Egypt’s TMG to Build $27 Billion Mixed-Use City East of Cairo

Mintesinot Nigussie

Egypt’s Talaat Moustafa Group (TMG) is moving ahead with plans to develop a large-scale mixed-use city east of Cairo, with total investment pegged at 1.4 trillion Egyptian pounds, or about 27 billion US dollars, according to the company’s leadership. Hisham Talaat Moustafa, the group’s chief executive and managing director, said at a press briefing on Saturday that the project, named The Spine, will be developed in cooperation with the National Bank of Egypt.

He said the venture will be backed by a paid-up capital of 69 billion Egyptian pounds, equivalent to roughly 1.3 billion US dollars. The planned development will be structured as a Special Investment Zone and will span about 2.4 million square metres. It will bring together residential housing, commercial space, hospitality facilities, retail outlets and entertainment zones, alongside landscaped public green areas within a unified urban design.

The project is also being positioned as an extension of TMG’s Madinaty development, forming part of a wider urban expansion strategy east of the capital. Moustafa said the scale of the investment is equivalent to about 1 percent of Egypt’s gross domestic product.

He added that the project is expected to generate approximately 818 billion Egyptian pounds in tax revenues for the state over the long term. Employment projections linked to the development include more than 55,000 direct jobs, in addition to several hundred thousand indirect jobs, according to the company.

Businesses in real estate, construction, hospitality and retail sectors are expected to benefit from the massive mixed-use development as it creates new opportunities for investment and economic activity east of Cairo.

Overall, TMG’s plan to build a $27 billion mixed-use city east of Cairo represents one of Egypt’s largest private sector urban development projects and is expected to have a significant impact on the country’s real estate and construction sectors.