The real estate market in Egypt’s capital Cairo continues its rapid growth with the construction of large-scale projects stimulating economic expansion and driving demand for Grade A office projects, according to Savills, a leading real estate services provider in the Middle East.
There is a systematic shift of tenants towards newer developments away from the erstwhile central business hubs in Central Cairo, towards modern speculative and purpose-built developments across New Cairo in the East and Sheikh Zayed City in the West, stated Savills in its latest report that analyses the Cairo Metropolitan Area (CMA) office market for the first half.
Demand is also driven by new market entrants – both domestic and global – along with expansion and consolidation exercise, it stated.
The city’s strong demographic vantage in terms of young, educated and comparatively low-cost workforce and a further improvement in global investor confidence towards the economy in the medium-to-long term will continue to drive demand for office real estate in the city, it added.
Head of Egypt Catesby Langer-Paget said: “As Egypt’s macro-economic situation continues to improve on account of prudent policy measures, our recent research shows that the demand for office space in Cairo has increased, driven by a mix of relocation, expansion and expansion led consolidation exercise.”
The sustained demand for office space has led to a spurt in project launches and completions over the past few quarters. This increase in the availability of Grade A options has created a short-to-medium term pressure on rental values across most markets.
However, headline rental values continue to remain stable but we have noticed enhanced flexibility among landlords with regards to incentives and lease terms. During H1 2019, rents for Grade A stock across Heliopolis ranged between E£300 – E£350 / sqm / month while in New Cairo and Sheikh Zayed City it ranged between E£350 – 400 / sqm / month.
“We noticed strong interest from the pharmaceutical sector, technology, banking and financial services and media firms to occupy Grade A space within the city,” stated Langer-Paget.
“In terms of new supply, no new projects were completed during the current review period. However, to meet this growing demand, we anticipate approximatively 155,500 sqm of Grade A space to be handed over across key areas such as New Cairo and Nasr City over the next six months,” he added.
ABU DHABI — The United Arab Emirates has successfully delivered its central objectives for the first UN-Habitat assembly in the Kenyan capital Nairobi on May 27-30 and convened all UN Member States, as the world’s highest-level decision-making body on sustainable urbanization.
A delegation headed by Mohamed Al Khadar, Executive Director Strategic Affairs of the Department of Urban Planning and Municipalities (DPM), outlined 12 priorities identified for sustainable urbanization in the MENA region to United Nations Member States. These priorities were crowdsourced from the recent Pan-Arab Urban Development Symposium (PAUDS) held in Abu Dhabi. Classified in three categories corresponding to each of the four pillars – Economy, Environment, Society and Culture, these will form the basis for the UAE program at the 10th World Urban Forum (WUF10), which will be conducted in Abu Dhabi in February 2020.
Al Khadar said “the UN-Habitat Assembly provided a unique opportunity for Abu Dhabi to advance the UAE’s agenda for the upcoming World Urban Forum. Through our work at this event, we aimed to underpin WUF10’s goal to be an open platform for partnerships and new initiatives in representation of our best minds. To advance to more sustainable urban models we are convinced that we need to identify new ways of working together, breaking down silo mindsets, and promoting transformative working methods. What better way to do that than to open up the conversation to fresh and creative thinking as we did at PAUDS, and we are happy to have continued this momentum with the brilliant collection of minds at UN-Habitat.”
Also carried out was a reception event which promoted WUF2020 within UN Family and Ambassadors. This included a gala dinner and outlined WUF10 in greater detail to interested delegates.
The UAE Ambassador to Kenya Khalid Khalifa Abdullah Rashid Al Mu’alla said “the UAE global leadership in international diplomacy finds its manifestation in the implementation of the 2030 agenda and our success in leading global implementation of SDGs and assisting others in doing so. WUF10 is an opportunity for the UAE to develop methodologies that can be shared and replicated in other countries in the region”.
The UN-Habitat Assembly carried the theme ‘Innovation for a Better Quality of Life in Cities and Communities – Accelerated Implementation of the New Urban Agenda towards achievement of the Sustainable Development Goals’. The event will bring together urban practitioners and experts, national, regional and local governments, academia, civil society and the private sector. All are brought together with a shared focus on innovative urbanization and to provide solutions for a better quality of life in cities and communities.
The UN-Habitat Assembly is the United Nations’ focal point for sustainable urbanization and human settlements development. This event will adopt global norms and policies that will guide how cities and communities are planned, managed and governed. It will also determine the strategic priorities for accelerating implementation of the New Urban Agenda to achieve the Sustainable Development Goals for the next six years, through UN-Habitat’s Strategic Plan (2020-2025).
WUF10 will take place in Abu Dhabi in February 2020, convened by UN-Habitat and jointly organized with the Abu Dhabi Department of Urban Planning and Municipalities. The Forum will provide a platform to discuss 21st century city planning within a context of rapid development with specific cultural and demographic considerations. WUF10 will showcase the Abu Dhabi Plan, through which the city aims to realize its long-term sustainable development vision. This blueprint will advance concrete achievements that position the Emirate as a benchmark, in a region with one of the fastest urbanization rates on the globe.
Established in 2001, WUF is the world’s premier gathering on urban issues. The Forum examines the impact of rapid urbanization and its implications for social, economic and environmental policies in communities, cities and towns. — SG
(Reuters) – With the blast walls finally gone, some 16 years after the U.S.-led
invasion, life in the Iraqi capital Baghdad is starting to look like any normal
and friends hang out in cafes and shopping malls, people hold birthday parties
in public and traders ply their wares from roadside stalls.
Ahmed, an owner of a cafe in the upscale district of Zayyona in eastern
Baghdad, said the removal of miles of the concrete walls from the streets had
encouraged families to visit malls and cafes and stay until late into the
is looking different now, for the better. Families are staying until after
midnight in markets, restaurants and cafes. I feel so happy to see Baghdad life
is returning to normal,” he said.
walls, put up a year after the U.S.-led invasion in 2003, served to protect the
city from years of sectarian civil war and the fight against Islamic State
militants. Iraq declared victory over the group in late 2017.
military commanders say there have been no attacks by insurgents for more than
is enjoying considerable security. We managed to keep terrorists away from the
capital,” said Lieutenant General Jaleel al-Rubaie, commander of the Baghdad
after he came to power late last year, Prime Minister Adel Abdul Mahdi ordered
the removal of the towering walls to signal the improvement in security –
letting light back into long obscured parts of the city.
Hutham al-Ansary, who lost her husband in the violence in 2004, the feeling
that Baghdad is finally safe brings tears of happiness.
is beautiful, despite all tragedies, with this improved security and peace. I
still have a bitter feeling about the past but today is better than yesterday,”
said Ansary, a women’s rights activist, with her two daughters at one of Baghdad’s
people are now more comfortable about spending time outdoors.
happy that finally I can celebrate my son’s birthday in a public garden,
something we were not brave enough to do fearing bombs,” Sally Adnan, a Health
Ministry employee, said at Abu Nawas Gardens by the Tigris river.
in Baghdad is more interesting now,” said Adnan, who was wounded in a car bomb
wounds on my face are part of Iraq’s history. I’m keeping them to show my sons
when they grow up,” she said.
by Maher Nazeh; Writing by Ahmed Rasheed; Editing by Ahmed Aboulenein and
In effect, three ways cities can help feed the world . . . without costing the Earth, per Silvio Caputo, University of Kent seem to be one of the few options remaining for life on earth to carry on.
Climate change is underway, and human activities such as urbanisation, industrialisation and food production are key contributors. Food production alone accounts for around 25% of global carbon emissions. Ironically, the changing weather patterns and more frequent extreme weather events resulting from climate change also put the world’s food supplies at risk.
Food production drives deforestation, meaning there are fewer trees to absorb carbon dioxide, which contributes to the greenhouse effect. What’s more, the fertilisers and pesticides used to protect crops have caused a dramatic decline in insect populations, and in soil fertility, by affecting the microbial organisms that enrich the soil and enable plants to gain nutrients.
At the same time, the world population is rising and there are expected to be more than 9.5 billion people on Earth by 2050. In response to these projections, the UN’s Food and Agriculture Organisation (FAO) is campaigning for a 60% increase in food production by 2050, by intensifying agriculture to be more productive and use fewer resources, all without increasing the amount of farm land.
It’s not yet clear exactly how this “intensification” should happen. Alternative methods, such as organic farming, are respectful of soil ecology and insect life and can restore soil fertility. But they cannot, at present, produce as much food as industrial agriculture.
Yet the idea that we need more food is debatable. Although, according to the FAO, there are 821m people globally suffering from hunger, the world produces 50% more food than is needed to feed the global population. Another estimate from biologist and author Colin Tudge suggests that the current food production can feed as many as 14 billion people. But one third of this food is wasted because of distorted supply systems, unjust food distribution and unhealthy and unsustainable diets.
So, the efforts of experts in the food sector should not concentrate on agriculture intensification, but rather on strategies to change patterns of consumption and waste at a local and global level. My own research on urban agriculture and sustainable cities suggests there are three main areas where effective changes can be made.
1. Recycling food waste
Food consumption needs to become “circular”. This means that organic waste such as food scraps does not go to landfill, but is instead transformed into compost (which will be needed in a transition to organic agriculture) and biogas.
At present, organic waste is only recycled to a small extent, with some countries such as Germany and the Netherlands leading, while others including Italy and Belgium lag behind. But there are new technologies emerging to make this process easier.
For example, the Local Energy Adventure Partnership (LEAP) has created an anaerobic digester designed for an urban context: this machine can transform organic waste from residential or commercial buildings into compost and biogas that can fuel urban food growing.
Some experts also suggest that some food waste – if treated properly – could be used as animal fodder: a practice currently forbidden on hygiene grounds. If reinstated, this measure could reduce the environmental impact of grain cultivation, as less is grown to feed livestock.
2. Urban farming
Another option is to decrease demand for agricultural land by growing food in cities, where more people need it, thereby reducing the distances food has to travel. This would also allow producers to map and match consumers’ demand more effectively, by producing close to the places where food is consumed.
There is a lot of research on urban agriculture and how cities can support it, spanning from vertical farms – hydroponic systems enabling cultivation on vertical surfaces – to principles for planning cities that facilitate the use of land, rooftops and other spaces to grow food into a continuous green infrastructure.
In this area, too, it’s possible to find innovations designed to make urban farming easier and more sustainable. For example, The Farmhouse is a modular housing system suitable for vertical stacking that enables all residents to grow food. And Blockchain Domes is a patented system that uses excess heat from computer servers to provide optimal thermal conditions for greenhouses in colder climates.
3. Changing diets
The third option is to encourage people to change their diets. Growing middle-income groups in developing countries are consuming ever higher quantities of meat, cheese and eggs. In China, since 1990, consumption of beef and poultry has quadrupled. But the diet of farmed animals is heavy in grains, which instead could be used to feed people more efficiently. Also, cattle farming requires vast quantities of water and grassland, sometimes obtained through deforestation.
Getting people to eat less meat will help to ease the pressure on the world’s food system. In cities, governments, research institutions, communities and businesses can collaborate on food initiatives to give people healthier, cheaper and more sustainable choices – but this requires political will and organisation between different levels of government.
Clearly, each of these approaches has a limited scope of action, compared to agricultural techniques or strategies which can be deployed at an industrial level. But with so many promising proposals, there can be a many-pronged approach that that makes efficient use of the existing resources in cities, while also changing consumers’ habits. Together with these three changes, more effective policies for food justice and sovereignty can establish fairer food supply chains and more just distribution of food around the world.
It is no surprise that in this article (see below) of ConstructionWeekonline, there is no hint anywhere that Indians, Pakistanis most interested in UAE property investments make up the most significant percentage of the populations of the respective GCC countries.
Since the advent of oil, the Persian Gulf countries have generally turned into modern states through concurrent processes of development. Rapid population growth in the GCC states has been timed by 10 at least, in the space of few decades through primarily a natural growth in the influx of foreign workers and not through their indigenous population.
It must also be noted that the same countries planning ahead are believed to be somehow facilitating investments of non nationals in any segment of their economies, presumably to counter all those consequences of oil peaking shortly and away from the Gulf region.
Of the top five most active nationalities on Dubizzle Property, the highest interest in the UAE property market came from Indian nationals, accounting for 22% of visits to the platform in 9M 2018.
Indians and Pakistanis are most interested in UAE property investments, Dubizzle said [representational image].
o EThis data echoes figures from Dubai Land Department (DLD), where Indian nationals accounted for more than 4,600 investments worth AED 8.6 billion in the first nine months of this year, representing the largest property investment segment in the UAE.
Pakistanis came in second with 14% of visits to dubizzle Property, followed by Egyptians (6 per cent), Jordanians (4 per cent) and UK nationals (4%).
Egyptians and Jordanians are the top Arab nationalities looking to invest in the UAE property market, according to dubizzle Property.
The two nationalities accounted for 10 per cent of property seekers on the platform in the first three quarters of the year.
This is in line with the figures recently revealed by the Dubai Land Department (DLD) concerning Dubai real estate transactions during the same period, where Jordanians were identified as the highest Arab investors with 644 investments by 548 investors, worth over AED 1.2 billion. Egyptians recorded 719 transactions made by 623 investors, worth over AED 1 billion.
China, France, UAE, and KSA were among the top 20 most active users of the platform, which is also in line with the DLD’s list of top 10 investors by nationality that includes UAE, India, KSA, UK, Pakistan, China, Egypt, Jordan, and France.
“The current soft sales market has made the cost of property ownership more attractive versus the cost of rent, especially for those considering staying in Dubai for five years or more. Long-term expats are increasingly making the leap into ownership as declining prices are now making this investment possible,” commented Matthew Gregory, head of property sales at dubizzle Property.
Global chief executive of RICS, Sean Tompkins, calls on governments in the Middle East to find better ways of stimulating collaboration in the construction sector – for the good of all parties and for the future of the profession.
“We have a construction industry globally that is really set up to argue and fight during the process of projects, and that comes right at the point of procurement – how projects are initiated, how they are procured and set up,” Tompkins tells Construction Week.
RICS aims to encourage governments to “find ways to improve collaboration” in the industry, which could help to “improve the construction cost overall and reduce the time it takes to deliver on projects”, Tompkins says.
“One thing we have been looking at, which is really important, is that when there is a dispute, how do you make sure that it is not just wrapped up in the courts for years? This may be halting progress and may not be providing an important piece of infrastructure.”
He continues: “There are alternative ways that you can set these things up, [such as by using] alternative conflict avoidance mechanisms. At RICS, we would really argue that these types of things need to be looked at and embraced within contracts in order to create greater collaboration going forwards.”
RICS is one of the oldest built-environment professional institutions in the world and was formed in the UK 150 years ago. It has launched an industry-wide consultation called Future of the Profession, which explores how the industry can adapt to the disruptions that society will face as a result of rampant urbanisation and technological change. The consultation ended in October and Tompkins hopes it will “provide a real blueprint for the changes that need to take place in this industry”.
The world population is expected to reach 9.7 billion by 2050, and close to two-thirds of people are expected to live in cities by that time. Tompkins describes this as “an unprecedented pace that will hit every city in the world”.
He says “most cities are struggling to cope” with this rate of change in terms of infrastructure, housing, and social cohesion.
“That is the big element of change, and what is happening in the construction industry is that for many, many years, our existing business models have struggled to keep up with the current pace, and here is a requirement for a pace way faster than anything we have ever considered. This is where the challenges are going to come from,” he explains.
“This is where technology [such as] big data [and] artificial intelligence […] will come into the industry as a way of improving and projecting that pace at a much quicker rate. We have to be ready for that and seize it before other people with other business models do.”
While Tompkins admits meeting the demands for infrastructure and housing “will require money”, there are other ways in which RICS claims it will be able to help future-proof the construction sector: “What the world looks for are areas with great transparency, high standards, good ethical behaviour, and professions that you can trust – and that is what we stand for.
“On that level, providing those standards, providing people with competencies, is something that we are supplying to the world in order to deal with these challenges.”
Tompkins says he would like to see “different leadership” in construction that embraces innovation to ensure that the sector is prepared for the biggest challenges currently facing the industry.
The Future of the Profession consultation by RICS is only the first step on an uncertain and challenging road, Tompkins says. Nonetheless, it is one that the industry will need to take note of, if it is to be equipped with the tools and technical expertise necessary to meet future urbanisation head on.