PHD’s strategy is focused on offering the highest quality livable gated communities in Egypt, catering to the middle, upper middle and high end spectrum. Quality starts with the master plan, architecture, quality of construction, amenities and finally facility management through the JV with EFS.
Geographical diversification in West, East Cairo and North Coast and very recently became the first mover into Alexandria, targeting a wide range of clients by offering luxury to middle income housing (VGK in the past and recently Capital Gardens).
PHD continues to reap the benefits of the strategic direction of increasing construction spend while delivering record results driven by the accelerated construction program PHD spent more than EGP6.2 bn on construction since beginning of FY2014 to date, and thus largely avoided the impact of inflation and recent floatation of the local currency.
Offsetting residential real estate earnings volatility via expanding into commercial real estate yielding assets 2.5 mn sqm of undeveloped land bank allocated for commercial projects Non-core commercial projects, to be developed and sold are expected to generate EGP831 of profits to PHD, while core developments are expected to support PHD’s bottom line in the medium term 15% Contribution by commercial real estate in Net Profit during 1H2017.
Strong focus on securing attractive large congruent plots of land on revenue sharing basis, thus reducing initial cash outlays and improve IRR significantly 5 Co-development Agreements signed between 2015-2017 on a revenue sharing basis, 1 New Land plot acquired from NUCA in 1Q2017.