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Egypt's Al-Burouj Misr is planning to deliver its 1.7 billion Egyptian pounds ($108 million) Sixty Iconic Tower project, located in the New Administrative Capital (NAC), in 2024, a top company official said.
Mohammed Al-Assi, Vice Chairman of the Company's Board of Directors told Zawya Projects 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.
South Africa-headquartered global architectural firm DSA Architects International is the designer, he said.
He added 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 ($19 million) for initial works.
The company is negotiating with an international hotel operator to manage the hotel apartments, he said.
On the sales front, he pointed out that the overall target is 3 billion pounds ($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."
Future plans
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 ($444 million), and the targeted sales exceeded about 13 billion pounds ($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 ($127 million) in sales this year, including 1.5 billion pounds ($95 million) from the new project and about 500 million pounds from other projects," he concluded.
(1 US Dollar = 15.76 Egyptian Pounds)
(Reporting by Marwa Abo Almajd; Editing by Anoop Menon)
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