Egypt tapped for leading role in WB's 1.5b health coverage push    Asia-Pacific stocks mixed on Tuesday    Novartis plans expansion in Egypt – Cabinet    Egypt welcomes 25-nation statement urging end to Gaza war    Famine kills more Gaza children as Israel tightens siege amid global outrage    Kuwait's Crown Prince, Egyptian minister discuss strengthening cooperation    Egypt's FM seeks deeper economic, security ties on five-nation West Africa tour    Egyptian Drug Authority discusses plans for joint pharmaceutical plant in Zambia    Madbouly reviews legalisation of newly annexed lands to new cities, housing offerings    Egyptian Countryside Development chief discusses cooperation with Italian ambassador    CIB completes fifth securitisation issuance for B.TECH worth EGP 859.4m    Roche helps Egypt expand digital pathology and AI diagnostics    Two militants killed in foiled plot to revive 'Hasm' operations: Interior ministry    Egypt exports 175K tons of food in one week    Egypt foils terrorist plot, kills two militants linked to Hasm group    Egypt, Somalia discuss closer environmental cooperation    Egypt's Health Minister reviews upgrades at Gustave Roussy Hospital    Giza Pyramids' interior lighting updated with new LED system    Egypt's EHA, Huawei discuss enhanced digital health    Egypt expresses condolences to Iraq over fire tragedy    Foreign, housing ministers discuss Egypt's role in African development push    Korea Culture Week in Egypt to blend K-Pop with traditional arts    CIB finances Giza Pyramids Sound and Light Show redevelopment with EGP 963m loan    Egypt, Uruguay eager to expand trade across key sectors    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    Egypt's Democratic Generation Party Evaluates 84 Candidates Ahead of Parliamentary Vote    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Arabtec project will increase competition in real estate market
Published in Daily News Egypt on 15 - 02 - 2015

Real estate companies believe that the Arabtec project (for one million housing units) will increase and promote competition between companies, while some companies believe that the project will harm their business and affect their sales.
Once the one million housing units project is implemented, the prices of housing units will increase due to the increase in labour wages and construction materials' prices, according to Ahmed Mohamed, sales officer of El-'akareya for Development and Investment.
Mohamed said that the government announced that the prices of construction materials will rise by 30%, and he linked this increase to the preparation for the project's implementation. This increase in the prices of construction materials will lead to increasing the prices of housing units by 30%.
He added that this project has a major advantage over other real estate companies, as it is represented in collaboration with the Ministry of Housing.
Real estate companies must develop alternative and new marketing plans to address developments in the market, as represented by the Arabtec project.
Sales coordinator of Roaya Group Mohammed Ali said the new project will not affect the company's sales, because each company has its targeted category and clients, as well as the locations in which they operate.
Ali added that the project will become a competitor in the case of implementing its units in the same areas as their company, because it will divide the target group and will lead to market fragmentation.
He said the impact of Arabtec project will have the same impact of the"Dar Masr" project for middle-income clients in the new cities, also implemented by the Ministry of Housing
"The project had a very large impact on the sales of the company for more than two months," revealed Ali. "The labour market will not be affected in the case of implementation, because of the large number of workers and they are much larger than what the market can digest, and therefore the implementation of the project will not result in higher wages."
Sales marketing director of IGI Real Estate Company Tarek Bahaa said that the one million units project will not affect the company, because it works in other areas than the ones in which the project will be implemented.
"Most real estate companies do not have a presence in the project's areas as the project focuses on all governorates, while real estate companies only focus on Cairo, Alexandria, and new cities," said Bahaa.
Sales manager of Jasmine Group for real estate investment and construction Abdel Latif Ali said that the project will increase competition between real estate companies and Arabtec.
Ali added that the companies will provide their best offers to attract clients. Meanwhile, he stated that the project will lead to an increase in prices of construction materials, noting that the project will have more impact on large real estate companies, rather than small ones.


Clic here to read the story from its source.