Arabtec will build only 100,000 housing units instead of the originally agreed one million affordable housing units it was contracted to build last year.
“Negotiations with the company are currently taking place over the building of 100,000 units within five years,” the Egyptian Housing Minister Moustafa Madbouly stated in an interview.
“There is no place for talks about assigning the million unit project that was announced 18 months ago,” Madbouly did not give a reason for downsizing the project.
Arabtec, Dubai’s largest listed construction firm, said in February last year it has agreed with the Egyptian army to build one million houses in a project worth LE280 billion.
The project was supposed to cover 160 million square metres across 13 sites in Egypt for lower income individuals. The company said back then it expected that work on the project would start in the third quarter of this year and be completed before 2020.
