UAE Edition 
Egypt Edition 
Saudi Edition 
MENA <> India Corridor 
Logistics (MENA) 
Climate (MENA) 
Share
Read Full Issue 
UAE conglomerate Majid Al Futtaim ramps up regional expansion: Majid Al Futtaim Holdings’ (MAF) Majid Al Futtaim Properties is increasing its investments in mixed-use developments in Egypt and Saudi Arabia this year and the next, CEO Ahmed El Shamy told EnterpriseAM.
The company is investing EGP 15 bn (AED 1.1 bn) in a new mixed-use project dubbed Junction in Egypt, which will be located next to Mall of Egypt in West Cairo. The project — which is being funded internally — will span 93k sqm and is slated for delivery within five years. It will feature 13 administrative and commercial buildings, as well as a five-star hotel with 150-200 rooms. El Shamy added that the company is close to signing a management contract with a major hospitality brand for the project — a brand that will be making its Egypt debut in this new project.
MAF is also planning additional projects in both East Cairo and West Cairo, as well as the new administrative capital, El Shamy told us. Further expansions into new cities or governorates will come at a later stage, since “developing a successful mall in these areas requires significant population growth and adequate purchasing power,” he added.
The portfolio: MAF’s portfolio in Egypt now stands at around USD 2.5 bn with the addition of Junction, El Shamy said. Across the broader region, the group has invested AED 45 bn (USD 12.3 bn), and sets aside AED 1.5-2 bn annually for new regional investments.
Next stop is Riyadh, El Shamy told us. The company is preparing to launch projects in Saudi Arabia in 2025 and 2026, El Shamy said. The company owns land in Riyadh worth some SAR 3 bn and is looking to develop it, having already entered the Saudi market through its sister companies in retail and entertainment.
The company is preparing to break ground on an integrated SAR 17.5 bn urban development in Riyadh, El Shamy told Al Arabiya. The 850k sqm development will combine residential, commercial, administrative and entertainment components. Engineering design work is already underway, with tendering processes and construction slated for 2026, after MAF made a final payment of USD 100 mn last year to complete the acquisition of the land. He noted that Saudi’s GDP of USD 1.5 tn —- twice the size of the UAE’s — make it a prime destination for long-term real estate investment.
The UAE still remains one of its top investment priorities, despite the company’s expansions abroad. Some 80% of MAF’s total investments are concentrated in the UAE — and that’s not changing any time soon. The group is looking to expand its land bank here at home, with projects like the USD 1 bn Ghaf Woods project in Dubai set for further expansion amid strong demand.
