Cairo – Mubasher: Madinet Masr Innovation Labs, the innovation arm of Madinet Masr Housing and Development, has launched a new property warranty solution under the name of “Theqa”.
The new solution is designed to replace maintenance deposits, addressing challenges related to differences in maintenance expenses requested years after receiving the unit, according to a press release.
Maintenance deposits pose a significant challenge in Egypt’s real estate sector, with customers typically paying around 8%-10% of the total unit price upon purchase.
However, developers often request incremental differences in maintenance expenses years later, causing financial strain on customers due to the lack of clarity regarding the required amount, especially amid current economic changes.
To overcome this pressing challenge, ‘Theqa’ offers a maintenance warranty for up to 20 years upon receipt of the unit, effectively eliminating the maintenance deposit system. This provides unit owners with a clear and more suitable experience, as they are only required to pay the cost of the maintenance warranty once.
Abdallah Sallam, President and CEO of Madinet Masr, stated: “We take pride in Madinet Masr’s leadership in introducing innovative solutions and concepts to address obstacles related to real estate ownership, in order to keep pace with the economic changes and advances Egypt’s real estate market development and future prospects.”
“This step closely aligns with Madinet Masr's expansion strategy that aims to fulfil the various needs of the Egyptian market, create innovative solutions to the challenges that customers face, capitalising on our extensive experience and 65-year legacy in the real estate market,” Sallam added.
Earlier in March, Madinet Masr submitted a technical and financial offer to Heliopolis Company for Housing and Development for the development of three plots of land in New Heliopolis City.
It is worth highlighting that Madinet Masr posted a 188.85% year-on-year (YoY) surge in the consolidated net profit after tax and non-controlling interest to EGP 2.12 billion in 2023 from EGP 736.73 million.
