IHD Real Estate Development is studying a new residential project in the Administrative Capital as part of its expansion plan in the real estate market to diversify its investment portfolio, especially after achieving the sales target of the Vivid Business tower project, which is a commercial administrative project in the Downtown area.
Hisham El-Fouly, head of the commercial sector in the company, said that the new administrative capital is considered a magnet for investors, whether inside or outside Egypt, during the coming period, given the promising investment opportunities in it, in light of the state’s plan to bring about an urban boom at the level of the Republic, whether in the governorates, or new cities and cities of the generation. Fourth, especially the administrative capital, pointing out that the entry of the private sector as a partner in this renaissance contributes to accelerating the pace of work, and achieving comprehensive development on the ground in record time.
Al-Fouly added that the real estate market witnessed, during the past two years, many negative phenomena, including burning prices as a result of the lack of liquidity among companies, fierce competition between developers, and the desire of each company to obtain the largest share of sales, pointing to the severe confusion witnessed by the boards of directors of companies that burned prices Its projects, pointing out that a large number of companies are currently dependent on financing during the delivery years on the check cutting system to expedite their deferred profits and get out of the cash deficit.
Al-Fouly added that the rise in the price of the dollar and the consequent rise in the prices of raw materials, in addition to the high interest rate on borrowing, led to a decrease in the financing resources of companies and consequently their exposure to a liquidity crisis during the coming period, calling for the need for radical solutions to control the prices of raw materials, which rise exaggeratedly and at intervals. A similar period of time, which makes companies unable to determine the rates of increase in the price of the final product, which is the real estate unit, and thus a state of chaos in p
Aya Atef, head of the sales sector at IHD, explained that the company is preparing to participate in the investor exhibition, which will be held on May 13-14, at Al-Massa Hotel in the New Administrative Capital, noting that this exhibition enjoys a special place because it aims to attract Arab and foreign investors to buy in The capital, within the framework of the state’s plan to export real estate, which is what the company seeks during the coming period, by allocating a percentage of its projects for sale to foreigners
The head of the company’s sales sector added that the company follows sales systems that achieve annual returns for its customers, as the customer receives an interest of 16% on its annual installments for a period of four years, in addition to mandatory lease contracts with an annual interest of 8%, in addition to the natural increase in real estate prices, which It is estimated at 10% each year and thus, great profits.
Atef stressed that real estate is a safe haven for saving, in light of the high rates of inflation, noting that inflation is a monster that destroys profitability, and that investing in bank certificates will not be in the interest of customers, because the return on these certificates does not match the high rates of inflation.