Luxury lifestyle provider, DAMAC Properties, which has five developments across Egypt, has today announced that it has entered into a partnership with the Housing and Development Bank of Egypt.
This alliance will see 60 per cent of DAMAC Properties’ New Cairo projects transfer to the Housing & Development Bank. The value of the deal was not disclosed.
The projects at New Cairo are spread across 6,100,000 million square meters. Hyde Park, launched in December 2007, is a residential project consisting of the most exclusive villa development with extremely unique design and architecture. Park Avenue, introduced in February 2008 is a retail and commercial development and Centre Ville, a private, gated residential community.
The Housing and Development Bank S.A.E is well respected as a leading commercial and investment bank that principally operates in the housing and development sector. It is also involved in the construction of housing projects.
Welcoming the new partnership, Chairman of DAMAC Holdings, Hussain Sajwani said: ‘We are delighted to announce this new strategic alliance between ourselves and HDB for our New Cairo projects. The association with a reputed organization such as HDB will bring great value to our customers.’’
“As a property development company in the UAE, DAMAC Properties already has a track record of developing luxurious and innovative style properties. Here in Egypt, the opportunity to work with an organisation whose own commitment to the construction industry is so closely aligned with our own makes sense for both companies.’
Commenting on the partnership Mr Fathi El Sebai, Chairman of the HDB SAE, said: ‘We were excited by this opportunity to work with a company like DAMAC Properties and to become involved in one of their flagship developments here in Egypt.
“We feel that as an organisation with a long standing track record in the region we can assist and support DAMAC Properties in a number of ways that extends well beyond a financial partnership. We are looking forward to working with their team and feel confident that together we can deliver a truly outstanding development at New Cairo.’
Under the new partnership, HDB will purchase 60 per cent of DAMAC Properties’ development at Hyde Park. This share will then transfer to the management of the newly formed Hyde Park Property Development Company. A board will be formed comprising seven directors – four from HDB and three from DAMAC Properties who will manage the company going forward. DAMAC Properties will retain the remaining 40 per cent of the development.
All relationships with current customers of DAMAC Properties’ New Cairo projects will remain unaffected.
DAMAC Properties first entered the market in Egypt in 2007 with the launch of its Park Avenue development. Excavation works for this project is now complete and the company hopes the construction will commence imminently.
Other Damac Properties projects in Egypt; Gamsha Bay and Park Avenue at 6th October City remain unaffected by this deal.
DAMAC Properties has a proven track record and has already successfully delivered more than 3,100 units in the region. Currently there are more than 18,000 units under construction at sites across the GCC.
Mr Adil Taqi, CEO of DAMAC Properties in Egypt added: ‘DAMAC Properties has prided itself on its ability to spot prime locations and bring beautiful buildings to those areas for discerning customers. Our commitment and attitude to the Egyptian property market is exactly the same. We believe that our projects in New Cairo will be a stunning development and feel that working with HDB fully demonstrates this commitment and shows that we are here for the long term.’