Colliers International revealed that Egypt currently has a small number of branded residential schemes, yet further developments are in the pipeline, Invest-Gate reports.
The concept is particularly suited for the Cairo market due to its popularity amongst GCC travelers and several expats, according to the “Egypt Branded Residences” report by the research firm.
Colliers noted that Cairo will see a number of new branded residential schemes such as Al Jazi Gardens by JW Mariott, which is slated for delivery in 2022. In addition, Alexandria has taken the concept on a smaller scale, yet it has one of the luxurious branded residences, namely Four Seasons San Stefano opened in 2007.
According to the report, the North Coast is seen as one of the most promising locations across Egypt, especially with the development of New Alamein that will transform the coast into a year-round destination.
“The residential focused masterplan development remains strong across Egypt. For high-end schemes, developers could benefit from adding a hotel and a branded residential component with their plans to diversify the product being offered, and to help with the overall positioning and branding of the scheme,” the report highlighted.
For the know-how, branded residences are normally a partnership between a brand (often a hotel operator) and a developer to grant a license to the latter to market and sell residences incorporating their brand. Although the branded residence model is fairly new to the Middle East, especially to Egypt, it is seen to be a well-established concept across many global cities. Invest-Gate delves more into this model to see its many beneficial faces, as well as hurdling factors.