Egyptian billionaire Hisham Talaat Moustafa’s group breaks ground on $8.4-billion project in Saudi Arabia

Omokolade Ajayi -

Cairo-based real estate developer TMG Holding, led by Egyptian billionaire Hisham Talaat Moustafa, has begun construction on Banan City, a premium mixed-use development with a total investment of SAR31.4 billion ($8.4 billion) in northeast Riyadh, Saudi Arabia.

The project builds on TMG’s successful track record in Africa and the Middle East. It comes as Saudi Arabia’s National Housing Company partners with TMG for the groundbreaking. Strategically located near King Khalid International Airport and Riyadh Expo 2030, Banan City is positioned to be a cornerstone of Riyadh’s northeastern expansion.

Chairman Hisham Talaat Moustafa outlined the project’s financials, highlighting expected revenues of SAR40 billion ($10.7 billion) against a total investment of SAR31.4 billion ($8.4 billion). He likened the project to TMG’s successful Egyptian developments, such as Madinaty, a globally recognized integrated service city.

Banan City offers integrated living for more than 120,000 residents

Spanning 10 million square meters, the gated community promises to redefine urban living as a smart city. It will house over 120,000 residents and offer a dynamic, integrated community experience aligned with Saudi Arabia’s Vision 2030.

The development will encompass various services, including healthcare, education, commerce, and a sports club, alongside smart home solutions and advanced city management technologies. It will also feature more than 27,000 residential units, including apartments, villas, and plots of land, catering to diverse family housing needs at competitive prices.

TMG soars as profits jump 44 percent in 2023

Founded in 1974, TMG has become a leading Egyptian real estate developer under Moustafa’s leadership. With a 43.16 percent stake in TMG, Moustafa is one of the richest investors on the Egyptian Exchange and a key figure in the North African real estate market.

TMG reported a strong profit of EGP3.31 billion ($107.28 million) for the 2023 fiscal year, a significant increase from EGP2.3 billion ($74.61 million) the prior year. This surge is attributed to a 43-percent rise in revenues, climbing from EGP19.87 billion ($643.42 million) in 2022 to EGP28.43 billion ($920.6 million) in 2023.