Your guide to invest in the New Administrative Capital in 2025

Your guide to invest in the New Administrative Capital in 2025

Alaa Muhamed 16 Dec 2024

When the announcement of the New Administrative Capital was made, discussions about this unique project spread everywhere. People started to question its efficiency. Some believed it was a good opportunity to relieve crowd pressure on Cairo, while others wondered whether it will be accessible to all people or limited to a specific social class only.

Others were questioned its potential success. Would this dream become tangible reality and achieve Egypt’s Vision 2030, or would it become just another unfinished project? Would the new Administrative Capital become a genuine investment hub? And the most critical question was: Why are the new capital being built when we already have the city of Cairo? And another questions filled the streets of Egypt at that time, The Administrative Capital became a topic of debate for many. Even till this day, The New Administrative Capital Remains a question mark.

In this article we will discuss the importance of the Administrative Capital and whether it’s considered a risk or a guaranteed investment in 2025.

What was the development process of the New Administrative Capital since it’s launched?

Before discussing investment in the New Administrative Capital, it’s important to understand the history and goals behind its creation. The New Administrative Capital is part of Egypt’s Vision 2030, which aims to achieve qualitative leap in infrastructure and urban development.

In 2015, President Abdel Fattah El-Sisi announced his intention to establish the New Administrative Capital, and they actually began to work on the project in 2016, covering a massive area of 170,000 acres.  The project was divided into three phases:

• The first phase covers 40,000 acres 
• The second phase covers 47,000 acres 
• The third and largest phase covers 97,000 acres 

Contrary to expectations, since the project was launched, It has made. Rapid development. The government focused its efforts on building world-class infrastructure, including advanced road networks.

The main goals of creating the New Administrative Capital was not only to alleviate the pressure on Cairo but also to create a new center that combines modern technology with integrated living.

The strongest infrastructure

one of the most important factors that contributes to the success of the New Administrative Capital is its advanced infrastructure. It’s characterized by its state-of-the-art infrastructure, unlike many other cities. It has been designed to integrate the latest global technologies and meet the need of the future generation. The government’s focus on this aspect is shown through the provision of:

• Road Network:

In designing this huge city, the Egyptian Government prioritized building a modern road and transportation network the capital would be inhabited, unlike the other cities, especially New Cairo. The capital has been fully equipped with a primary road network that connects it to the other key locations, such as the Suez from and Ain El sokhna Road.

One of the most significant and notable features that ease the access from and to the capital, is the monorail project, that connects the New Administrative Capital to Cairo. This has played an essential role in accelerating movement within Cairo.

Read this article To know more about the impact of roads and bridges on traffic inside Egypt, and the achievements of roads and bridges inside Egypt.

• Modern Utilities: 

The New Administrative Capital is fully equipped with a range of modern facilities designed according to the latest global standars to meet the growing demands of the city. Water and sewage networks have been established using advanced technologies to ensure the safety, high quality water to residents while maintaining the proficiency use of natural resources.

The government also focused on providing large-scale power generation stations to meet the electricity needs in the city, especially with its rapid growth. These stations have been designed to supply sustainable energy that keeps pace with the future development of the city.

Also, advanced water treatment and recycling stations have been established, contributing to the reduction of fresh water consumption. The treated water used for irrigating green spaces and urban agriculture, promoting environmental sustainability and resource conservation. In line with Egypt’s Vision 2030

• Technology: 

The New Administrative Capital is the first Egyptian smart city. Technology plays an important role in the design of the city, That’s the most powerful facility of the city, the usage of smart systems to manage all services and utilities.

Traffic and road management in the capital totally rely on modern technologies, such as smart cameras that monitor traffic flow and help reduce congestion. Also, high speed internet networks, powered by 5G technology.

Besides, the city focuses on smart systems for energy and water management, such as advanced lighting control systems in streets and efficient distribution of electricity according to real-time needs.

The most important landmarks in the administrative capital and their role in boosting the economy and attracting foreign investment

The new administrative capital is one of the most prominent development projects in Egypt, as it was designed to be a modern cultural center that reflects the Egypt’s future aspirations. One of the most prominent factors that contribute to attracting investments to it are the important places located in the heart of the city. These places are not limited to government facilities and ministries, but also include business areas and artistic projects. The most prominent of these landmarks are:

1. The iconic tower:

Before talking about the iconic tower, let me ask you a question: What will happen to Egypt's economy when it contains an ideal tower that mimics the Burj Khalifa? Of course, Egypt's economy will be significantly affected and tourism will also be positively affected. This is why the Egyptian government was keen to build this tower.

The "Iconic Tower" is considered one of the most important landmarks of the new administrative capital and has a major role in increasing local and international investments. It is also the largest tower in Africa, reaching a height of 385 meters. It also includes residential facilities, administrative offices, and distinct commercial areas, making it a destination that attracts foreign investors. This is because the foreign investor in particular is always looking for a place that is considered a focus of interest and distinctive to invest in, and this is what the iconic tower in the heart of the administrative capital achieves. 

2.  Financial and Business District: 

The Financial and Business District is considered one of the most prominent economic projects in the New Administrative Capital, and it represents the heart of commercial and financial activities in the city. This district includes major financial centers, banks such as: the Central Bank, the National Bank, and multinational companies, making it a pivotal center for attracting investments. 

Its modern design provides an ideal environment for business, while providing all the necessary logistical and technological services. The Financial and Business District is not only an economic center, but also reflects Egypt's ability to transform into a global investment destination. This project will make Egypt a regional center for the movement of money and business. 

3. Government District: 

When the administrative capital was announced, it was also announced that all governments, ministries, and the presidential headquarters would be transferred to the new capital, and many wondered why? 

The answer is, when all ministries and government institutions are transferred to the new administrative capital, this will greatly facilitate government transactions. In addition, Cairo will become less congested and the government work environment will improve in accordance with Egypt Vision 2030. 

The government district is one of the most important landmarks in the city. This district was designed to be an integrated administrative center that includes all government agencies and ministries, which facilitates the coordination process between various government agencies and enhances the efficiency of administrative work in Egypt. It is also equipped with the latest information and communications technologies to facilitate government communication processes and speed up procedures. 

4. The Green River: 

The Green River is a chain that resembles a river but consists of green gardens. It is the longest chain of gardens in the world with a length of more than 10 square kilometers and an area of more than a thousand acres. The Green River is distinguished by its unique design that combines vast green spaces with recreational facilities. It allows residents and visitors to enjoy a healthy and natural life experience in the middle of a modern city. 

This river is a simulation of the Nile River and connects universities and cities in the capital. It includes 7 gardens, which are: 

1.  Health and Housing Garden. 
2.  Historical Garden. 
3.  Botanical Garden. 
4.  Sports Garden. 
5.  International Garden. 
6.  Science Garden. 
7.  Money and Finance Complex.

5. City of Arts and Culture:

Art in Egypt is not just a means of entertainment, but rather a tool for expressing identity, feelings, and social and political positions. Therefore, the Egyptian government has focused its efforts on building the City of Arts and Culture in the new capital. This city covers 127 acres of the administrative capital, and reflects Egypt's development in the field of art and creativity.

Inside the City of Arts, you will find the "Museum of the Capitals of Egypt", which explains the historical features of the capitals of Egypt throughout history. It also contains the largest opera house and includes 3 theaters: a theater for opera performances, a theater for musical performances, and a drama exhibition.

In addition, the city has a huge library that accommodates many people and contains printed and digital books as well. It also contains the Oud House, the Mummies Hall, the Contemporary Music Building, and many landmarks.

6. Olympic City:

This city was designed to be a unique opportunity for Egypt to host the World Olympics or the World Cup. It includes all the different sports fields such as: tennis courts, squash courts, an equestrian club, training fields and open fields. It also has the Administrative Capital Stadium, which can accommodate about 90,000 spectators.

Sports are not just a game, but an industry and an investment. This city will contribute to supporting sports tourism in Egypt, and will enhance the position of the Administrative Capital as an ideal location for organizing major sporting events. It will also be a source of attraction for investors in the field of sports and entertainment.

The Administrative Capital represents a new historical era for Egypt and is considered a great leap towards the future. It places Egypt on the global map as a destination for investment and technological progress. The Administrative Capital projects are the cornerstone of Egypt's Vision 2030, which seeks to achieve sustainable development, improve the quality of life, and attract global and local investments.

Through the development of these integrated projects and facilities, many job opportunities are provided and economic stability is achieved in the future.

Why is investing in the capital an ideal choice? 

Investing in the administrative capital is a 100% guaranteed investment, as it is not just a city built randomly or disorganized. Rather, it is a country's direction and was established in an organized manner and has a number of large companies, huge projects and many investors. 

The new administrative capital is the future of real estate in Egypt and has been carefully planned to be Egypt's global destination. It competes with famous global cities such as: Dubai. The new capital is an opportunity for those who want to invest or move to a high-end residential neighborhood with all the services that make life easier. This is for many reasons, most notably: 

1.  The city has all ministries and government institutions, which will greatly increase the value of your unit. 
2.  The administrative capital has a group of universities such as: The Canadian University. 
3.  It also contains many international schools, including: The British International School, Manor House School. 
4.  Ease of movement to and from it thanks to the infrastructure and monorail. 
5.  The city is 100% safe and equipped with surveillance cameras in all places. 
6.  You will find hospitals, clubs, clinics and everything you need. 
7.  You can live and work in it because it contains upscale residential projects, administrative offices and shops.
8.  Thanks to long-term planning and continued development, the New Administrative Capital is expected to witness a significant increase in real estate value in the future, making it a profitable and sustainable investment.
9.  The capital contains distinctive tourist attractions such as: the iconic tower, the city of arts and culture and others, which will play a major role in raising the value of your residential or commercial unit in the capital.
10.  Among its advantages is the presence of the capital's international airport.
11.  It also has a conference and exhibition center.
12.  In addition to the presence of medical and entertainment malls.

The New Administrative Capital: The highest investment return

Many investors wonder about the profits of investing in the capital, and whether investing in it achieves the highest investment return compared to other cities, or is investing in it similar to investing in any other city?

Certainly, the returns on investment in the capital are very profitable due to its advantages and the success it achieves. However, the capital contains some companies that differ in the return and investment system. There are 3 investment systems, which are: 

•  Mandatory rent: 

The companies that follow this system work to sell commercial units that have been rented to famous brands and trademarks. This system helps the buyer a lot because he gets a ready unit with its own tenant from the first day, so he does not have to look for a tenant. He will also get a financial return from the first day because the unit will already be rented. In this system, the company is obligated to give the buyer the return. 

•  Rental authorization: 

In the rental authorization system, the company provides a distinguished location for the project in cooperation with an operating company with experience and a successful business history, in addition to a strong engineering consultant to design the master plan. 

The role of the operating company is to try to rent the unit, whether commercial, administrative, medical, or hotel, within a specific period of time, while obtaining a certain percentage of the returns upon completion of the lease. However, the company is not obligated to sell the unit with a ready tenant in advance. 

• Return on advance: 

Some real estate companies follow this system when selling their units in the capital or other places. This system is similar to bank interest, as the buyer gets a 20% return on the unit down payment every year until delivery, which is considered annual checks from the beginning of the contract. 

This system is very special because it guarantees you the annual increase and an annual return like banks until the time of delivery. 

Here is an example that shows you the investment returns in the New Administrative Capital: 

• Let's assume that you have a commercial unit with an area of 70 meters, at a price of 10 million pounds, and it will be delivered within 3 years. 

Payment plan: 

•  Pay a 10% down payment (1 million pounds). 
•  Install the rest over 7 years. 
• Unit price increase: 
•  The unit price increase is estimated at 25% annually. 
•  Within 3 years (at the time of delivery), the unit price will increase by 75% to become 17.5 million pounds. 

Profit upon sale: 

•  Upon receipt of the unit, the buyer will have paid only 50% of its original value (5 million pounds). 
•  If he decides to sell the unit at the new price (17.5 million pounds), he will make a profit of 75% of the original unit value.
•  The new buyer will complete the payment of the remaining installments, making the investment profitable and easy to manage.

Thus, buying a unit in the capital, whether commercial, administrative, medical, or hotel, becomes a golden opportunity to achieve a guaranteed and huge financial return.

Do you think investment in the Administrative Capital will be a golden opportunity in 2025?

The New Administrative Capital is one of the most significant investment opportunities in Egypt in 2025, it offers a lot of advantages and opportunities , despite some economic challenges such as inflation and rising prices. 

One of the most important features of this city that will make it a distinctive destination for investment over the years is that it contains a number of ministries and major government institutions that have been transferred there, which contributes to increasing demand for real estate and enhancing market stability. This transformation of ministries symbolizes the strength of the capital's infrastructure and administration and is considered one of the key factors that make it the perfect  destination for living and working 

Evidence to ensures that the New Administrative Capital is the perfect destination to invest in:

• Distinctive  location:

The New Administrative Capital is located in the heart of Egypt, and it represents a major link between many of the country's major cities. Its geographical location is one of the main factors that make it an ideal destination for investment. The ease of movement and access to it by monorail and expressways to increase the demand for real estate in it. 

•  Advanced urban planning:

The Administrative Capital was built with modern and advanced designs, where residential, commercial and administrative areas were allocated in innovative ways that ensure comfort for investors and residents. The city's infrastructure provides an ideal environment for long-term investment.

• High investment return:

Despite inflation, the Administrative Capital provides investors with high returns thanks to the continuous demand for real estate, the availability of advanced infrastructure and distinguished services. Real estate prices in the Administrative Capital are expected to continue to rise, which will enhance returns on investment in the long term.

•  Diverse investment opportunities:

Investors can invest in residential, commercial or administrative, medical or hotel properties. What distinguishes the capital is the diversity of available opportunities that suit all types of investments, which ensures attracting more local and international investors. The capital has also contributed greatly to creating job opportunities for many young people.

• Integrated services and facilities:

The Administrative Capital is distinguished by providing all the services and facilities that residents and investors need, including international schools, hospitals, shopping centers, and public parks. This makes the city an ideal destination for living and working in an integrated environment.

As 2025 approaches, the New Administrative Capital remains a major turning point in Egypt’s future. Despite the questions and doubts surrounding it, Egypt’s Vision 2030 continues to enhance this city to become the beating heart of the country’s economy and administration. 

The New administrative Capital offers you a several opportunities if you are thinking about investing. It’s the future of investment. In smart infrastructure, mega projects and in a vibrant business environment. Don’t miss this golden opportunity, as the new administrative Capital will or the perfect choice in 2025.

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