The country’s top ten developers reported a 47% y-o-y jump in contracted sales in 1H 2025 to EGP 651 bn, according to The Board Consulting’s (TBC) 1H real estate report. But add in Talaat Moustafa Group’s landmark SouthMed project sales last year — which were not included in 1H sales comparisons from the company this year — it’s a different story. Factoring in SouthMed’s EGP 180 bn worth of sales recorded in TBC’s report for 1H 2024, the top ten developers recorded sales reached EGP 621 bn — meaning that 1H 2025 sales are only up 3%. Despite the marginal gains under this count, the year still stands as one of the biggest years for the market from a sales perspective, TBC Managing Director and Co-Founder Ahmed Zaki told EnterpriseAM.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

The top ten real estate players sold almost 40k units in 1H 2025, up 3% y-o-y, with the average ticket price rising to about EGP 17 mn — 7% above last year’s prices. The sales value and unit count figures highlight a widening gap in market performance — where large developers are capturing growth despite broader affordability and demand pressure, Zaki said. “We usually say that big fish eat small fish. We now see that big fish eat medium-sized fish.”

TMG maintained its lead as Egypt’s top developer by sales in 1H 2025, booking EGP 211 bn in contracted sales. Palm Hills Development came second with EGP 143 bn, while Emaar Misr surged into third place with EGP 78 bn. Mountain View (EGP 65.7 bn) and La Vista Developments (EGP 32 bn) rounded out the top five. Brand equity has become the decisive factor for customers, pushing buyers toward developers with established reputations for delivery and stability, Zaki said.

Emaar delivered the biggest leap, more than tripling its contracted sales with a 234.8% y-o-y increase. Palm Hills followed in second, more than doubling its sales for a 118.3% y-o-y jump. TMG, still firmly in the lead by value, saw its sales expand — when excluding SouthMed sales — a strong 58% y-o-y increase. Mountain View booked solid gains of 74.1% y-o-y, while La Vista saw sales rise 37.9% y-o-y

While the giants are reporting blockbuster results, mid- and smaller-sized developers are facing an uphill battle. Sales are underperforming as affordability issues, investor pullback, and overpriced units weigh heavily on demand, were told. The resale market remains clogged by limited liquidity and rigid cash requirements, leaving smaller players especially exposed to the slowdown.

The sector is entering a more disciplined phase, with delivery, facility management, and customer service now the main benchmarks of developer success, Zaki told EnterpriseAM. After several years of outsized sales growth — AB-class sales rose from EGP 200 bn in 2020 to EGP 1.8 tn in 2024 — the focus is turning to execution and client centricity. Sales growth of 50-100% y-o-y is no longer feasible, and 2025 is likely to close slightly below last year as blockbuster North Coast sales from 2024 prove difficult to replicate, Zaki added.

Looking ahead, North Coast and Red Sea projects are emerging as the next frontlines of Egypt’s real estate race. Modon is positioning itself as a city-scale developer with a bold sales target of EGP 300 bn for 2025, backed by its Ras El Hekma project Wadi Yemm. The report notes that Modon spans “an area 1.6 times the size of Barcelona, aiming to transform the North Coast into a year-round living destination.” Meanwhile, Emaar’s Marassi Red is expected to elevate the Red Sea market, raising the bar for rivals in Somabay and Makadi bay, and attracting foreign and expatriate buyers. The report highlights a fresh niche too, with “senior home living solutions… expected to be one of the winning cards in the Red Sea with the presence of solutions like Qwell that are created to address this underserved market.”

Gulf sovereign wealth also continues to pour into Egypt’s property sector. The Board Consulting notes that Qatar is negotiating a USD 4 bn investment in Alam El Rum at Marsa Matrouh, Kuwait is lining up USD 4 bn in potential direct investments, and Saudi Arabia’s PIF is directing USD 5 bn to Egypt as part of a broader USD 10.3 bn package. The consultancy says these flows are reshaping prime areas such as Ras El Hekma, with “significant investments from Gulf nations poised to boost both the wider economy and the real estate sector.”

At the same time, Egyptians are increasingly turning outward. Surging local prices — now “approaching UAE levels,” according to the report — are pushing buyers to diversify portfolios in Dubai, Abu Dhabi, Greece, and Oman. Developers in the UAE are capitalizing by holding exhibitions in Cairo and offering extended payment plans, making their products more accessible to Egyptian investors. Analysts quoted in the report suggest Egypt could benefit from adopting aspects of the UAE model — a mix of incentives, strategic marketing, and targeted policies that has positioned the Emirates as a global hub.

Recent amendments to Egypt’s Old Rent Law are set to release a wave of supply back into the market. President Abdel Fattah El Sisi signed the amendments into law in August, giving tenants a seven-year transition to vacate residential units and five years for non-residential, after which all old rent contracts will expire. Cabinet-approved committees will now inventory and classify properties by location, condition, and services, with more than 3 mn units falling under the scope of the law. The Board Consulting warns this could trigger “a wave of vacancies… as original owners move to either sell or re-lease their units at market value,” while also creating a parallel challenge of relocating some 2 mn families. Zaki said while some of the houses will be absorbed by government programs, a portion will spur fresh demand for premium housing, with 300k-400k wealthier households expected to seek new homes. He expects developers to repurpose some of the freed stock — particularly in Downtown and other historic neighborhoods — into hotel apartments and serviced living units.

The effect of the New Urban Communities Authority’s new rules and fees for North Coast projects is still yet to be seen. The authority introduced stiffer penalties for delivery delays and fees of up to EGP 1k per sqm for local developers and USD 20 per sqm for foreign developers. The report notes that while the measures aim to “strengthen market regulation,” they have already sparked “panic of immediate liquidity stress for developers with limited cashflow.” Zaki described the new rules as both a shock and a threat, warning that while some players like Mountain View have already paid dues, others will be unable to meet the obligations and could face a liquidity crunch.

Cashflow is now the single biggest risk facing developers. Zaki said many firms forecast sales of EGP 10-20 bn this year, but are falling far short, leaving gaps in funding for previously sold projects. This could drive consolidation and force smaller players out of the market. On the flip side, possibilities remain in the Red Sea, where rising expat demand could create a parallel market to Spain, which sold 83k units to foreign buyers in 2024.

Your top infrastructure stories for the week:

  • Sawiris-backed Orascom Construction and OCI Global are exploring a potential merger that would combine the Cairo-born contractor and the Dutch-listed fertilizer player to create a single global infrastructure and investment platform based out of and listed in Abu Dhabi.
  • Egypt awarded the construction and operation of five electrical transformer stations to private sector companies, including Kharafi National, XD-EGEMAC, and Al Gammal Contracting. The projects will collectively require EGP 18 bn of investments.
  • An Egyptian-Saudi consortium is looking into setting up a USD 1 bn Downtown Cairo redevelopment project. The consortium includes Saudi’s Sumou Holding, its subsidiary Adeer International, and local players Midar and Hassan Allam.
Tags: