EGYPT – Al-Burouj Misr, has launched its Sixty Iconic Tower project in the New Administrative Capital’s (NAC) financial and business district, with investments of EGP1.7 billion (US$108 million).
Mohammed Al-Assi, Vice Chairman of the Company’s Board of Directors said that the 40-storey tower, which will house offices, shops, and hotel apartments, is spread over 13,000 square metres (sqm) and would have a built-up area of 55,000 sqm.
He also said that the South Africa-headquartered global architectural firm DSA Architects International is the designer, and that construction is scheduled to start in the third quarter of 2021.
“We have received governmental approvals, and Administrative Capital for Urban Development [NAC’s master developer] is carrying out design review,” Al-Assi said, adding that the company has allocated about 300 million pounds (US$19 million) for initial works.
He said that the company is negotiating with an international hotel operator to manage the hotel apartments and on the sales front, he pointed out that the overall target is 3 billion pounds (US$190 million), with 50 percent of the sales to be achieved in 2021.
“Investors now prefer projects that will have a return in the short-term. With its proximity to Downtown and the government district, the Central Business District is a promising investment opportunity,” he said.
Commenting on expansion plans, Al-Assi said that NAC’s MU7 area holds potential for more projects due to its proximity to the Green River and the government district and the axis of Mohammed bin Zayed and the monorail.
He noted that Al-Burouj Misr is among the ten companies that applied for lands offered in El Alamein by the New Urban Communities Authority (NUCA) and is awaiting the final award.
He also disclosed that the company is close to sealing a partnership with a Gulf company for investments in real estate and industrial projects.
“We have good cash flows that allow us to provide the liquidity needed for projects. We are close to allying with one of the Gulf companies, which will increase our financial strength,” he said.
“The investment value of our ongoing real estate projects stands at about 7 billion pounds (US$444 million), and the targeted sales exceeded about 13 billion pounds (US$825 million) in all the projects that the company is working on, either individually or through its affiliated company, Edge Holding.
In the NAC, the company is currently building 3 Point, and Sixty Business Park projects in the financial and business district and is partnering with Edge Holding for the Oia Tower project in the Downtown area.
“We are targeting 2 billion pounds (US$127 million) in sales this year, including 1.5 billion pounds (US$95 million) from the new project and about 500 million pounds from other projects,” he said.
The launch comes as part of the company’s expansion plan that includes developing various projects in several areas, in line with the Egyptian government’s urban plan.
The company has recorded successes in the real estate investment field through distinguished projects, such as the Sixty Business Park in the financial district and the banking area near the government district, which will be opened soon.
This is in addition to the Sixty Corporate project, which will be offered for rent to investors working in the capital market, stock exchange companies, and companies operating in the banking sector, he concluded.
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