of 9.6 billion Egyptian pounds and continues to maintain the same sales momentum, thanks to its projects in West Cairo, which make up over 60% of total sales during this period. Mountain View also recently launched its project on the North Coast (LVLS) and is expected to see high sales growth in the third quarter. Landmark for Real Estate ranks eighth with sales of 9.3 billion Egyptian pounds, attracting attention with its flagship project "One Ninety," as well as its latest luxury residential and commercial project "Stei8ht," indicating a diversity of residential and commercial offerings.

Yasser Ezz El-Arab, a board member of The Board Consulting, stated

The total sales on the North Coast of Egypt last year [2022] amounted to 77 billion Egyptian pounds, and this year sales on the North Coast are expected to exceed the mark of 100-120 billion Egyptian pounds. "The North Coast is becoming a preferred destination for real estate investments," said Ezz El-Arab. "There is a variety of projects to choose from, including seaside properties, golf courses, and ski resorts. And with the recent devaluation of the Egyptian pound, it has become even more affordable for Egyptians."

Ahmed Nazmi, chairman of The Board Consulting, commented: "Despite the various strategies of developers, some of which are more conservative, it was interesting to see that the North Coast is leading with unprecedented project launches - despite economic difficulties, prompting developers to seek new lands." Nazmi added: "The study also shows that the rising cost of construction materials has led to an increase in prices for new projects by 25-50%, which has caused a rush among buyers to lock in housing prices against further increases." He concluded: "Finally, the expansion into the SSP market and Saudi Arabia is becoming a common theme for almost all developers."

Companies that placed in the top positions outside the "Top 10" list

• Emaar has for the first time not made it into the top 10, achieving total sales of 8.85 billion Egyptian pounds. However, in July, Emaar generated sales amounting to 10 billion Egyptian pounds after launching its latest project "Soul" on the North Coast.
• Saudi Egyptian Developers (SED) has achieved sales of 8.8 billion Egyptian pounds, thanks to its "Marina M8" project, which generated sales of 4 billion Egyptian pounds. This highlights the demand for real estate in the North Coast area.
• Orascom achieved nearly 7.7 billion Egyptian pounds in sales from its projects in West Cairo and the Red Sea. O West and El Gouna were the leading projects in terms of sales volume.
• Misr Italia was in the top 10 in the first quarter, but slowed down in the second quarter, despite the successful launch of its "Solaire" project on the North Coast. Solaire brought Misr Italia sales amounting to 4 billion Egyptian pounds.
• Madinet Masr successfully maintains its sales, reaching a total of 7 billion Egyptian pounds. The company has also made positive strides by launching its new project "Zahw" in Asyut.
• Al-Ahly Sabour generated total sales of 6.7 billion Egyptian pounds, doubling its sales compared to the same period last year.