Hilton and developer PRE Group will develop six hotels and four branded residential projects in Egypt worth about EGP14bn ($259mn), the companies said on November 10.
The Hilton PRE Group deal takes the residential developer into hotels. It adds up to 2,000 hotel rooms and branded residences as Egypt chases a national target of about 300,000 hotel rooms and nearly 30 million tourists a year by 2030.
Waleed Zaki, founder and CEO of PRE Group, and Guy Hutchinson, President, Middle East & Africa at Hilton, signed the agreement. Prime Minister Mostafa Madbouly attended the signing, alongside ministers and officials.
The projects will carry five Hilton brands: Canopy by Hilton, Tapestry Collection by Hilton, Hilton Hotels & Resorts, DoubleTree by Hilton and Hilton Garden Inn.
They sit within four PRE Group destinations: Telal Ain Sokhna, Jebal Ain Sokhna, Telal El Alamein and Ivoire East. The sites span Ain Sokhna, the North Coast and New Cairo.
“Egypt has been part of Hilton’s story for more than 65 years,” said Carlos Khneisser, Chief Development Officer, Middle East & Africa at Hilton. He said the partnership “enables us to bring the right brands and experiences to destinations with distinct growth potential.”
Zaki said significant investment in “infrastructure, transport links, and airports” had opened new opportunities for the private sector. The companies expect the projects to create thousands of direct and indirect jobs once fully operational.
The agreement follows a hospitality study by PRE Group of 12 of its developments across East and West Cairo, the North Coast, Ain Sokhna and Marsa Alam. The study named hotels and branded residences as a priority.
Egypt’s hotel pipeline has drawn other new entrants this autumn, including Hotel101 Global’s 750-room Cairo West hotel near the Giza Pyramids.
PRE Group entered the Egyptian market in 2007 and is listed on the Egyptian Exchange. It holds a land bank of more than 12mn sq m and has delivered more than 10,200 units across 16 projects.
