Tatweer Misr achieves 65% sales from North Coast projects in H1 - Dailynewsegypt

President and CEO of Tatweer Misr, Ahmed Shalaby, stated that the company aims to achieve contractual sales worth EGP 32bn in 2024. The company has achieved EGP 21bn in sales during the first half (H1) of the year, selling over 1,650 units, with 65% of these sales in the North Coast, where the company owns three major projects: Fouka Bay, D Bay, and Salt.

Shalaby said: “Over the past ten years, the company has sold 34,000 units with a total sales value of approximately EGP 73bn, serving around 15,000 clients and delivering more than 3,700 units in projects such as Fouka Bay, IL Monte Galala, D Bay, and Bloomfields.”

Shalaby noted that 75% of Tatweer Misr’s sales in the first half of the year were to clients outside Egypt, adding that the North Coast market will lead sales this year, with its share expected to be no less than 60% of the total market sales, given its status as the most attractive and highest-priced destination.

He added that the company has set a ten-year plan with seven key areas, including listing the company on the Egyptian Exchange and expanding into global markets.

According to Shalaby, the company’s ten-year strategy also includes making Tatweer Misr’s real estate development model a successful and adopted model that other companies can emulate both inside and outside Egypt. Additionally, Tatweer Misr aims to obtain ESG (Environmental, Social, and Governance) compliance certifications and become a promising investment destination for all types of investors.

The company also aims to make the Il Monte Galala project a global tourist destination and to establish a university city in the Bloomfields project to attract students from Egypt and abroad.

Tatweer Misr began its business in Egypt’s real estate market in 2014. The company owns a land portfolio of approximately 7.4 million sqm, with a total built-up area of 2.1 million sqm. The company is developing six projects in four different locations: East and West Cairo, the North Coast, and Ain Sokhna.

Tatweer Misr was one of the first companies to enter the Saudi market, announcing a partnership agreement with the Nayef Al-Rajhi Group. According to Shalaby, the first project in the Kingdom is expected to be announced before the end of the year. Additionally, the company is currently exploring expansion opportunities in the Omani market following a request from the Minister of Housing after his recent visit to the Il Monte Galala project in Ain Sokhna.

Tatweer Misr is seeking the necessary approvals to implement a marina in the Salt project on the North Coast, Shalaby disclosed, mentioning that the New Alamein project executed by the government successfully drew global attention to the North Coast, subsequently attracting private sector companies. The Ras El Hikma project will significantly boost the North Coast’s profile on the global luxury tourism map.

Tatweer Misr aims to spend EGP 10bn on construction this year and deliver 2,000 units, compared to an investment of EGP 6bn in 2023, he pointed out.

Regarding the expected price increase, Shalaby believed that prices are stable, with an expected hike of 15% to 20% by the end of the year, compared to a 50% increase in the first quarter of the year before the currency devaluation on 6 March 2024.

He concluded that the real estate market in Egypt is characterized by a high level of demand. The price surges are a natural outcome of the previous currency devaluation decisions. Since the market operates off-plan, these prices reflect not only the increased costs but also the losses incurred from projects negatively affected by the devaluation. Additionally, there is an effort to hedge against future uncertainties, especially since projects are executed over several years.