The government began implementation on Wednesday, November 5, 2025, of Prime Ministerial Decree No. 3977 of 2025. This decree extends the operational period of the committees tasked with surveying areas containing residential rental units governed by the provisions of the Old Rent Law No. 164 of 2025 for an additional period of up to three months. This extension falls within the executive steps for implementing the Old Rent Law for residential units.
Extension of the Survey Committees’ Work
Dr. Mostafa Madbouly, the Prime Minister, issued a decision to extend the operational period of the survey committees in areas containing residential units rented under the Law Regulating the Relationship between Landlord and Tenant. This extension lasts for three months, starting from tomorrow, November 5, 2025.
Decision Objectives and Law Application
The decision aims to enable the committees to complete their tasks related to accurately surveying and classifying the units to achieve balance and justice between property owners and tenants. The new Law No. 164 of 2025 stipulates the modification of rental values for old residential units based on the area’s classification.
According to the law, the new rental values have been determined as follows:
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In Distinguished Areas: The current value is multiplied twentyfold, with a minimum of one thousand Egyptian pounds per month.
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In Medium Areas: The current value is multiplied tenfold, with a minimum of 400 Egyptian pounds per month.
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In Economic Areas: The value is set at no less than 250 Egyptian pounds per month.
The law also obligates tenants to pay the new rental values temporarily until the committees finish determining the final values. It allows for the installment of any resulting financial differences to ensure a gradual transition to the new system without harming either party.
Achieving Social Justice
This move comes within the framework of the state’s efforts to achieve social justice and address old rental issues in an integrated and balanced manner, in line with Egypt’s 2030 vision for sustainable development. The law also aims to promote the optimal use of real estate wealth and provide suitable housing solutions for various segments of society.
Contract Termination Periods and Usage Forms
The new law stipulates the termination of residential leases after seven years from its effective date. As for contracts for non-residential units, such as offices and commercial shops, they terminate after five years. The law also grants landlords the right to demand immediate termination of the contract in specific, exceptional cases.
Cases for Immediate Eviction
The new law includes cases that allow the owner to reclaim the unit immediately without waiting for the end of the transitional period, including:
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Leaving the unit closed for more than a year without a legal justification.
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The tenant or members of their extended family covered by the contract rights owning an alternative unit suitable for the same use, whether for housing or commercial activity.
Transitional Grace Period for Regularizing Status
The law has allocated a transitional period extending for seven years for residential units and five years for non-residential units. This aims to provide sufficient time for tenants to secure suitable alternatives, whether for housing or for conducting commercial activities. During this period, a fixed monthly rent of 250 Egyptian pounds is paid until the committees complete the classification, survey work, and determination of the new fair values.
Housing Alternatives for Priority Groups
The law grants original tenants and those extended the right to apply for alternative units provided by the state through a rental or ownership system. Priority is allocated to the most needy social groups, such as the elderly and those with limited incomes, provided that the old unit is vacated immediately upon the issuance of the decision to allocate the new unit.
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