The prices of Egypt’s property units will increase by 15% in 2014, Executive Chairman of international real estate brokerage firm Coldwell Banker New Homes Khalid Bahig said on Thursday.
A high demand on property units, the hike in the prices of construction materials and the strength in the value of the Egyptian pound against the US dollar are the reasons behind the forecast, Bahig said during the Coldwell Banker press conference, which was held during real estate exhibition Cityscape Egypt 2014.
Leading real estate investment companies attended Cityscape to discuss and showcase opportunities in the sector.
Egypt’s real estate market was expected to gradually recover in late 2014 and 2015, according to Jones Lang LaSalle’s quarterly report published earlier in April. The international firm attributed the recovery to several economic developments, including an increase in foreign reserves for the first time since August 2013, the improving performance of the stock market and a narrowing budget deficit.
The real estate market demand increased by 40% since 2010, chairman of real estate firm Arabia Group Tarek Shoukry highlighted in April.
Coldwell Banker New Homes targets a value of EGP 1.5bn in sales by the end of 2014, marking an EGP 0.5bn increase compared to the firm’s sales in 2013, Bahig said.
Bahig noted that the firm is currently marketing more than 70 projects owned by the 22 leading real estate developers, including Emaar Misr, Al-Futtaim Group, SODIC, Palm Hills and Mountain View.
According to Bahig, New Cairo is the most attractive city for real estate buyers within the country, as it has occupied 65% of the property units that have been marketed through the firm in 2013.