Ras El Hekma sits on the North Coast and is officially part of Marsa Matrouh Governorate. Its beaches run from El Dabaa at kilometre 170 on the North-West Coast Road to kilometre 220 in Matrouh City, which makes it one of the most strategic areas in Egypt's national plan for urban development.
What is the New Ras El Hekma City project
On 23 February, Egypt and the Emirates signed a contract to develop the upcoming Ras El Hekma city, with an estimated investment of around $150 billion. That figure includes $35 billion in foreign direct investment, of which $11 billion is allocated to writing off state debts. The agreement also specifies that Egypt will claim 35% of the project's overall profits.
The collaboration is geared towards building a city set to become a pivotal hub for urban living, commerce and tourism along Egypt's North Coast. Situated west of Alexandria, it will be carried out through a partnership between the New Urban Communities Authority and the Abu Dhabi Development Holding Company (ADQ).
Read more: A deeper look into Emirati real estate investment in Egypt
What are the benefits of the Ras El Hekma project
The project is expected to deliver a number of benefits, including:
- Creating job opportunities: more than 100,000 new jobs are expected across construction, hospitality and services.
- Attracting investments: the development is projected to draw investments worth more than $150 billion.
- Promoting tourism: up to 8 million visitors a year are expected, bringing further foreign currency income over the medium to long term.
- Improving the standard of living: local residents gain better services and modern infrastructure.
- Establishing Ras El Hekma Airport: ADQ will spearhead the airport's development, with Egypt set to receive a portion of its revenues.
- Easing the economic crisis: the deal increases Egypt's foreign currency reserves and helps stabilise the pound.
Why its location matters
The area spans roughly 180 square kilometres on Egypt's north-western coast, about 350 kilometres from Cairo. It forms a peninsula reaching some 50 square kilometres into the Mediterranean, running from El Dabaa in the east to Marsa Matrouh in the west, and sits close to El Alamein and Burj Al Arab international airports.
The history of Ras El Hekma
The area is known for the rest house King Farouk established on its coast, which became a presidential retreat after 1952. It holds a wide range of nature reserves and archaeological sites alongside its bays, beaches and dunes, giving it an unusual mix of sea, heritage and desert tourism in one place. If you are considering an investment in Ras El Hekma or elsewhere on the North Coast, speak to an agent who knows the market street by street.
