Talaat Moustafa Group Holding (TMG Holding) announced on Monday that its subsidiary, Talaat Moustafa Company Baghdad, has received an investment licence from National Investment Commission (NIC) of Iraq and secured a major land bank for development of an integrated urban community in southwest of Iraqi capital Baghdad.

The project will comprise approximately 43,000 residential units and is expected to accommodate around 250,000 residents upon completion, the EGX-listed entity said in a stock exchange statement.

Mixed-use elements

The master plan also includes approximately 2.3 million sqm of non-residential built-up area (BUA), encompassing retail and commercial assets, including a regional mall, office and administrative spaces, hospitality, educational and healthcare facilities, religious and civic services facilities, a large-scale sports and social club, entertainment venues, parks, and open green spaces.

The development period is approximately 16 years, the statement said, adding that the full sell-out is anticipated within 12 years.

TMG said the project is being designed as a self-sustained smart and green urban community supported by sustainable infrastructure and digital management systems.

It added that the project will introduce larger-scale, high-quality integrated residential developments to the Iraqi market supporting Iraq’s long-term economic and developmental transformation.

The initial agreement for the project was signed with NIC in May 2025.

$18.8bln projected sales

According to preliminary feasibility studies, the project is expected to generate cumulative sales of approximately $18.8 billion, alongside recurring annual revenues of approximately $108 million upon full completion from leasing and hospitality assets. The project is expected to achieve an overall gross margin of approximately 20 percent.

The land bank, spanning approximately 12.8 million square metres (sqm), is strategically located within Baghdad Financial and Economic City and benefits from direct connectivity to key financial and administrative districts. The site is also in close proximity to Baghdad International Airport.

Regional expansion strategy

The Iraq project is part of TMG Holding's accelerated regional expansion strategy, executed through Talaat Moustafa Group KSA, owned 60 percent owned by TMG Holding and 40 percent by Saudi-based AlMuhaidib Group.

The expansion programme has increased the group’s total land bank from approximately 115 million sqm to around 128 million sqm, adding an estimated $3.58 billion in incremental land bank value.

In the GCC, TMG's land bank is expected to reach approximately 28 million sqm. The company is currently developing Banan City in Riyadh, spanning an area of 10 million sqm and had secured 4.9 million sqm of land in Oman last year for two mixed-use projects.    

(Writing by Marwa Abo Almajd; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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