Luxurious Villa in Egypt Priced at Nearly £1 Billion Raises Questions About Real Estate Trends

Imagine entering the gates of a prestigious complex established in the 1990s, only to discover a villa with a design that seems familiar—not adorned with historical palaces or mythical embellishments. The real surprise lies in the price tag:

886 million Egyptian pounds.

This figure, approaching a billion, prompts a pressing question:

Are property prices in Egypt truly declining, or have some properties completely diverged from traditional market logic?

This villa is not a fantasy from a "Monopoly" game but a vivid example of the current state of Egypt's luxury real estate market, where homes have transformed from living spaces into rare investment treasures, akin to a closed vault by an artificial lake in the heart of Katameya.

* From Entire Complex to Individual Villa

Just two years ago, the amount required to purchase this villa could have funded an entire residential complex or represented the total revenue of a small to medium-sized developer.

Today, it is simply the price of one villa.

Rapid economic changes, the depreciation of the pound, and an influx of capital into real estate as a safe haven have altered the rules of the game.

It is no longer just bricks and mortar that are valued; rarity, location, and social symbolism now play crucial roles.

* Katameya Heights: Where Rarity Determines Price

The villa in question is located in Katameya Heights, one of the oldest and most renowned gated communities in New Cairo.

The project, launched in the early 1990s, spans nearly 1.5 million square meters, with actual habitation beginning in 1997.

Owned by the Katameya Heights Development Company, led by businessman Mohamed Alaa Aoun, the complex is known for its high level of privacy, housing the sons of the late President Mohamed Hosni Mubarak and a select group of business elites and former ministers.

* How is a Villa Priced in the Hundreds of Millions?

Real estate marketer Mena Maher from All90 explains that pricing for villas in Katameya Heights is not based on the typical price per square meter, but rather on several key factors, including:

• the villa's location within the complex

• the view (artificial lake or golf course)

• the rarity of specific villas

She notes that villa sizes range from 1,300 to 1,600 square meters, with prices for turnkey villas varying between $2.3 million and approximately $18 million, depending on location and size.

The most expensive villa has a total area of about 3,000 square meters, with a net built area of 1,500 square meters, offering a direct view of the artificial lake.

In contrast, only a handful of villas provide direct views of the golf course.

Maher adds that prices for semi-finished villas in the complex range from $6 million to $8 million, often located in expansion areas without direct views.

There are also villas in the adjacent Katameya Dunes project at relatively lower prices, starting at $3 million and going up to $6 million.

* Highest Rents in the Fifth District

Real estate marketer Mohamed Salah confirms that Katameya Heights commands the highest rental prices in the Fifth District, with villa rents ranging from $6,000 to $8,000 per month, depending on size and location, while apartment rents start at about $3,000 per month.

* Market Data: The Trend is Upward

According to the platform Property Finder, the average price per square meter in New Cairo was approximately 105,000 pounds as of October last year, compared to about 71,000 pounds in West Cairo and other areas of the capital.

Compared to the same period last year:

• the average price per square meter in New Cairo rose from 85,000 pounds

• and in West Cairo from about 66,000 pounds

This reflects ongoing price pressure, particularly in high-demand areas.

* Rarity Defines the Market

Real estate developer Mohamed Khattab summarizes the situation by stating that the high prices for luxury villas are not linked to construction costs but rather to other factors, including:

_ large areas

_ the rarity of the product

_ the name and reputation of the developer

_ the efficiency of the complex's management

_ the social structure of the residents

He points out that the resale market does not adhere to fixed equations but is influenced by an intangible value that significantly impacts the property, making it a rare, valuable, and symbolic asset in this segment.

* Conclusion

While some discuss a slowdown or decline in the real estate market, a villa priced at nearly £1 billion in Katameya Heights reveals a different reality:

The market is not stagnating; it is dividing.

While prices may be falling in some segments, rare and luxurious properties continue to soar beyond traditional metrics, confirming that rarity, not cost, is the key term in today's Egyptian real estate market.