The Cairo office market is on the cusp of an impressive transformation, with expectations for a substantial 82% growth by 2029, according to a recent report by Knight Frank. This projected expansion underscores the thriving economic environment and increasing investor interest in Cairo, further solidifying its role as a vital business hub in the region. As the city gears up for this exciting evolution, various factors, including rising demand, rental prices, and the emergence of new developments, play pivotal roles in shaping the competitive landscape.
The Significant Growth of Cairo’s Office Market
Cairo’s office market is set to undergo a remarkable transformation, with total stock predicted to rise by 82% by 2029, as outlined in Knight Frank’s latest Cairo Offices Market Review. The report reveals that demand for office spaces is fueling growth in rents and sales prices across the city, particularly during the first half of 2025.
Faisal Durrani, Partner and Head of Research, MENA, at Knight Frank, stated, “Cairo’s current office stock stands at 1 million sqm, with an additional 818,000 sqm slated for delivery by 2029. This represents an 82 percent growth in the office market and reflects Cairo’s growing economy and its increasing appeal as a regional business hub, attracting both local enterprises and international corporations.”
New Cairo: The Epicenter of Expansion
New Cairo is at the forefront of this office market expansion, contributing significantly to the overall growth. According to Knight Frank’s Africa Office Market Dashboard H1 2025, the Egyptian capital is gaining recognition as one of Africa’s top-performing office markets, trailing only Lagos in terms of prime rents.
New Cairo accounts for a staggering 73% of both the current and upcoming office stock in the city. The area showcases the highest sales values, with an average cost of EGP 274,000 per sqm reported in H1 2025, and premium spaces fetching up to EGP 466,000 per sqm.
Durrani adds, “New Cairo’s dominance extends to the office leasing sector, where New Cairo recorded the highest rents and year-on-year growth exceeding 2 percent. This consistent performance cements its position as the city’s premier destination for businesses seeking prime, well-connected office locations that offer both prestige and functionality.”
Market Drivers and Incentives
Flexible office providers like MQR, KAPITALIZE, KMT House, CO-55, and Regus are strengthening their presence in New Cairo. Additionally, the International Workplace Group (IWG) plans to ramp up its locations in Egypt from 18 to 150 by 2030.
Developers are playing a crucial role in fostering market growth by offering attractive financial incentives, including extended installment durations and reduced down payments. Projects set to be completed in 2025 feature an average payback period of 4.4 years, while those finishing in 2029 extend this to 7.8 years.
The report notes, “This extended payment flexibility is a crucial incentive, designed to make investment more accessible and attractive to a wider range of businesses and investors by easing the financial burden and encouraging long-term commitments to the market.”
Emerging Locations and Opportunities
While New Cairo leads the market, areas like West Cairo are emerging as attractive alternatives for companies considering options beyond the primary hub. El Sheikh Zayed reported average sales prices of EGP 229,000 per sqm, while 6th of October City saw average prices around EGP 171,000 per sqm.
Zeinab Adel, Partner and Head of Egypt at Knight Frank, stated, “El Sheikh Zayed, 6th of October City, and West Cairo offer distinct advantages, including proximity to residential communities and a growing commercial ecosystem, making them viable alternatives for businesses expanding or relocating within Cairo.”
Adel also mentioned, “New Cairo offices command the city’s highest average prices thanks to the area’s modern infrastructure, strategic location, and the concentration of high-profile businesses and amenities. However, when you look at the maximum sales prices achieved, the gap between New Cairo, El Sheikh Zayed, and 6th of October City narrows, suggesting compelling opportunities exist for investors looking for a more accessible entry point into the Cairo market.”
Despite a projected dip in new supply for 2026, the office market is anticipated to rebound, expecting to peak in 2028 with 309,000 sqm, which would account for 38% of the total future pipeline through to 2029.
Leading developers such as LMD, The Waterway Developments, Centrada Developments, La Vista Developments, SERAC Developments, and SODIC are driving this expansion. Their initiatives are vital in increasing the stock and enhancing the quality of office spaces available.
Durrani concludes, “These developments are collectively shaping Cairo’s urban landscape, reinforcing its status as a thriving business hub in the region and a magnet for both domestic and international investment. Our research paints a picture of a market in full swing, characterized by strong fundamentals, strategic developer initiatives, and a promising outlook for continued growth and investment, solidifying Cairo’s position on the global business stage.”