The New Urban Communities Authority (NUCA) has offered two plots of land for the establishment of kindergartens in New Cairo during the current month of May under the immediate allocation system.
The first opportunity covers an area of 1,413 square meters, priced at EGP 34,525 per square meter, with a total cost of approximately EGP 48,812,325 (10% down payment required).
The second opportunity spans 1,748 square meters, priced at EGP 33,130 per square meter, totaling about EGP 57,926,240 (10% down payment required).
The authority set the building ratio at 30%, with a mandatory setback of 6 meters on all sides, and allowed heights up to a ground floor and one administrative floor. Compliance with Civil Defense regulations and height restrictions set by the Armed Forces is required.
NUCA emphasized that the final land area—whether increased or decreased—depends on what is physically delivered, as determined by the city authority’s survey department. Parking spaces must be provided in accordance with the Egyptian code. Applicants must fully inspect the land, and submitting a request for allocation is considered final approval of the location.
Regarding payment terms, 25% of the land value must be paid in Egyptian pounds, with 10% paid upfront and 15% due within one month of notification of the Board of Directors’ approval. An additional 1% administrative fee and 0.5% for the Board of Trustees also apply, based on the approved final price.
The remaining balance is to be paid over six equal semi-annual installments in Egyptian pounds, with the first installment due six months after the initial down payment. These installments will incur financial charges based on the interest rate announced by the Central Bank of Egypt, plus an additional 1% as per Ministry of Finance directives and 0.5% administrative fees.
In March 2019, NUCA approved new regulations to organize the immediate allocation mechanism. These included new provisions for reservation processes for service and investment activities, requiring applicants to submit a certified bank cheque of 10% of the land value.
The Board of Directors has also decided to amend some procedures for offering investment opportunities in new cities, particularly regarding the seriousness of payment. The amendment specifies that the seriousness payment is calculated based on the initial land price announced by NUCA, not based on any higher price offered by a company. Furthermore, the advance payment must be made in Egyptian pounds via bank transfer, and companies are required to include a proposed price per square meter in their financial offer.
The updates also allow for an electronic selection process to choose the winning offer. If the final winning price exceeds the initially announced price, the difference in the seriousness payment must be settled. The seriousness payment ranges between 5% and 10% of the total land value.
