Egypt’s New Urban Communities Authority (NUCA) reportedly agreed to resume work on the City Gate project in New Cairo, owned by the Qatari real estate company Qatari Diar, after a four-year pause.
According to reports, Qatari Diar has obtained approval from the authority to work on the City Gate project, which has been suspended since 2016 due to a dispute between the company and NUCA.
East Gate, the owner of the development and a Qatari Diar subsidiary, received its approval from the authority, following a court ruling that NUCA was not entitled to ask for fees of $88.11 million (EGP 1.379 billion) from the company. According to local media, the construction work of the City Gate project amounted to $520 million.
Currently, the Qatari company is communicating with local contractors in preparation for the resumption of construction activities. “The first phase of the project will encompass investments worth $63 million (EGP 1 billion),” as per the reports.
Recently, the Qatari finance minister visited Cairo to participate in the inaugural function of the Qatari Diar owned St. Regis Hotels on the Nile Corniche, which has investments of $1.3 billion.
Qatari Diar is a real estate company established by the Qatar Investment Authority, the sovereign wealth fund of the State, in 2005 with headquarters in Doha. The company intends to support Qatar’s growing economy and to coordinate the country’s real estate development priorities. Qatari Diar owns several projects in Egypt, most notably in New Cairo, the resort of Sharm El-Sheikh, and in Hurghada.
New Urban Communities Authority
The New Urban Communities Authority (NUCA) is an economic institution in charge of urban development in Egypt. It is tasked with identifying new city sites and formulating their development strategies. It ensures the well-functioning and good management of the infrastructure and public facilities in new cities.