Driven by a passion for success and growth , Egyptian real estate companies are not just waiting for global expansion opportunities to come their way, they are actively seeking them out with determination and ambition. They are constantly on the lookout for new investment opportunities and profits. Egyptian real estate developers are considering expanding in foreign markets, particularly Saudi Arabia. But what is the driving force behind their interest in investing in the Saudi real estate market? Let’s uncover the factors behind this investment and get to know more about Egypt’s top real estate companies that are leading this expansion.
5 Top Real Estate Developers Expand in Saudi Arabia
Due to the investment boom in the Saudi market, some Egyptian real estate development companies have decided to expand their portfolio there and benefit from a rapid development approach in Saudi Arabia. Five of them are Talaat Mostafa, Orascom Development, Tatweer Misr, Mountain View, and Paragon Developments. In the following lines, we take you on a tour to learn more about each of them and their cooperation with Saudi companies.
- Talaat Mostafa (TMG)
TMG recently revealed plans for a sustainable smart city spanning 10 million square meters, located east of Riyadh, as part of its international expansion into Saudi Arabia.
In September 2023, Talaat Moustafa Group and the National Housing Company, the local state partner and investment arm of the Ministry of Municipal and Rural Affairs and Housing, signed an agreement to develop a new sustainable city called Banan in Riyadh.
This project marks TMG’s first international expansion and serve as a stepping stone for further regional and international ventures, capitalizing on the group’s 50 years of experience developing large integrated communities in Egypt.
Banan is planned to be a sustainable mixed-use development, incorporating smart technologies and covering an area of 10 million square meters. It will offer 27,750 residential units and integrated services and allocate 40% of its land area to green spaces.
The project aligns with TMG’s vision of creating modern, innovative, and sustainable cities to enhance the quality of life in local communities. It aims to serve as a model for sustainable urban development and innovation in alignment with Saudi Vision 2030.
Read about Talaat Moustafa latest coastal project
- Orascom Development
Emaar, The Economic City “EEC” has announced a strategic agreement with Orascom Development Company and Alkholi Holding Company to create a distinctive waterfront mixed-use destination within King Abdullah Economic City “KAEC.” The initiative aims to strengthen the city’s role as a family-friendly gateway to the western region, with excellent connectivity to various destinations, including the King Abdulaziz International Airport in Jeddah, accessible in just 35 minutes via the Haramain Highspeed Railway.
King Abdullah Economic City is a highly appealing location for tourism, entertainment, and business. It offers investment opportunities in the hospitality, lifestyle, entertainment, and residential sectors to improve the overall quality of life for its residents. The city is currently developing several notable tourism projects, such as the upscale Vivienda resort, the 5-star Rixos resort with a waterpark, and the environmentally friendly ENVI Lodges.
In this agreement, Orascom, led by Samih Sawiris, will be the primary investor in developing a world-class mixed-use tourism city across a vast area of 9.5 million square meters. Drawing on its expertise from El Gouna in Egypt, Orascom’s extensive development in King Abdullah Economic City will comprise a top-tier marina, a comprehensive downtown area, high-end residential complexes, retail and commercial spaces, a variety of restaurants and food outlets, as well as other commercial and social amenities.
- Tatweer Misr
Tatweer Misr and Naif Alrajhi Investment have entered a strategic partnership agreement to establish a joint venture company in the construction and real estate investment sector. The joint venture is focused on developing comprehensive urban projects and tourist resorts with global standards within the Kingdom. It aims to enhance the value of the Saudi real estate market by leveraging the expertise of both entities in line with the goals of Saudi Vision 2030.
Ahmed Shalaby, the Co-founder, President, and CEO of Tatweer Misr, expressed his thoughts on the collaboration, stating, “The strategic partnership with Naif Alrajhi Investment marks the initial phase of our company’s expansion into regional markets, aiming to replicate our successful urban development model from Egypt. Tatweer Misr has chosen to commence operations in Saudi Arabia due to the current economic and urban growth in the Kingdom, along with the attractive investment incentives it offers.”
- Mountain View
Here are Mountain View’s partnerships with the best real estate development and construction in Suadi Arabia:
- Cooperation with “Alesayi Group” to develop urban projects and tourist resorts
In addition, Mountain View Egypt has entered into a collaborative agreement with Omar Kassem Alesayi Group to form a joint venture company specializing in construction and real estate development with global standards. The aim is to undertake comprehensive urban projects and tourist resorts in Saudi Arabia.
Amr Soliman, the Founder and Chairperson of Mountain View, emphasized that the company’s expansion strategy involves entering neighboring markets to share its expertise in establishing integrated urban projects. This will be based on the implementation of the “science of happiness,” a pioneering concept in the Middle East aimed at positioning Mountain View as a leader in Egypt’s real estate development sector.
- Mountain View enters into a Cooperation with Sisban, Saudi Arabia investment holding company
Driven by its vision to create thriving communities embody value and purpose, Mountain View Real Estate Development and Investment Company has announced a meaningful step towards expanding its regional footprint through a strategic partnership with Sisban Holding, a global leader in diverse industries, including the commercial sector. This exceptional collaboration aims to introduce Mountain View’s expertise and innovative concepts to the Saudi market by launching its first commercial projects in the Kingdom.
The partnership marks the second venture between the two companies, following their successful collaboration in 2015 to launch the groundbreaking “Mountain View iCity” project. This project represented the first private-public sector partnership in Egypt involving Mountain View, the New Urban Communities Authority, and Sisban Holding, a prominent Saudi company.
This renewed partnership reaffirms Mountain View’s unwavering commitment to delivering innovative real estate solutions that cater to the market’s evolving needs, further solidifying its position as a pioneer in the region’s real estate development landscape.
- Paragon Developments
Paragon Developments and Adeer Holding, a subsidiary of Sumou Holding, have entered into a collaborative agreement to establish a new company named Paragon Saudi Arabia, which will manage and develop administrative projects in Saudi Arabia. This agreement was formalized during a meeting between Paragon Developments and Adeer Holding at a seminar in Riyadh, Saudi Arabia, focused on “Strategies for successful investment in Saudi Arabia, Egypt, and the UK.”
The primary goal of the agreement is to create a framework for a partnership between Paragon Developments and Adeer Holding to launch Paragon Saudi Arabia, a company dedicated to real estate management and development in the Kingdom. The agreement includes outlining a plan for setting up and running the new company. It also presents promising opportunities for developing administrative projects within the Kingdom, with an initial focus on the super cities of Riyadh and Jeddah.
5 Egyptian contracting companies and their subsidiaries in the Saudi market:
The rapid development in the Saudi market extends to development companies as well as contracting companies. Five contracting companies in Egypt are looking forward to building their name and solid fame in the Suadi market.
The head of the Construction Committee of the Egyptian Businessmen Association stated that the Saudi market now offers lucrative investment opportunities in the housing sector, particularly in the rapidly developing city of Riyadh. He explained that ongoing urban development projects in Saudi Arabia provide openings for real estate investment in various fields, such as engineering consultancy, contracting, and real estate development. Egypt’s extensive experience in these areas enhances its capacity to generate foreign currency through the participation of Egyptian companies in the Saudi market.
Here are the 5 Egyptian contracting companies in the following content:
- SIAC Construction
- Rowad Modern Engineering
- Concrete Plus
- Qontrac Developments
- Redcon Construction
Factors Behind the Interest of Investment in the Saudi Real Estate Market:
After exploring Egyptian companies’ successful expansion in the Saudi market, it’s time to explain their keen interest in it.
- Firstly, Saudi Arabia is known for its booming economy and constant passion for growth and success. This drive for expansion isn’t simply economic; it’s a national ambition.
- The country is fueled by a constant passion for growth and success, embodied in Vision 2030, a transformative plan to propel Saudi Arabia into a future.
- Saudi Arabia’s youthful and expanding population is leading to a rise in the need for housing, especially in major cities such as Riyadh and Jeddah.
- The government actively encourages home ownership through initiatives like “Sakani,” which enhances access to mortgages and incentivizes property purchases. This is further stimulating demand.
- The real estate market in Saudi Arabia is continuing to develop, and there is potential for substantial returns on investment.
In conclusion, the Egyptian and Saudi real estate markets have contributed to each other’s success. The Saudis sector takes advantage of Egyptian companies’ extensive experience, particularly in developing, contracting, and consulting. At the same time, Egypt gains from the ongoing urban development in Saudi Arabia, especially the Riyadh and King Abdullah Economic City. Visit EstateBook to be up-to-date with Egypt and Saudi’s rapid real estate development and their new cooperation.
