Egyptian real estate development company Social Brix has announced an alliance with Sakr Fund for Real Estate Investment and digital platform Fawida. The partnership aims to develop a portfolio of projects and investment opportunities worth over 30 billion EGP within the next two years. The alliance will focus on several areas, including New Cairo, 6th of October City, New Sphinx, North Coast, and the Red Sea.
The new model combines real estate development with institutional investment, organized financing, and digital tools. Social Brix will handle project development and management, from studying opportunities and selecting assets to development, financing, execution, marketing, and sales. The company will also manage assets according to the nature of each project. The alliance relies on distributing roles among the three parties, with Social Brix contributing its expertise in development, execution, project management, and marketing.
Sakr Fund for Real Estate Investment will provide the investment and structural framework, while Fawida platform will offer a digital channel to access investment opportunities. These opportunities will include full or partial ownership, depending on the project's nature and adopted legal and regulatory structure. The partnership comes as the Egyptian government discusses developing the regulated framework for the real estate market.
Ahmed Sakr, chairman of Sakr Fund for Real Estate Investment and Fawida, and member of Social Brix's board of directors, stated that the model aims to provide an investment structure with a clear asset and governance and monitoring mechanisms. He added that the model includes using escrow accounts and cooperation with banking institutions to link project funding to execution stages.
Ahmed Fouad, chairman of Social Brix's board of directors, said the new model seeks to expand the company's work from developing and selling units to creating and managing real estate assets and investing in them. He explained that the mechanism starts with studying the opportunity and selecting the asset, followed by development, execution, project management, and marketing.
The targeted products include hotel, administrative, and commercial projects, in addition to other investment opportunities developed by Social Brix or through partnerships with developers and project owners. The company is studying several existing and under-construction projects, as well as new development opportunities, based on technical, financial, commercial, and investment criteria.
The alliance's parties are examining a range of real estate opportunities, and details of projects and investment products will be announced successively. The partnership is expected to provide a new investment structure that balances the needs of developers and investors, offering clear data on investment structure and financial flows.
Key points
- The alliance aims to develop a 30 billion EGP real estate investment model within two years.
- The model combines real estate development with institutional investment, organized financing, and digital tools.
- The partnership provides a digital channel to access investment opportunities through Fawida platform.
