Tabarak acquires Al-Babtain project in Egypt for $27 million

Al Arabiya – Egypt’s Tobarok Holding Group has acquired a project belonging to Kuwait’s Al-Babtain Group in the Maadi district of eastern Cairo for $27 million (1.4 billion Egyptian pounds), while the company paid approximately $11.6 million (600 million Egyptian pounds) in project improvement fees.

Ali Al-Sharbani, Chairman of Tobarok’s Board of Directors, stated that the project’s investments are estimated at around $327.5 million (17 billion Egyptian pounds). The mixed-use development includes residential, hotel, commercial, and administrative components. Situated on a 38,000-square-meter plot, the project features a total built-up area of approximately 240,000 square meters and is scheduled to be launched by the end of this year or early next year.

Al-Babtain, founded in 1948, operates across several sectors, notably automotive, investment, real estate, technology, and industry. Its real estate activities encompass asset development and management, as well as investments in residential, commercial, and leisure projects. The group maintains a presence in the Egyptian market through real estate investments and projects in Cairo, Alexandria, and Sharm El-Sheikh, forming part of a regional portfolio that includes land, real estate, and income-generating assets.

The acquisition aligns with Tobarok Holding’s expansion strategy, aimed at increasing and geographically diversifying its project portfolio. The Chairman revealed a new integrated urban development project in western Cairo, spanning 784 feddans near Sphinx International Airport. The land was acquired from the New Urban Communities Authority under a payment structure combining cash and in-kind components, with the in-kind portion representing approximately 30 percent of the deal’s value.

Al-Sharbani also praised the future prospects of the area near the Grand Egyptian Museum, citing the state’s plans to boost hotel capacity. He noted that the company is working on another project opposite Sphinx International Airport, covering an area of approximately 240,000 square meters.

Alongside these new expansions, Tobarok is focusing on accelerating the execution of its current projects and preparing to launch new phases. Al-Sharbani stated that the group is preparing to launch the fourth phase of the “90 Avenue” project, which spans 150,000 square meters and includes administrative and commercial components, as well as approximately 300 hotel units.

Tobarok’s expansion strategy has also extended to the Saudi market through Tobarok International, which is repositioning the “Ox Riyadh” project to become entirely hotel-oriented, having previously included residential and hotel units. The project will be managed under the “Ox” brand, owned by Minor Hotels Group, according to Al-Sharbani.

He added that the project’s investments amount to approximately $48.2 million (2.5 billion Egyptian pounds) and include hotel units such as studios, one-bedroom, two-bedroom, and three-bedroom apartments. The company is employing a model based on leasing and managing units on behalf of clients, with clients receiving up to 80 percent of the returns, while the company retains 8 percent for management, maintenance, and operational services.