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Housing prices a chronic problem
Published in The Egyptian Gazette on 14 - 07 - 2018


By the Gazette Editorial Board
Work is proceeding at a quick pace in the New Administrative Capital which is designed to be the pearl of Egyptian cities. The city has so far attracted major real estate developers to build housing projects that cater to various social strata.
According to official statements, construction work is in full swing particularly in the government district, to ensure that the ministries' new headquarters will be ready on schedule. The district, whose cost is estimated at LE35 billion, includes headquarters for the cabinet, ministers, parliament, presidential guard and a presidential residence.
The transfer of ministries to the new premises will take place over two stages, the first is slated for mid-2019. The second phase, to be completed by the end of 2020, will include the transfer of many government bodies and some sectors which offer direct services to citizens.
The ongoing vehemence about the countdown for the transfer is being paralleled by advertisements which are marketing private-sector residential agglomerations in the administrative capital located on the outskirts of the old capital.
However, the prices which are being offered for the housing units are far beyond the means of average citizens, even though the head of the New Capital has said that the city was designed to accommodate people of various financial levels.
Yet, he also said that the price of land in the promising new capital, especially in areas allocated to investors, was constantly on the rise because of high demand.
So, those hoping to find jobs or a suitable residence in the new capital have been concerned over the price of housing units, whether those built by the government or the private sector.
The point is that the Housing Ministry's policy regarding its so-called social housing projects, which should cater to the middle class, in various parts of the country has of late been questioned. The announced prices, even if they were to be paid in long-term installments, are still challenging to the targeted category.
So, there is a question that has to do with the civil servants who will be relocated to new work sites with the transfer of the ministries next year.
Will they be granted financial facilities to help them find new homes at affordable prices? Or will they be compelled to waste much time on the road to go to work in the New Administrative Capital and then return home?
The construction of the new capital is meant, not only to create a smart administrative centre but also to alleviate pressure on the old capital which has become over-congested, and to establish a new urban stretch in the desert area.


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