Talaat Moustafa Group (TMG), through its development arm in the Kingdom of Saudi Arabia, has announced the signing of the final agreement to purchase the land for the Madinat Banan project and its commencement.
The company clarified that the Madinat Banan project is a mixed-use development aiming to create a sustainable smart city with high-quality living standards in the Fursan district east of Riyadh’s Saudi capital. The company’s strategy is to find solutions and alternatives to diversify and expand its revenue streams locally and regionally.
Madinat Banan will provide more than 27,000 residential units with different and diverse areas, including apartments, villas, and land for family housing. The project covers an area of 10 million square meters, which includes vast open green spaces.
The mixed-use project will offer integrated services such as healthcare, education, commercial, a sports club, and public service areas.
The expected total revenue from sales and rentals is estimated at 38 billion riyals, and the project’s investment cost is estimated at 31.4 billion riyals.
The project’s revenues and returns will be added to the group’s total revenues, enhancing the group’s foreign currency resources and creating additional liquidity for future dividend distributions and reinvestment in high-quality recurring income assets.
Talaat Moustafa Holding Company’s profits increased by 44% last year, reaching 3.31 billion Egyptian pounds, compared to a profit of 2.3 billion pounds in 2022.
The company’s revenues increased during the past year to reach 28.43 billion pounds, compared to 19.87 billion pounds in 2022.
Talaat Moustafa Holding Group also announced its agreement with the Emirati holding company ADQ and Madinet Nasr for Housing and Development to cooperate in the general development of the Ras Al Hikma project.
The company said that cooperation in implementing the Ras Al Hikma project is part of the group’s strategy to create continuous added value that benefits the company’s shareholders by maximizing returns and creating added value for them.
The UAE Ministry of Investment witnessed the signing of a historic agreement between the Egyptian government and the UAE government, represented by a private alliance led by ADQ, a holding investment company in the Emirate of Abu Dhabi. Under this agreement, ADQ will invest $35 billion in Ras Al Hikma, a coastal area located approximately 350 kilometers northwest of Cairo.
The agreement also includes the acquisition of the development rights for the Ras Al Hikma area for $24 billion, and ADQ will also transfer $11 billion in deposits that will be used to invest in major projects throughout the Arab Republic of Egypt.
Mohamed Hassan Al Suwaidi, Chairman of Abu Dhabi Developmental Holding Company, said that the project is the size of an entire city with an area of 170.8 million square meters (40.6 acres).
He pointed out that $150 billion will be pumped throughout the project by the UAE.
About Talaat Moustafa Group:
Talaat Moustafa Group (TMG) is a well-known real estate development company in Egypt and the Middle East, established in 1958. The company has a proven track record of success in developing top-notch residential, commercial, and industrial projects. TMG is listed on the Egyptian Exchange and has a market capitalization of over EGP 100 billion.
About Madinat Banan:
Madinat Banan is a mixed-use development project located in the Fursan district east of the Saudi capital, Riyadh. It will cover an area of 10 million square meters and provide more than 27,000 residential units, including apartments, villas, and land for family housing. The project will also offer integrated services such as healthcare, education, commercial, a sports club, and public service areas.
