The Madbouly government is preparing an integrated incentive package designed to attract EGP 3 tn in real estate investment between 2026 and 2030, according to a government document seen by EnterpriseAM. The plan centers on a massive land bank of 115 mn square meters, valued at over EGP 500 bn, which will be offered to local and foreign developers under a revised fiscal and regulatory framework.

Why it matters: The strategy aims to decentralize development beyond the Mediterranean and Red Sea coasts. “We are looking to leverage the EGP 1 tn spent on the national road network to drive urban expansion across all of Egypt, not just coastal hotspots,” one source with knowledge of the matter told us. To that end, the Real Estate Development Chamber is setting up a committee to finalize an incentive package for developers moving into high-growth, non-coastal areas, Federation of Egyptian Industries’ real estate division head, Osama Saad El Din told us last week.

What can we expect from the package? The proposal includes a mix of tax breaks and cheaper payment terms. For projects in high-demand areas and fourth generation cities, the state will offer foreign investors in special economic zones or freezones tax breaks or exemptions. As for other massive land plots (valued at over USD 1 bn), the down payment will be slashed to just 10%.

As for projects being set up in Upper Egypt, investors will benefit from increased built-up area (BUA) ratios, higher service-area allowances, and a 20% extension on implementation timelines. In certain zones, a project will be considered complete once it reaches 80% execution, relieving developers of further construction-related fees.

Other incentives include: Cutting administrative fees for ministerial decrees by 5-25%, depending on the project’s strategic importance and boosting land utilization coefficients and water quotas by 5% to 10%.

NUCA and TDA land banks get a makeover: The New Urban Communities Authority (NUCA) and the Tourism Development Authority (TDA) are currently re-evaluating their massive, underutilized land portfolios. Sources indicate that internal studies are underway to re-price these plots in light of the new infrastructure network and recent investment inflows. This re-evaluation is a precursor to a fresh wave of land tenders expected to hit the market soon.

Fractional ownership takes center stage: Sources familiar with the matter tell us that a new legislative framework is currently being drafted to permit fractional property ownership, a move aimed at tapping into a broader base of international retail investors. This is being positioned as a primary real estate export tool, allowing foreign investors to gain exposure to the Egyptian market by owning shares of a property rather than being required to purchase an entire unit.

The state is also doubling down on sustainability, with a target to ensure that 25% of all new real estate projects qualify as green. To incentivize this shift, the government is offering a specialized package for eco-friendly projects, including lower interest rates on land installments and reduced administrative fees for licensing. Green projects will be granted higher “utilization coefficients,” allowing developers to maximize BUA on their plots as a reward for meeting environmental standards.

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