Egypt Residential Construction Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 18.75 Billion |
| Market Size (2029) | USD 26.73 Billion |
| CAGR (2024 - 2029) | 7.34 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Egypt Residential Construction Market Analysis
The Egypt Residential Construction Market size is estimated at USD 18.75 billion in 2024, and is expected to reach USD 26.73 billion by 2029, growing at a CAGR of 7.34% during the forecast period (2024-2029).
- Egypt's home market made an unexpected comeback, aided by the government's recent strict economic reforms, notably the recent relaxation of the country's foreign land ownership laws. In the year to Q1 2021, the national real estate price index grew by 28.3% (22.6% Inflation-adjusted), compared to a 30.8% fall in the same period in 2020. It is an effort to stimulate the housing industry,
- Egypt's president recently eliminated the remaining restrictions on foreign ownership of land and property. The president also permitted the government, Egypt's largest landowner, to use its property for public-private partnerships. These advances and fundamentally strong local demand are now supporting the housing market and the broader economy.
- Housing demand rose rapidly due to a consistent population increase, with 383,000 houses built between 2005 and 2014 and 1.5 million units built between 2014 and 2021.
Egypt Residential Construction Market Trends
Government Investment and Initiatives in the Residential Sector is Supporting the Market
In December 2022, Egypt's Urban Development Fund (UDF) began a nationwide massive urban housing project of EGP 600 billion (USD 20.11 Billion). The project entails building 230 urban areas in governorate capitals and important cities around the nation, totaling more than 14,422 acres. Thirty-five sites totaling 1,750 acres would be developed urgently, 60 sites totaling 2,600 acres would be developed on a priority basis, and the other 135 sites totaling 10,149 acres would be developed on a second priority basis. The whole project would be completed in five years.
In December 2022, the government completed by 83%. A project aimed at introducing more residential units in governorate capitals, with 1,272 units created in Upper Egypt at the cost of EGP 1.3 billion (USD 440 Million). In addition, a slum neighborhood known as "Al Dresa and Samakin" in Sohag is built by constructing 4,940 alternative-housing units in the exact location.
Also, Egypt's National Social Housing Program seeks to make it simpler for low-income families to own their own houses, giving better stability and aiding in the poverty cycle breakup. However, a lesser-known advantage of the program is that it addresses climate change by promoting energy-efficient and ecologically friendly building methods. The Social Homes Program (formerly known as "Housing For All"), which aims to provide low-income households with affordable housing, is no exception. It is Egypt's first national green building effort and the region's first green social housing initiative. The program implements the Green Pyramid Rating System (GPRS), which scores at least seven areas when a building is erected.
Relocation Of Egypt's Capital Increased Demand For Housing
The new city would be 45 km from the existing capital. The statement surprised Egyptians and others worldwide because Cairo is not only the Arab world's largest metropolis but also a critical cultural and historical landmark. It is also one of the world's most popular tourist sites. Thus it is usually buzzing with visitors. According to the Egyptian government, Cairo became congested, and a "new administrative capital" was a way to relieve pressure in the city. According to the plan, the new city will be established in an underdeveloped part of the Cairo Governorate and will serve as Egypt's administrative and financial capital.
The government intends to close Cairo's overcrowded and destitute slums by 2030 by relocating people's inexpensive housing to the new metropolis. The administration stated they intended to build a new parliament and presidential palace in the new city and many residential zones to accommodate Cairo's population. Around 5,000 of the 20,000 dwelling units were sold in the first residential district. The finished city is expected to house at least 6 million residents, its second and third phases primarily residential.
Egypt Residential Construction Industry Overview
The Egyptian construction market is fragmented, with numerous global, regional, and local competitors. The market is very competitive, with several chances for private enterprises. The government is assisting the sector by cooperating with private enterprises to pursue different low-income housing programs.
Orascom Construction, BIC for Contracting & Construction, Detac, Palm Hills Developments, The Arab Contractors, and others are among the market's significant participants.
Egypt Residential Construction Market Leaders
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Orascom Construction
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BIC for Contracting & Construction
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Consolidated Contractors Company
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Detac
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Palm Hills Developments
*Disclaimer: Major Players sorted in no particular order
Egypt Residential Construction Market News
January 2023: Upper House, a new residential development in Dubai's premier mixed-used community, Jumeirah Lakes Towers, is developed in collaboration with Ellington Properties. Ellington Properties is Dubai's design-led boutique developer, and Dubai Multi Commodities Centre (DMCC), the world's flagship free zone and Government of Dubai Authority on commodities trade and enterprise. Ellington Properties' first residential development in JLT is worth AED 1.2 billion (USD 0.33 Billion).
December 2022: Wadi Degla Developments (WDD), an Egyptian developer, is seeking chances to expand inside the nation. In line with the government's urban growth ambitions, it is also proposing new projects in Greater Cairo, Upper Egypt, the North Coast, and the Red Sea areas. Club Town, a 70-acre residential project in Maadi, was recently inaugurated by the developer for a total expenditure of EGP 1.5 billion (USD 61 million).
October 2022: ERG Developments, an Egyptian developer, inaugurated the complex residential Ri8 in the New Administrative Capital (NAC) with an investment of over EGP 3.5 billion (USD 178 million). According to Zawya Projects, the 25-acre Ri8 Compound will include 34 residential structures with 1,063 apartments and will be finished in three phases.
Egypt Residential Construction Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS AND DYNAMICS
- 4.1 Market Overview
- 4.2 Market Drivers
- 4.3 Market Restraints
- 4.4 Value Chain / Supply Chain Analysis
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4.5 Industry Attractiveness - Porter's Five Forces Analysis
- 4.5.1 Bargaining Power of Suppliers
- 4.5.2 Bargaining Power of Buyers/Consumers
- 4.5.3 Threat of New Entrants
- 4.5.4 Threat of Substitute Products
- 4.5.5 Intensity of Competitive Rivalry
- 4.6 Government Regulations and Initiatives
- 4.7 Technological Trends
- 4.8 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
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5.1 By Type
- 5.1.1 Apartment & Condominiums
- 5.1.2 Villas
- 5.1.3 Other Types
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5.2 By Construction Type
- 5.2.1 New Construction
- 5.2.2 Renovation
6. COMPETITIVE LANDSCAPE
- 6.1 Market Concentration Overview
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6.2 Company Profiles
- 6.2.1 Orascom Construction
- 6.2.2 BIC Contracting & Construction
- 6.2.3 Consolidated Contractors Company
- 6.2.4 Detac
- 6.2.5 Palm Hills Developments
- 6.2.6 The Arab Contractors
- 6.2.7 H.A.Construction (H.A.C)
- 6.2.8 El Megharbel Construction
- 6.2.9 Redcon Construction
- 6.2.10 GAMA Constructions*
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. APPENDIX
- 8.1 Macroeconomic Indicators (GDP Distribution, by Activity)
- 8.2 External Trade Statistics - Exports and Imports, by Product
- 8.3 Insights into Key Export Destinations and Import Origin Countries
Egypt Residential Construction Industry Segmentation
Residential construction is expanding, renovating, or building a new house or area designed for residential reasons. Residential development can be a complicated process with many phases and parties.
The market is segmented by type (apartment & condominiums, villas, and other types) and construction type (new construction and renovation). The report offers market size and forecasts for Egypt's Residential Construction Market in value (USD billion) for all the above segments. The report also covers the impact of COVID-19 on the market.
| By Type | Apartment & Condominiums |
| Villas | |
| Other Types | |
| By Construction Type | New Construction |
| Renovation |
Egypt Residential Construction Market Research FAQs
How big is the Egypt Residential Construction Market?
The Egypt Residential Construction Market size is expected to reach USD 18.75 billion in 2024 and grow at a CAGR of 7.34% to reach USD 26.73 billion by 2029.
What is the current Egypt Residential Construction Market size?
In 2024, the Egypt Residential Construction Market size is expected to reach USD 18.75 billion.
Who are the key players in Egypt Residential Construction Market?
Orascom Construction, BIC for Contracting & Construction, Consolidated Contractors Company, Detac and Palm Hills Developments are the major companies operating in the Egypt Residential Construction Market.
What years does this Egypt Residential Construction Market cover, and what was the market size in 2023?
In 2023, the Egypt Residential Construction Market size was estimated at USD 17.47 billion. The report covers the Egypt Residential Construction Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Egypt Residential Construction Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Egypt Residential Construction Industry Report
Statistics for the 2024 Egypt Residential Construction market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Egypt Residential Construction analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
