State–TMG EGP 11 Trillion Deal and a Push for Rental Homes: What It Means for Buyers

Masari Team

On Tuesday 20 October 2026, President Abdel Fattah El-Sisi witnessed the announcement of an agreement between the Egyptian state and Talaat Moustafa Group (TMG) to develop, build and operate four large mixed-use projects with a total value of EGP 11 trillion. The announcement came during the urban development session on day two of Egypt Forum 2026, where the President also called for a major push on homes built for rent. Here is what was actually announced, what is still unknown, and what it means if you are buying or renting in New Damietta.

What happened

Al Mal News, Daily News Egypt and Al Dostor all report the same headline figure, EGP 11 trillion, and the same four projects. Two of the outlets also note that Prime Minister Mostafa Madbouly attended.

The four projects

  1. North of Madinaty in East Cairo. No area or components published yet.
  2. Central Alexandria, on 11.3 million square metres, the only area figure reported.
  3. Abu Qir: an integrated industrial, logistics and real estate economic zone.
  4. North Coast: a coastal destination modelled on TMG's South Med.

Homes for rent

According to Al Mal and Daily News Egypt, the President asked the government to work with TMG on building 200,000 housing units for rent. Daily News Egypt adds that he directed the government and the Tahya Misr Fund to split the cost of another 200,000 rental units, framing it as a move away from an ownership-only mindset. Locations, timelines and rental terms have not been announced.

Still unknown

  • The state's share, land terms and revenue arrangements.
  • Project timelines, unit prices or payment plans.
  • None of the four projects is in New Damietta or Damietta governorate.

What this means for buyers in New Damietta

There is no direct effect on prices or buying procedures in New Damietta. Still, a few signals are worth factoring in.

  • Competition for investor money: mega-projects on the North Coast and in Alexandria attract buyers looking for holiday or investment units. If you are buying in New Damietta or Ras El Bar to rent out, compare realistic local rental returns rather than assuming prices only go up.
  • Renting is back on the agenda: if hundreds of thousands of state-backed rental homes materialise, rental supply in new cities could grow over the medium term. Model your rental income conservatively.
  • Living there yourself: nothing announced so far points to new state rental units in New Damietta, so the buy-or-rent decision still rests on your own timeline and budget.
  • Developer checks still matter: big partnerships boost large developers, but always verify licences, project status and contract terms before paying anything.

Buyer checklist this week

  • Do not rush to buy or sell because of headlines; wait for official details.
  • Run a conservative and a mid-case rental yield calculation if you are investing.
  • Watch for official announcements on where the new rental units will be built.
  • Compare unit prices and payment plans across several projects first.
  • Talk to a financial or legal professional before long-term commitments.

FAQ

Does the EGP 11 trillion deal include New Damietta?

No. The four projects are north of Madinaty, in Alexandria, in Abu Qir and on the North Coast.

Will there be state rental homes in New Damietta?

Locations for the planned rental units have not been announced, so it is too early to say.

Will this change apartment prices in New Damietta?

The coverage did not discuss prices. Any effect would be indirect and medium-term; base your decision on actual listed prices and what you can afford.

Should I delay buying?

That depends on your finances and housing needs. This news alone is not a reason to delay or rush.

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