Hurghada real estate market – outlook for 2010

Report 2-2/2010
An apartment by the sea, beautiful weather all year round, moderate purchase prices with the potential for appreciation in value – until 2008, all good arguments for a growing international investor community. However, in the wake of the global economic crisis, the domestic construction and real estate industry suffered a stark drop in demand, which led to extremely varied results. Property listings in weak locations were only offered on the market with substantial discounts, if at all, while developers with little liquidity ceased construction activity abruptly and construction projects were postponed until further notice. The identifiable winners of this necessary market streamlining are the renowned development companies in Hurghada which can offer apartments or villas in first-class locations and designs.