Tarek Shoukry, Chairman of the Real Estate Developers Chamber at the Federation of Egyptian Industries, pointed out the difficulty of applying a unified real estate contract across all projects due to the diversity of the market and the differences in projects, locations, and development models. He emphasized that adopting a balanced contractual framework that clearly defines the rights and obligations of both developers and buyers may be a more practical approach.
Shoukry explained that many countries do not rely on a single standardized contract, but instead focus on clarity and the protection of all parties involved. He also stressed the importance of the Developers’ Union’s role in regulating the market through a classification system that evaluates developers based on their financial solvency, capabilities, and past performance, with the possibility of downgrading classifications or revoking licenses in cases of non-compliance.
Ahmed El Batrawy, founder of a real estate platform, spoke about experiences in other countries such as the United States, which adopts unified contracts that are legally binding. He noted that these contracts provide a balance between the rights of developers and buyers, supported by regulatory bodies that allow for dispute resolution outside traditional courts—an element largely absent from the Egyptian market.
Shoukry concluded by highlighting Egypt’s legislative commitment to documenting developers’ transactions through the state, including licensing requirements and the establishment of escrow accounts in which at least 30% of a project’s value must be deposited. Withdrawals from these accounts are subject to oversight to ensure buyer protection and the completion of projects.
