Villa Atouta is the latest addition to the rising trend of branded boutique residences in Cairo. Located in Maadi, where many historic homes have been replaced with nondescript buildings, the 22-unit red-brick residence operated by Lemon Spaces is a defiant reminder of the charms of a foregone era.

EnterpriseAM sat down with architect, property developer, and founder of Villa Atouta Ahmed El Masry to discuss Cairo’s heritage hospitality.

EnterpriseAM: Can you give us a brief history of the property?

Ahmed El Masry: The original building was constructed in 1945 and acquired by Syrian-French developer Youssef Takla, who owned multiple properties across Cairo, including Le Riad Hotel. In 1999, he built an annex to the original building, which sat on 2.1k sqm of land. The majority of the spaces were larger apartments that he rented out to expats.

My grandfather bought the property in 2005 as a USD-yielding asset. Two decades later, the building had started to depreciate. I wanted to find a way to repurpose the space that would maximize the value of the property.

EnterpriseAM: Why did you go for a boutique residence concept, and specifically the short-term rental (STR) model?

AEM: I knew that I wanted to bring Villa Atouta back its original glory. My challenge was maximizing the number of keys. I could see clearly that four-bedroom apartments were not in demand. Simultaneously, tourism was starting to boom, and Egypt had set a national goal of reaching 30 mn keys.

Short-term rentals are the easiest and fastest way to turn apartments or villas into a yielding hospitality asset. I set out to try and find the sweet spot between a boutique hotel and a serviced stay. A few months into the project, the government announced new regulations for the STR, or “holiday home” market, moving it away from an informal “gray market” into a regulated industry. This was great for us, because it solved the problem of having to classify ourselves as either a hotel or apartments. I like to call Villa Atouta a boutique serviced stay.

EnterpriseAM: When did you start renovating and how did the original property change?

AEM: I started in late 2023 with a fantastic team of local architects and designers. Pinnacle did the architectural design, Nina June worked on the furniture design, and we manufactured all the furniture with INCA. By January 2025, we were done. The original 1945 building was turned into eight apartments and the annex into 14 units. We also created public areas — a reception/lounge, a gym, terraces, and a pool. The official launch was in September 2025, but we were already up and running six months prior to that.

EnterpriseAM: Why did you decide to go with Lemon Spaces as the operator?

AEM: Lemon Spaces have an excellent track record and a strong network with multinationals and embassies. Within the first couple of months we were sold out through their direct bookings. I think what they have done to develop the prop tech sector in Egypt is very impressive, so they were definitely the right fit for us.

EnterpriseAM: Who are your guests, what is their average length of stay, and what have your occupancy rates been like thus far?

AEM: The majority of my guests are tourists looking for authentic experiences, but we also see a huge market for business travellers. The Riads of Marrakech were one of my biggest inspirations when I was building the space. They take hospitality to a different level. The appeal is all based on culture and great hospitality, which is what I tried to recreate at Atouta.

The average length of stay is three nights, but we can also accommodate a six-month lease or longer. November and December 2025 have been really good months for us, and for Egyptian tourism in general. We broke 80% occupancy during those months, but on average, I’d say we’re around 75%. I think being in Maadi is also a huge plus — it’s central, they can walk, take the metro, and there are lots of good food outlets nearby.

EnterpriseAM: What’s next for you personally, and for Villa Atouta?

AEM: We’ve been hosting some very successful pop-up dinners in collaboration with local chefs and heritage brands we love, and I’d like to develop our own F&B model to ensure that we deliver a full experience for our guests.

I’m also looking into flipping another villa that we own in Maadi into a serviced stay, and I’m consulting as a development manager on a property that is owned by another family in Zamalek.

These projects preserve our cultural heritage and grow our tourism sector. Our neighbors in Morocco and Lebanon have been doing this very successfully for a very long time, and in Egypt, where we have even more to offer travellers, there is real demand.

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