CAIRO: The board of Egypt’s urban developer Medinet Nasr Housing and Development (MNHD) approved “in principle” an offer from Saudi Arabian Fawaz Al-Hokair Group to construct a mega mall at MNHD’s Teegan project, according to a joint Tuesday statement.
The new mall will be built on a 100,000 sqm plot of land owned by MNHD.
“The Egyptian Centres for Real Estate Development (ECRED,) a subsidiary of the Saudi group, will build the mall over three years and operate it for the remainder of the usufruct period,” the statement read.
Under the offer terms, the land plot will be allocated to Fawaz Al-Hokair Group under a 50-year usufruct, and MNHD will in the same time obtain a share of the mall’s revenues.
At the end of the usufruct period, the land and building will be returned to Egyptian developer. MNHD said the new mall would include a gross leasable area of 68,500 sqm.
The Teegan development is a 3.5 million sqm project located in the east of Egypt’s capital, across from Cairo International Airport.