Recently established Capital Commercial targets EGP 1bn sales
Capital Commercial,which specialises in marketing services for administrative, commercial, and service projects, targets achieving sales of EGP 1bn for developers during the current year, according to Capital Commercial Chairperson Mohamed Rashad.
For his part, chairperson of Capital for Real Estate and Investment, Farouk Rashad, said that the company has established a new company, Capital Commercial, to market administrative and commercial projects.
Farouk Rashad added that Capital Real Estate’s expected sales are EGP 2bn within the current year compared to EGP 700m last year, of which EGP 200m came from administrative,commercial, and medical projects, pointing out that the company’s portfolio includes more than 80 projects for 35 developers.
Mohamed Rashad explained that the new company is part of Capital’s plan to expand in a number of activities and to separate administrative and service projects from the residential sector to increase its target for the current year in light of the high demand for administrative and commercial projects.
Farouk Rashad expected an increase in real estate prices of 20% to 25% during the current year, driven by the expiration of high-interest rate certificates and the summer season, which is characterised by high demand on property.
“Our vision is to become a real estate developer and we have a fiveyear plan, at the end of which we will launch a real estate development company.We started to conduct feasibility studies to study the market and find out about customers’ needs,” Rashad pointed out.“We further think of acquiring more residential areas whether in coastal areas or new urban cities.”
He noted that his company will focus its marketing plans for projects in the North Coast because several projects have been launched there recently and the company will market them.
There is a large demand for commercial, administrative, and medical projects, Farouk Rashad said. However, most of these activities exist within residential projects, he said, adding that there are no sufficient projects specialised in commercial and administrative activities, and that for every 10 residential projects, only three commercial projects stand.