JLL’s Market Dynamics Q3 2025 report outlines a broadly optimistic outlook for Cairo’s real estate sector, driven by targeted government reforms and improving macroeconomic conditions. According to the report, structural policy measures, a series of interest rate cuts, and ambitious FDI targets are reshaping investor behaviour and reinforcing the sector’s strong growth potential.
Adding further momentum is the September 2025 launch of the National Narrative for Economic Development, which positions the private sector as a central driver of quality growth. The action plan — aligned with Egypt Vision 2030 — sets out ambitious FDI goals for 2030 aimed at enhancing competitiveness, attracting foreign investment across high-potential sectors, and stimulating further real estate expansion.
Ayman Sami, Country Head of JLL Egypt, said: “Substantial policy reforms, supported by a strong foundation of advanced infrastructure and ongoing urban expansion, are sustaining investor appetite in Egypt’s resilient real estate market. The sector’s recovery throughout 2025 has positioned it as a preferred hedge against declining interest rates and currency volatility. This renewed confidence in a gradually rebounding market highlights both near-term opportunities and long-term potential within a dynamically evolving sector.”
Government initiatives — including an EGP 5bn allocation for MSMEs and young entrepreneurs, as well as streamlined investment procedures targeting a 20–30% increase in FDI — are further boosting business sentiment in the capital. This improved outlook is supporting continued recovery in Cairo’s office market, where demand from multinational corporations for high-quality space in prime business parks has pushed prime rents up 7.6% year-on-year.
Cairo’s residential market is also showing renewed momentum, with 13,800 units scheduled for delivery in Q4 2025 and major developers expanding their portfolios amid a rise in land acquisitions. While flexible payment plans and extended instalment schemes have supported strong sales for larger developers, smaller and mid-sized players continue to face affordability and liquidity pressures. The resale market saw a more moderate annual increase in sales prices in Q3.
Looking ahead, declining interest rates are expected to accelerate capital flows from bank deposits into real estate, revitalising both the primary and secondary markets. Further anticipated rate cuts are likely to support improved cashflow for developers and pave the way for new project launches in the coming period.
