The Most Important Information about Investing in the New Administrative Capital

November, 2023

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The New Administrative Capital is considered one of the most significant and largest real estate projects happening in Egypt and the Middle East that will be completely built in the upcoming years. Investing in the New Administrative Capital is one of the promising investment opportunities in Egypt, as it will replace Cairo as the country's capital, and this will lead to the relocation of most if not all, government entities there. Therefore the Egyptian government seeks to implement the project to the fullest extent and to provide all the services that the city’s residents need, including residential, commercial, administrative, and medical units, in addition to the presence of the best universities and schools.

The government's plan is to build a comprehensive city by all standards to become a complete destination, replacing an ancient city like Cairo. A difficult plan, but very necessary for several important reasons that we will learn about in this article. We will also delve into the advantages and disadvantages of investing in the New Administrative Capital.


First, what are the reasons behind the construction of the New Administrative Capital?

● Solving the problem of congestion in Cairo, as it is one of the most crowded cities in the world, with a population of more than 20 million people. This crowding has led to many problems, such as pollution and difficulty moving around.
● The Egyptian government seeks to develop the country's infrastructure, including roads, transportation, and public facilities. The New Administrative Capital is an opportunity to apply the latest technologies and standards in the field of infrastructure.
● Attracting foreign investments, Arab and foreign investors, as the New Administrative Capital is considered an opportunity to attract foreign companies and businessmen to Egypt.


Advantages of investing in the New Administrative Capital:


1) There are many advantages that make investing in the New Administrative Capital an attractive opportunity, the most important of which are:

● The strategic location of the New Administrative Capital on the Cairo-Suez Road, making it close to major cities in Egypt such as Badr City and Ain Sokhna, which is located directly after Cairo, Mostaqbal City, and Madinaty.
● The New Administrative Capital has advanced infrastructure, including roads, transportation, and public facilities.
● The New Administrative Capital offers a variety of investment opportunities, including residential, commercial, administrative, and medical projects.
● The Egyptian government is providing all the transportation that will help the Administrative Capital project succeed, including the monorail train, other latest means of transportation that will make commuting much smoother for residents of the region, and in addition to the establishment of the Capital International Airport, which is located on an area of 16 acres.
● The area of the new administrative capital in kilometers is about 714 square kilometers, which is equivalent to 170 thousand acres, which is also equivalent to the area of the country of Singapore and approximately four times the area of the state of Washington.


2) Investment attraction points in the New Administrative Capital


new administrative capital

In addition to the advantages mentioned above, there are many points that make the New Administrative Capital an important opportunity for real estate investors, and the most important of these points are:

● Expected population growth: The Egyptian government expects the population of the New Administrative Capital to reach 6 million people by 2050, creating a huge demand for real estate.
● Large government investments: The Egyptian government is investing billions of dollars in developing the New Administrative Capital, supporting the city's economic growth.
● International attention: The New Administrative Capital project receives great interest from foreign investors, which contributes to increasing the demand for real estate in the city.


3) Return on investment in the New Administrative Capital:

● The high volume of investment in the New Administrative Capital, and the confidence of companies and investors in investing in its various projects, increases expectations of a rise in prices in the New Administrative Capital after the government moves there permanently.
● The New Administrative Capital enjoys an exceptional position in terms of return on investment, which has prompted many companies and investors to invest in it.
● The volume of investment in the New Administrative Capital achieved record numbers during the year 2020, as it achieved 70% of the sales volume in the entire real estate market.


Disadvantages of investing in the New Administrative Capital:

Despite the many advantages of investing in the New Administrative Capital, there are some disadvantages that must be taken into consideration, the most important of which are:

● High cost: Real estate projects in the New Administrative Capital are characterized by a high cost, which may constitute an obstacle for some investors. However, there will be a high rate of return on investment which will make it worthwhile in the end. Not to mention that there are countless projects being developed offering a wide range of prices to suit different budgets.
● Political and economic risks: Investments in Egypt are associated with political and economic risks, which may affect the return on investment.


Investment options in the New Administrative Capital:

● Residential: Investing in residential real estate is one of the most popular investment areas in the New Administrative Capital. Residential projects in the New Administrative Capital are diverse.
● Commerce: The New Administrative Capital is a new commercial and economic center in Egypt. There are many investment opportunities in trade, such as investing in shopping centers, malls, banks, and administrative centers.
● Services: The New Administrative Capital is home to many services, such as health, education, and cultural services. There are many investment opportunities in services, such as investing in hospitals, universities, and educational and cultural institutions.


The most significant landmarks of the New Administrative Capital:

● Al-Fattah Al-Aleem Mosque: It is one of the largest mosques in Egypt, and is located in the heart of the New Administrative Capital.
● Cathedral of the Nativity of Christ: It is the largest cathedral in the Middle East, located in the heart of the New Administrative Capital.
● Medical City: It is an integrated medical city, and includes many hospitals and specialized medical centers.
● Expo City: It is an international exhibition city, and includes many halls and conferences.
● Sports City: It is an integrated sports city, and includes many stadiums and sports facilities.
● Misr Stadium: The stadium was built in the Sports City in the New Administrative Capital to be one of the largest stadiums in the world.
● Entertainment City: It is an integrated entertainment city, and includes many games and entertainment activities.
● City of Culture and Arts: A beacon of artistic, intellectual, and cultural creativity, it is considered the largest of its kind in the Middle East. It includes an opera house, a group of theaters, various exhibition halls, cinema halls, a musical orchestra, and a group of museums, libraries, and art galleries.

new capital map

Green River: It is the longest series of gardens in the world. The project is a simulation of the Nile River. It is a park in the middle of the layout of the New Administrative Capital, with an area of more than 1,000 acres and a length of more than 10 square kilometers.
● Administrative Capital Tower (Iconic Tower): The iconic tower is considered the most prominent among the other 20 towers in the New Administrative Capital. Because it is the tallest tower in Africa, its height reaches 385 meters, and it consists of 79 floors.
● Cairo Capitals Museum: The museum tells the stories of Egypt's capitals throughout history and the reasons for the movement of the capital. It contains a main exhibition hall that includes antiquities from Egypt's various capitals, such as Memphis, Thebes, Alexandria, Amarna, Fustat, Khedive Cairo, and Fatimid Cairo.
Monorail New Administrative Capital: The New Administrative Capital monorail line starts from the Stadium Station on the third line of the subway to the Adala City Station in the New Administrative Capital and is 56.5 km long. It also connects Greater Cairo to the new urban cities to the east.


new administrative capital egypt

The most prominent neighborhoods of the New Administrative Capital:

The New Administrative Capital includes 20 residential neighborhoods, including 8 neighborhoods in the first phase (R1 to R8). These neighborhoods are considered one of the best areas for housing in the New Administrative Capital, as they are distinguished by their central location and advanced facilities.

● Capital districts from R1 to R6: The residential neighborhoods from R1 to R6 are located in the first phase of the Administrative Capital, and they are government projects only. These neighborhoods are distinguished by their central location and advanced facilities, making them among the best areas of the New Administrative Capital for housing.
● The Seventh Residential District, R7: The Seventh Residential District (R7) is located in the center of the New Administrative Capital, and is distinguished by its location across from the government district and many important commercial landmarks. The neighborhood includes many luxury residential compounds and medium-cost residential apartments.
● The Eighth Residential District, R8: The eighth residential district (R8) is located in the east of the New Administrative Capital, and is distinguished by its location close to the New Administrative Capital Airport and many entertainment attractions. The neighborhood includes many luxury residential compounds and medium-cost residential apartments.
● Investors District: The Investors District is located in the New Administrative Capital on an area of 2,000 acres, and includes many residential, commercial, and entertainment compounds. The neighborhood is distinguished by its location close to the Government District and the Central Business District (CBD), making it one of the vital areas in the city.
● Diplomatic District: The Diplomatic district is located in the New Administrative Capital on an area of 1,200 acres, and includes the headquarters of embassies and international organizations. The neighborhood is distinguished by its location close to the Government District and the Central Business District, making it one of the vital areas in the city.
● Downtown Area: The Downtown area is a commercial, and administrative area in the New Administrative Capital, located in the heart of the city. The area of the Downtown area is 1,364 acres, and it is divided into five main neighborhoods: the tourist hotel district, the fashion district, the administration district, the heritage and arts district, and the government district.
● Government District: It is the headquarters of the new Egyptian government, and is located in the heart of the New Administrative Capital.

r7 new capital

● Financial and Business District: The project includes commercial buildings and units, the headquarters of banks and financial institutions, and the headquarters of the Central Bank.
● Al Amal Axis Area MU23: Al Amal Axis MU23 is a commercial and administrative area in the New Administrative Capital, and is located on Al Amal Axis, which is one of the main axes in the city. The area of Al Amal Axis area is 800 acres, and it is divided into three main neighborhoods: the commercial district, the neighborhood administrative, and the medical district.


The most important developers in the New Administrative Capital:

● Talaat Mustafa Group.
● Palm Hills.
● Edge Real Estate Development Company.
● Water Way.
● La Vista Real Estate Development Company.
● Misr Italia Real Estate Development Company.
● Amazon Holding Real Estate Development Company.
● Manasat Real Estate Company.
● Urban Lanes Real Estate Development Company.
● Home Town Real Estate Company.
● Nile Real Estate Development Company.
● The Land Real Estate Development Company.
● Taj Misr Real Estate Development Company.
● Castle Urban Development Company.
● Better Home Real Estate Company.
● Sorouh Developments
● Cornerstone Development
● Dahab Development
● Aqar Masr


The most prominent administrative and commercial projects in the capital:

● East Tower Mall
● Nile Business City Mall
● Lafayette Mall
● Monorail Tower Mall
● Oia Towers
● Sky Bridge Mall
● Amul Medway Plaza
● Entrada Avenue Mall
● Jusco Mall
● Solidere Mall, Administrative Capital.


Among the most prominent residential compounds in the New Administrative Capital are:

There are many residential compounds in the New Administrative Capital, each with its own style and features. Below are some of the most famous residential compounds in the New Administrative Capital:

● Aurora New
● Green Avenue
● Scarta
● Town Gate
● The Loft
● Roses
● Celia
● Scenario
● Sky Capital
● Boca
● The City
● Vinci
● Entrada
● Il Bosco
● The Curve
● Anakaji

Real estate investment in the New Administrative Capital is considered one of the most promising investment opportunities in Egypt, due to many factors. Real estate investment opportunities are diverse in the New Administrative Capital, as it is possible to invest in residential, commercial, or administrative units. Investment unit prices vary depending on the region, area, and facilities.

If you want to invest, buy, or rent a property in the New Administrative Capital, we advise you to deal with distinguished real estate consultants to help you. Contact RE/MAX Egypt through +202 2269 2004 or contact us here.