By Mohamed Ahmed
The Egyptian Resort Company (ERC) succeeded in concluding contracts to sell lands during 2015 worth $74.5m, with an average price of $116 for each sqm. They are expected to be included in the company’s sales before the end of the year.
According to sources inside the company, it is planned that a variety of activities will take place on these lands. The activities will include establishing a university, a residential complex for students, two schools, and a water park. The contracts also includes establishing a variety of housing units.
ERC previously acquired Sahl Hasheesh land from the Tourist Communities Authority and signed contracts with an international engineering company to design the company and link it with facilities. The company will sell the lands to investors to commit to the projects sites within the plan.
Sources noted that 2015 witnessed large demand on the company’s lands while ERC is currently negotiating with investors to sell new lands within the project.
The company acquired the Tourism Development Authority’s (TDA) approval to cut 391,000 sqm of the second phase of the company’s lands to add them to Sawari project. The project’s licences are now being finalised to start implementing on 1.1m sqm in partnership with Orascom for Development.
Over the first nine months of 2015, ERC achieved EGP 196.4m in net profit, against EGP 43.8m in losses. The company recorded revenues of EGP 316.2m compared to EGP 16.8m recorded over the same period in 2014. These results came after selling land parcels and offering facilities services and operation amounting to EGP 36.2m.