New Urban Communities Authority Explained

New Urban Communities Authority
Native Name:Arabic: هيئة المجتمعات العمرانية الجديدة
Type:Agency
Formed:1979
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Jurisdiction:Government of Egypt
Headquarters:Sheikh Zayed City, Egypt
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Chief1 Name:Abdel-Muttalib Mamdouh
Chief1 Position:Vice President
Chief2 Name:Engineer Gamal Talaat
Chief2 Position:Assistant Vice President
Parent Agency:Ministry of Housing
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Website:

The New Urban Communities Authority (Arabic: هيئة المجتمعات العمرانية الجديدة) is an Egyptian state owned enterprise (SOE) established in 1979 and affiliated to the Ministry of Housing.[1] It is the exclusive satellite city developer in Egypt, in addition to being Egypt's largest real estate developer and constructor of residential units. These activities resulted in revenue of LE 57bn in FY 2019/2020, making it the third largest SOE after petroleum and the Suez Canal.

NUCA was originally tasked with addressing housing issues in Egypt by developing new urban communities to redistribute the population of existing cities away from Egypt's Nile valley and delta, and into the desert in order to save agricultural land from being urbanized. But after four decades of working under a strict policy of desert development, NUCA's mandate was modified in 2018 allowing it to develop land and real estate projects on agricultural land and within existing cities.[2]

Since 1979, NUCA's main role is master developer of the 2.3 million feddans (acres) of state-owned land assigned to it over the years, subdividing it and laying trunk infrastructure, as well as constructing water and wastewater treatment plants, buildings for public schools, hospitals and government agencies. Through its city development agencies (jihaz tanmiyat al-madina), it sells land parcels to individuals and real estate developers for residential and other purposes.[3]

NUCA is also the regulator of the new urban communities under its jurisdiction. Its chairman, the Minister of Housing, Utilities and Urban Communities issues planning permits and oversees the communities, while the appointed city agency heads issue building permits and run the day-to-day affairs of functioning towns, as the new urban communities do not fall under regular local administration.[4] Its headquarters are in Sheikh Zayed City in Greater Cairo.

New communities

Over the course of forty years, NUCA built 20 new towns and satellite cities across Egypt. Since 2014, it started planning a new batch of 37 fourth-generation towns cities spread over around 167,000 feddans of land, where by 2021 17 were under construction.[5]

First Generation1977–198210th of Ramadan - New Borg El Arab - 15th of May - New Damietta - 6th of OctoberNew Salhia - Sadat
Second Generation1982–2000New Cairo - Sheikh Zayed City - BadrObourNew Beni SuefNew Minya - New NubariyaEl Shorouk
Third Generation2000–2014New AsyutNew TibaNew SohagNew AswanNew Qena - New FaiyumNew Akhmim
Fourth Generation2014-Under construction: New Administrative CapitalNew AlameinNew Mansoura – New Toshka – New Farafra – East Port Said, Strategic plans: Suez, New Rosetta, and New Beni Mazar, under planning: New Gerga, New Esna, and New Hurghada, New Nasser City
New Communities not under NUCA's administration:

New Galala City

Real estate developer

In addition to its city developer role, NUCA acts as a real estate developer where it has recently built and sold over 77,000 for profit housing units such as the Sakan Masr and Dar Masr and Janna projects across Egypt, as well as skyscrapers in Maspero, the New Administrative Capital, and New Alamein.[6] According to a NUCA executive, they account for 28% of its income.[7]

In addition to its in-house real estate development, NUCA, along with the Housing and Development Bank which it controls, owns a number of real estate developers:[8]

In 2024, NUCA and the Abu Dhabi Developmental Holding Company (ADQ), a sovereign wealth fund based in the United Arab Emirates, signed a deal for the ADQ to invest $35 billion in developing Ras el-Hekma into a tourist resort.[9] The deal grants ADQ the right to develop 130 million square metres of land, and is the largest foreign investment deal in Egypt's history.[9]

External links

Notes and References

  1. Web site: About the Authority . newcities.gov.eg.
  2. Web site: 2018 . Law 1/2018 . live . https://web.archive.org/web/20221222134306/https://cc.gov.eg/legislation_single?id=383237 . 2022-12-22 . 2022-12-22 . Court of Cassation.
  3. 2018 . Law 59/1979 (including amendments thru 2018) . The Official Gazette.
  4. Web site: The New Urban Communities Authority - Tadamun . 2022-12-23.
  5. Web site: 2021-06-29 . Building Egypt’s 4G cities . 2024-01-19 . Ahramonline.
  6. Web site: 2023-04-18 . Estimating the Size of Public Sector Real Estate in Egypt . 2024-01-20 . Built Environment Observatory . en-US.
  7. Web site: 2020-08-26 . 76 مليار جنيه إيرادات مستهدفة للمجتمعات العمرانية العام الحالي . 2024-01-20 . جريدة حابي . ar.
  8. Web site: 2023-04-18 . Estimating the Size of Public Sector Real Estate in Egypt . 2024-01-20 . Built Environment Observatory . en-US.
  9. Web site: UAE's $35bn investment to develop Ras Al Hekma provides lifeline for Egypt's economy. Kamal. Tabikha. February 27, 2024. The National.