Grand Plaza for Real Estate Investment, a leading Egyptian developer, announced plans to invest EGP 350 million in construction activities during 2024 to complete its ongoing projects and meet delivery schedules with customers.
The company targets EGP 1.2 billion in contracted sales from its projects during 2024. While also working to accelerate the implementation rates of its projects, especially in light of the challenges facing the real estate sector due to the continuous fluctuations in building and construction material prices. The company is currently working on implementing two projects: La Mirada Al Mostakbal in Mostakbal City and La Mirada Plaza in New Cairo City. It was mentioned that the total investments of the two projects amount to EGP 3.35 billion, distributed as EGP 3 billion for La Mirada Al Mostakbal project and EGP 350 million for La Mirada Plaza project. Grand Plaza has launched a new phase in La Mirada Al Mostakbal project for sale, comprising 192 units with a total targeted sales of EGP 800 million.
The company is negotiating to acquire a 150-acre land plot in the North Coast to implement a new project during the coming period. Additionally, Grand Plaza aims to deliver 350 units in its projects during the current year.
The company is considering a securitization process, which is linked to the sales volume it will achieve and the number of units that will be delivered during the current year.
The real estate market has witnessed major challenges during the past period due to the high inflation rates, the increase in building material prices, and the shortage of imported materials in the markets. It is expected that the prices of all types of real estate products, including residential, commercial, administrative, and hotel, will increase by 60% by the end of the current year. The government plays a major role in supporting real estate developers at the present time, especially after the challenges witnessed by the real estate market. The government has taken important steps in the process of exporting Egyptian real estate abroad and attracting a larger segment of foreign and Egyptian expatriate customers. There is a great demand from Egyptian real estate development companies to invest in foreign markets, especially the Gulf market, in order to enter new markets, gain experience, and increase sales.
