The Ministry of Housing, represented by the New Urban Communities Authority (NUCA), signed a partnership agreement with Palm Hills Development Company to implement the October Waha City on an area of 3,000 feddans in the 6th of October City with investments estimated at EGP 150bn.
Prime Minister Sherif Ismail witnessed the signing of the agreement between NUCA Deputy Director Tarek al-Sebaey and Chairperson of Palm Hills Yaseen Mansour. The ceremony was also attended by Minister of Housing Mostafa Madbouly.
During the ceremony, Madbouly said that NUCA will contribute by land in the project in exchange for 26% of total revenues of Palm Hill’s projects.
October Waha is very similar to the Madenati project agreement implemented by the Talaat Mustafa Group, in which the state participated by offering the land for free and received financial revenues and units in the projects.
Madbouly said that the project aims to set up an integrated services and activities urban community, as well as to establish an investment service area to enhance services in the city. “The project includes residential units of several levels, commercial, entertainment, educational and investment areas, next to green and open spaces,” he added.
Moreover, he pointed out that the core concept of partnering with NUCA is based on allocating lands for major development companies with prior expertise, where NUCA offers facilitated payments through cash and units and in exchange receives a share of the units in the project.
He noted that the project will be built near the urban bloc of the existing city, which will promote marketing of the project.
He also said that buildings will be built as high as 36 metres tall.
The project is located south of 6th of October City. It is expected to accommodate 200,000 people in 40,000 units different in area and level.
For his part, Yaseen Mansour, chairperson of Palm Hills, said that the project reflects the mutual trust between the government and the private sector, and stresses that the government recognizes the importance of the role of the private sector in participating in the development process currently taking place in Egypt. He noted that the general plan of the project will be completed soon and permits will be issued within the coming 18 months.
Mansour added that the Egyptian market has seen a positive move by the government over the last few years, highlighting the decisions that boosted the confidence in the economic environment and encouraged investors in expanding with confidence.
“We believe in the current investment climate in Egypt and convey our optimism and confidence for all our foreign partners abroad,” he stressed.
Mansour also said that Palm Hills strategy relies on establishing investment projects with development axis that contribute to creating jobs for the Egyptian youth.
He noted that the October Waha City will be set up with the help of major houses of engineering and economic expertise, such as Albert Speer, McKinsey, and Ernst & Young, will represent a development boom turning the desert into an oasis vibrant with life, and create a modern and smart integrated society.