Egypt's new rent law, which came into effect in August 2025, has organized the duration of rental contracts for residential units and specified cases where the rental relationship can be terminated before the end of the contract period. The law, numbered 164 of 2025, stipulates that rental contracts for residential units will continue for 7 years from the date of the law's implementation, meaning they will continue until August 2032, unless the landlord and tenant agree on a new contractual arrangement during this period.
According to the law, there are two cases where a unit can be evacuated before the end of the 7-year period. The first case is when the unit has been closed for more than a year without a legal justification. If it is proven that the rented unit has been closed for over a year without a valid reason, the landlord can request eviction, leading to the termination of the rental relationship before the specified period ends.
The second case where a unit can be evacuated is when the tenant owns another unit suitable for the same purpose. If it is proven that the tenant or the person to whom the rental contract has been extended owns another residential or non-residential unit suitable for the same purpose as the rented place, the landlord can request eviction before the end of the 7-year period, provided that the legal conditions are met and the fact is proven.
The law also stipulates that at the end of the specified period for rental contracts, the tenant is obligated to evacuate the unit and return it to the landlord unless the two parties agree on a new contract or another legal arrangement. If the tenant refuses to evacuate the unit at the end of the period, the landlord has the right to take the legal and judicial measures provided for in the law to demand eviction.
The new rent law aims to organize the relationship between landlords and tenants and provide a clear framework for the duration of rental contracts. The law also provides for other reasons for eviction, as stipulated in Article 18 of Law No. 136 of 1981. These provisions are designed to balance the rights and obligations of both landlords and tenants.
The implementation of the new rent law has significant implications for tenants and landlords in Egypt. Tenants who have been renting units under the old law will have to adjust to the new provisions, while landlords will have to ensure that they comply with the new regulations. The law is expected to reduce disputes between landlords and tenants and provide a more stable and predictable rental market.
In conclusion, Egypt's new rent law provides a clear framework for the duration of rental contracts and specifies cases where a unit can be evacuated before the end of the contract period. The law aims to balance the rights and obligations of both landlords and tenants and provide a more stable and predictable rental market.
Key points
- The law allows for unit eviction in two specific cases: when the unit has been closed for more than a year without a legal justification, and when the tenant owns another unit suitable for the same purpose.
