PROJECTS: Egypt’s SODIC temporarily suspends 500-acre residential project

PROJECTS: Egypt’s SODIC temporarily suspends 500-acre residential project

Magued Sherif, Managing Director of SODIC

In September 2021, Egypt had signed a $4.45 billion deal for a high-speed electric rail line to link its Red Sea and Mediterranean coasts, connecting the Red Sea port of Ain Sokhna and the Mediterranean ports of Alexandria and Marsa Matrouh.

Sherif didn’t elaborate but said the developer will move the 500-acre project to a new plot in the 6th of October City.

In its press statement announcing first quarter 2022 results, SODIC attributed 80 percent of the gross contracted sales cancellations for the first quarter totalling 388 million Egyptian pounds ($21 million) to the suspension of the 500-acre project.

The SODIC official disclosed that the company is preparing a five-year plan with Aldar, which will study a new mixed-use project in the New Administrative Capital (NAC) and projects in other parts of Egypt.

In December last year, the Abu Dhabi-based consortium of Aldar and ADQ had completed the acquisition of majority stake in SODIC.

Highest quarter record

The first quarter 2022 results also saw SODIC setting a new record for gross contracted sales during any first quarter in terms of both number and value of units sold as gross sales grew 102 percent year-on-year to 3.74 billion pounds ($202 million)