Egypt: How affordability of office spaces in Cairo is stirring up investor interest

Dubai: Investors who are looking for cost-effective property opportunities beyond the UAE now have their sights on Cairo. A new report by Knight Frank reveals the Egyptian capital is undergoing a major office space boom — with affordability and flexible payment terms offering a rare regional opportunity.

According to the Cairo Offices Market Review, Cairo’s total office stock is projected to surge by 82% by 2029, reaching 1.82 million square metres. This growth, driven largely by New Cairo, positions the city as a fast-emerging regional business hub.

“Cairo’s current office stock stands at 1 million sqm, with an additional 818,000 sqm slated for delivery by 2029,” said Faisal Durrani, Partner – Head of Research, MENA at Knight Frank.

“This represents an 82% growth in the office market and reflects Cairo's growing economy and its increasing appeal as a regional business hub, attracting both local enterprises and international corporations.”

New Cairo is set to dominate the city’s office market by 2029, commanding over 73% of total stock. Its appeal lies in its modern infrastructure, strategic location near the airport and New Administrative Capital, and high parking availability.

The area’s prestige is reflected in pricing: offices in New Cairo average EGP 274,000 per square metre, going up to EGP 466,000 in prime spots.

“New Cairo recorded the highest rents and year-on-year growth exceeding 2%,” added Durrani.“This consistent performance cements its position as the city’s premier destination for businesses seeking prime, well-connected office locations that offer both prestige and functionality.”

Yet budget-conscious investors are increasingly eyeing West Cairo, particularly El Sheikh Zayed and 6th of October City, where prices start around EGP 171,000 per sqm — a compelling entry point without compromising on connectivity or infrastructure.

A key draw for GCC and international investors is affordability and developer-driven payment flexibility. Knight Frank notes that instalment plans have stretched from 4.4 years for offices delivered in 2025 to 7.8 years for projects expected by 2029.

“Real estate investment is growing across the MENA region and Cairo offers a more affordable option than other nearby GCC markets,” said Zeinab Adel, Partner – Head of Egypt, Knight Frank.

“These lower barriers to entry for GCC and international investors are helping to fuel further growth, while the longer instalment periods offered by developers not only encourage investment, but also highlight the increasing confidence in the market’s sustained growth.”

Echoing Dubai’s office trends, demand for co-working and flexible spaces in Cairo is also accelerating. Operators like Regus, CO-55, and MQR are expanding, with IWG (International Workplace Group) targeting 150 locations by 2030 — up from just 18 today.

Despite a short supply dip in 2026, new office deliveries are set to rise sharply, peaking in 2028. Developers including SODIC, La Vista, The Waterway Developments, and LMD are leading the charge.

“El Sheikh Zayed, 6th of October City and West Cairo offer distinct advantages, including proximity to residential communities and a growing commercial ecosystem,” said Adel.

“New Cairo offices command the city’s highest average prices… However, when you look at the maximum sales prices achieved, the gap between New Cairo, El Sheikh Zayed and 6th of October City narrows — suggesting compelling opportunities exist for investors looking for a more accessible entry point.”

She added: “Our research paints a picture of a market in full swing… characterised by strong fundamentals, strategic developer initiatives and a promising outlook. Cairo is reinforcing its status as a thriving business hub in the region and a magnet for both domestic and international investment.”