The Housing Ministry has reclaimed five plots of land on Egypt's northwest coast after their owners breached allocation terms, a senior source at the New Urban Communities Authority (NUCA) told Al Manassa.
The reclaimed land is part of a broader review process currently underway. According to the source, NUCA, a subsidiary of the Housing Ministry, is assessing another 10 plots, totaling nearly 500 feddans (approximately 2.1 million square meters), for potential revocation.
Last week, the same source said the authority is considering reclaiming a total of 4,000 feddans (approximately 16.8 million square meters) in the northwest coast, potentially valued at 110 billion Egyptian pounds (about $2.24 billion).
This move stems from widespread violations of allocation conditions, including developers’ failure to make installment payments for over a year, despite repeated reminders.
“Some owners stopped paying for an entire year. We tried to reach out, but there was no response,” the source said, requesting anonymity.
Other breaches cited included the complete failure to carry out any construction work on the allocated land — a clear breach of the terms of the allocation contract with the authority.
They noted that the maximum permitted time frame for completing construction varies from one plot to another, depending on the purpose of the allocation and the entity that owns the land.
The disputed land plots were sold to a range of stakeholders, including private investors, companies, cooperatives, trade unions, and state entities.
Parallel negotiations are ongoing between 123 real estate developers and the Housing Ministry to resolve irregularities related to land use along the northwest coast.
The talks come in the wake of a cabinet decision to form an inter-ministerial committee tasked with reassessing ownership and regulatory compliance, Al-Borsa, a business news site, reported last week.
Meanwhile, NUCA has introduced new service fees for North Coast projects involving multiple stakeholders. The charges vary significantly by location, with rates of 500 Egyptian pounds (approximately $10) per square meter for land south of the coastal highway, 750 pounds (around $15) north of the highway, and 1,000 pounds (about $20) for seafront properties, Asharq Business with Bloomberg reported today.
In May 2020, the Cabinet approved a presidential decree to reallocate four large land parcels—totaling around 707,000 feddans—in the North Coast for urban expansion under NUCA's management.
The move signaled the state’s long-term interest in transforming the coastline into a regulated urban zone rather than a seasonal tourist destination.
