Confidence rises in cairo property market

Photo: GBannerman

Confidence is rising in the Cairo property market, which has enjoyed a positive start to 2015.

The latest real estate market report from JLL reveals that all sectors of the city's market witnessed a positive performance in Q1 2015.

"Significant efforts by the government to expand the economy and attract investors, including the recent Egyptian Economic Development Conference, have resulted in confidence and new investment commitments of more than USD 12.5 billion from four GCC countries," comments Ayman Sami, Head of Egypt Office at JLL MENA.

The confidence has fed into the recently announced development of the new Cairo Capital, which marks a "natural long term progression" to the East of Cairo.

"Given Cairo Capital will create a bigger magnet for business towards the East of Cairo, we expect that the West will need to reposition itself differently, and this will most likely be as a tourist and entertainment area," says Sami. "These trends provide great optimism as all real estate sectors should continue to benefit in 2015 and beyond."

Sales increased in the first quarter of 2015, while prices of apartments and villas also climbed, thanks to a limited number of units left in developments.

250 units in Al Rehab City and 640 units in Zayed complex were completed in Q1 2015, though, while an additional 31 developments with 30,000 units are expected to be completed in the rest of 2015.