With the beginning of September, the implementation of the increase in old rent began, applying to commercial shops rented by individuals as well as residential units that fall under the provisions of the amended Old Rent Law, which has been in effect since the start of the month.
According to Article 5 of the Old Rent Law, the rental value of premises rented to natural persons for non-residential purposes will be increased to five times the current legal rental value, starting from the first due date for monthly rent payments following the enforcement of the law.
Article 6 stipulates that the new rental value will be subject to an annual regular increase of 15%, starting from the year following the first increase and continuing periodically. For example, if the rent of a commercial shop was 200 EGP before the law’s implementation, it will rise to 1,000 EGP per month after the amendment. In the second year, it will become 1,150 EGP, and in the third year 1,322 EGP, continuing in this upward pattern for five years. The same rule applies to other rental contracts—for instance, if the rent was 1,000 EGP per month, it will become 5,000 EGP at the start of implementation.
In cases where a tenant does not vacate the premises after the legally specified duration (five years for non-residential units), Article 7 obliges the tenant to vacate the place at the end of the term. If they refuse, the landlord has the right to appeal to the summary judge to obtain an eviction order, with the possibility of claiming compensation if damages to the landlord are proven as a result of non-eviction.
On another note, Article 8 of the law confirms the right of tenants affected by the termination of their rental contracts to submit a request for an alternative unit—whether residential or non-residential—provided by the state under either a rental or ownership system, on the condition that they waive their rights to the original unit.
To keep up with the latest official property listings and browse thousands of residential units across different cities, visit the Official Egyptian Real Estate Platform — your safe destination for finding the right unit for you and your family.