East Cairo real estate prices expected to continue increasing in 2015

A report issued by Jones Lang LaSalle (JLL) on the Cairo real estate market anticipated that residence prices will continue increasing in New Cairo.

The increase comes in light of several major projects, including: the new capital; Al-Mostakbal City; Palm Hills; the Madinet Nasr for Housing and Development’s (MNHD) joint project; and the government initiatives aiming to support the development of the suburbs of eastern Cairo.

The report by the real estate investments and consultancy company mentioned that the same thing does not apply to western Cairo, which is unlikely to witness such a strong increase in prices.

The available office spaces in Cairo remained unchanged, at 919,000 sqm of the total area available for rent in the second quarter (Q2) of 2015, according to the report. Vacancy rates have also witnessed an increase over 2014, but remained relatively stable at 33% over Q2 of 2015.

Office rentals in Downtown Cairo have witnessed a huge decline, the report added, as they have reduced to less than $30 per sqm per month, as most demand shifted towards the affiliated cities, especially in New Cairo.