Bonyan acquires building in Redcon’s Golden Gate project:Bonyan Development, a subsidiary of Compass Capital, has sealed the agreement to purchase an EGP 718 mn building in Redcon Properties’ Golden Gate project in the Fifth Settlement, at a press conference yesterday. The 6.9k sqm building will be used for administrative and commercial work. Enterprise attended the conference and spoke to Compass Capital managing partner Tarek Abdel Rahman, Redcon chairman Tarek El Gamal, and Redcon Vice Chairman Ahmed Abdallah about all things real estate and future plans.

THE KEY TAKEAWAYS-

#1- Redcon is looking to enter the residential sector: The real estate developer is looking into setting up sustainable residential complexes in the North Coast and Fifth Settlement, Abdel Rahman said. Each project would span between 100-200 feddans, he added, explaining that the projects would also include administrative and commercial areas, as well as hotels.

#2- Redcon has big plans for 2024: Redcon wants to ink contracts worth some EGP 18-20 bn this year, Abdallah said.

#3- What does the real estate market have in store for us this year? Price will increase by 45-60%, which will boost real estate developers’ income from sales, Abdel Rahman told Enterprise. This year will also see the government selling off more land plots across the country, in light of the growing number of developers in the market.

#4- The challenges? The market is experiencing a severe shortage of building materials and supplies, and in response developers will continue to reduce installment periods from 15 years previously to a maximum of 5 years, El Gamal told us.

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