Engineer Abdullah Salam, the CEO of Madinet Misr Company, revealed that his company has achieved sales reaching one billion Egyptian pounds through the “Touba” program, which was launched last year.
“Touba” is a platform that allows customers to purchase residential units in a payment method that suits them. It divides the property into simplified measurement units called “Touba,” thus providing the Touba system with various payment facilities and without bank checks.
The concept of Touba is the first of its kind in the region, where customers can purchase a property through the Touba system without being restricted to a specific monthly or quarterly deadline for paying the remaining installments.
Salam explained that the Touba system has been applied to 250 units in their projects in East Cairo, and it was planned to sell them within 6 months. However, due to increased demand, they were sold in just 3 months. He also mentioned that the company is considering introducing a new phase of units with this system during the current year.
He confirmed that the company is strongly considering expanding by acquiring lands in the eastern and western regions of Cairo, the administrative capital, the Red Sea, and the North Coast, in addition to the Gulf and North Africa.
In a related context, Madinet Misr Real Estate Company (MNHD) announced the launch of the latest innovation from “Madinet Masr Innovation Labs,” the specialized arm for innovating solutions and products to develop the real estate market in Egypt. It is the first-of-its-kind maintenance warranty certificate called “Thiqa” as an innovative alternative to the maintenance deposit.
The “Thiqa” certificate aims to provide a radical solution to one of the biggest challenges faced by customers in the real estate field, which is the demand for paying maintenance expense differences that are paid a few years after receiving the unit.
Through the “Thiqa” certificate, the customer pays for maintenance and operation services in the form of a “guarantee certificate” instead of a “maintenance deposit,” without demanding any increases or expense differences for a period of up to 20 years from the date of unit delivery. This is in line with the company’s strategy, which aims to drive growth in Egypt by creating sustainable communities.
The “Thiqa” certificate is the first of its kind in the Egyptian real estate market. It covers the maintenance of public areas and basic services in residential communities, ensuring high-quality maintenance for real estate projects, thereby adding value to the project and preserving the value of the units in the future.
Maintenance deposits are one of the biggest challenges in the real estate sector in Egypt, where customers pay between 8% to 10% of the unit’s value before receiving it, and then the developer starts demanding maintenance expense differences after a few years from delivery. This poses a burden on the customer due to the lack of clarity regarding the percentage increase in differences, especially with economic fluctuations.
Based on this, the “Thiqa” certificate cancels the maintenance deposit and provides a maintenance guarantee for a period of up to 20 years from the date of delivery, providing a more comfortable and transparent life for unit owners. The customer only needs to pay the guarantee certificate value once.
Abdullah Salam stated that his company is committed to launching innovative solutions and concepts to overcome obstacles facing customers in acquiring real estate, in order to keep up with economic changes and drive the real estate development market forward and into the future.
This step aligns with the ambitious expansion plan of the company, which aims to meet the diverse needs of the Egyptian market and create innovative solutions for the challenges faced by customers.
