Ishraq Hospitality, the asset management and hospitality division of Dubai-based Mohamed and Obaid AlMulla Group, and Capital Elite Development, an Egypt-based real estate development company, have signed an MoU to launch two new hotels in the New Capital in Cairo.
The properties will together add around 600 keys to the Egyptian hospitality market when they open to guests in 2025.
They will be developed by Capital Elite Development which is a part of the Mustafa Mansour Group.
Ishraq Hospitality will work with Capital Elite Development to realise the project. Once ready, Ishraq will manage operations at both properties.
“We are very excited to embark on this journey with Capital Elite Development to expand into one of the most culturally significant tourism destinations in the world,” said Sherif Bishara, group CEO at Mohamed and Obaid Almulla Group.
At the ATM 2022 event held in Dubai in May, Ishraq Hospitality revealed its intent to expand into Egypt, while at the same time developing its home base market of the UAE.
In May 2022, a report by Egypt Today noted that according to the country’s Information and Decision Support Centre (IDSC), the occupancy rates in Cairo hotels increased by 106 per cent in Q1 2022, while the rates in Sharm El Sheikh hotels rose by 46 per cent and Hurghada by 84 per cent.
Egypt’s hospitality sector began recuperating in 2021 according to the Real Estate: On Solid Ground – April 2022 report published by the American Chamber of Commerce in Egypt. According to data from hoteliers, bookings reportedly soared 400 per cent from the UK, Turkey and other top source markets during H2 2021, compared to the first half of the year.
In recent years, the Egyptian government has inaugurated several significant tourist attractions including the Royal Carriages Museum in Cairo, the Sharm El Sheikh Museum and the Kafr El Sheikh Museum, the National Museum of Egyptian Civilisation, while The Grand Egyptian Museum is also slated to open its doors this November.