News Alert: NUCA Guidance on Ownership and Development of Lands in the Western North Coast

The Real Estate and Commercial Affairs Sector of the New Urban Communities Authority (“NUCA”) issued a notice to the Western North Coast Development Authority regarding land ownership and development within Egypt’s Western North Coast region, pursuant to Presidential Decree №. 361 of 2020. 

Key provisions:

1. Acts of Disposal and Transfer of Ownership

Any agreement to develop land with a developer other than the one originally contracted, or any public announcement of such a change, and/or modifications to the shareholder structure of the original developer will be deemed an “act of disposal” or a “transfer of ownership” and will be subject to transfer fees.

2. Transfer Fees Amount

Transfer fees are set at 10% of the adjusted land value at the time of transfer, with a minimum fee of EGP 1,000 per square meter. These fees apply to all forms of ownership transfers, including changes in shareholder structures or other acts of disposal.

3. Collection and Coordination of Fees

Transfer fees will be collected by NUCA’s Real Estate and Commercial Affairs Sector, in coordination with the Western North Coast Development Authority and relevant authorities, including the Notary Public.

4. Notice and Compliance Requirements

• A 30-day notice period will be provided for the payment of transfer fees or submission of a notarized declaration canceling the development agreement and any acts of disposal.
• During this period, all dealings by the original owner—including licenses, coastal infrastructure approvals, agreements with authorities, ministerial decisions, and utility approvals—will be suspended.
• Failure to comply within this timeframe may result in the cancellation of the owner’s concession.

5. Inspection and Review of Incomplete Projects

NUCA’s technical staff for construction inspections will conduct an inventory of projects with a completion rate of less than 15% to determine appropriate actions, as guided by relevant NUCA committees.

For any questions or inquiries, please feel free to contact: