The Egyptian Company for Housing Development and Reconstruction (EHDR) is set to establish a real estate fund with EGP 60m in capital within three months.
Deputy Chairman and Managing Director of EHDR Hashem El-Said said the fund will present securities worth EGP 3bn and Egyptian laws allow the offering of securities worth 50 times the fund’s capital. The fund will have five main shareholders, most notably Pioneers Holding and Misr Iran Bank.
El-Said further highlighted the hindrances posed by the legislative structure in terms of the establishment of real estate investment trusts and that a number of authorities are coordinating to overcome these obstacles, including the Egyptian Financial Supervisory Authority (EFSA).
The size of the company’s investments in the local market augmented to over EGP 2bn. EHDR achieved a 157% growth in the profits recorded during the first half of last year, with over EGP 4.7m in profits.
