Gulf Investors Are Building a New Mediterranean Property Destination

Egypt’s North Coast is becoming one of the Mediterranean’s most ambitious real estate development zones, with Gulf investors backing projects that could reshape the region’s property market.

The transformation is being led by major investors from the UAE and Qatar, alongside large Egyptian developers. At the centre is Ras El Hekma, where Abu Dhabi-backed Modon is developing a $35 billion coastal city covering more than 170 square kilometres. The project is planned to include residential communities, hotels, marinas, commercial districts, an airport and other infrastructure designed to support a permanent population.

Qatari Diar is pursuing a similarly large vision at Alam Al Roum, with total planned investment of approximately $29.7 billion. The development will span more than 20 million square metres and include 7.2 kilometres of Mediterranean beachfront, with the first phase scheduled for handover from 2030.

The property opportunity extends beyond these mega-projects. Developers are increasingly incorporating branded residences, luxury hotels, restaurants, retail, wellness facilities and entertainment into their developments. Modon, for example, has introduced a Nammos-branded resort and residential project at Ras El Hekma, combining luxury accommodation with residences and lifestyle amenities.

For the property market, the biggest change could be the move away from seasonal housing. Historically, much of the North Coast was active mainly during summer, leaving many communities relatively quiet for much of the year.

Developers are now betting on international buyers, Gulf visitors and longer-stay residents to create demand throughout the year. North Coast property sales exceeded $10.4 billion in 2025, highlighting the scale of existing demand.

The challenge will be turning ambitious masterplans into functioning year-round communities. More hotels, transport links, flights and services will be needed to sustain international demand beyond the summer season.

If that transition succeeds, Egypt’s North Coast may evolve from a popular holiday property market into a major Mediterranean real estate destination.