Dubai-based British developer The First Group has formed a partnership with Pulse Developments to launch hospitality projects in Egypt. The collaboration marks the company's first move outside the UAE and will begin with three developments in Sharm El Sheikh.
The partnership will deliver more than 3,200 hotel units across the initial projects. Executives from both companies described Egypt as a strategic market with strong tourism potential.
Nader Elias, Vice President of Business Development at The First Group, said the company had monitored Egypt for over 13 years. Mostafa Gamal, CEO of Pulse Developments, noted that Sharm El Sheikh maintains average hotel occupancy of around 88 percent.
The investment model allows buyers to purchase hotel units that generate annual returns of 6 to 8 percent under professional management. Total planned investment for the three Sharm El Sheikh projects exceeds $670 million.
The companies stated they aim to expand to other locations including the North Coast and Cairo in coming years.